Highlights From Radio Shack Conference Call $RSH

Nothing really useful in the conference call.

"Thank you. I would like to start today with an update on our balance sheet recapitalization work. I know that is foremost on people's minds, and then I will give you a brief status update on our efforts to turn the business around, and the associated work streams. And I will finish with a few comments on the upcoming holiday season.

It is clear that the current pace of our turnaround is simply not fast enough to address our near-term liquidity needs. This is a fact, despite the steady progress we are making with our strategic initiatives. Every day, we see consumers responding positively to the key elements of our turnaround strategy, such as the actions we have taken on reinvigorating our store experience, revamping our product assortment, and creating a stronger inventory position.

But we know we need additional financial flexibility to move ahead with our goals. As a result, we are actively exploring options for restructuring our balance sheet, and are in advanced discussions with a number of parties. We are in the process of working with our key financial stakeholders, including our existing lenders, bondholders, shareholders, and landlords, to create a long-term solution that would potentially involve a comprehensive recapitalization. [...]

Turning now to our mobility business, there are several factors that have been weighing against us. Soft consumer interest in the handsets currently available, aggressive price competition on these products, and intense wireless carrier marketing activities. The postpaid mobility business continued to be the primary driver of our sales decrease in the second quarter, as consumers anticipated this week's iconic handset launch, and have delayed purchasing or upgrading their phones. This in turn has led to further aggressive price competition on existing handsets among the wireless carriers and other retailers.

We have also not seen the full benefit of new carrier financing programs, which were only available in our stores for a portion of the quarter. These new financing programs are starting to gain momentum. We will continue to build awareness with consumers that we offer these options. Meanwhile, the carriers continued their intense marketing activities, which included financial incentives to induce customers to switch carriers, in addition to new heavily-promoted financing programs."

They did not take questions.