Ritz Camera Files for Bankruptcy

Ritz Camera Centers Inc. has filed for bankruptcy protection this morning, in Wilmington, Delaware. Ritz Camera, the largest camera store chain has suffered from slumping sales and a slowdown in the American economy.

Ritz Camera, has 1,000 locations under different business names, in 45 states. Some known Ritz Camera brand stores are Kits Cameras, Inkley's and The Camera Shop. Ritz Camera Chapter 11 bankruptcy protection bankruptcy filing states that: "The loss of revenues and profit margins from the diminution in the photo-finishing business proved too much of a burden, coupled with the losses experienced by the Boater's World business, for Ritz Camera to remain a profitable company under its current structure."

The statement is by to Marc Weinsweig, Ritz Camera chief restructuring officer.

Boater's World is a boating-and-fishing retailer owned by Ritz Camera, that has too seen a decline in sales. Boater's World also blamed its downfall on credit issues and an increase in fuel prices.

According to ritzinteractive.com, Ritz Camera Centers Inc. owns brands such as RitzCamera.com, WolfCamera.com, BoatingOnly.com, Boatersworld.com, CameraWorld.com, FishingOnly.com, OuterBanksOutfitters.com, PhotoAlley.com, KitsCamera.com and Inkleys.com.

RitzCamera also runs eBay auctions under the eBay shops RitzAuctions and BoatersWorldAuctions.

RitzCamera plans to continue operating, while it tries to reorganize its business structure and all of its brands. According to Los Angeles Business Journal, the three biggest creditors of RitzCamera are Nikon Inc., owed $26.6 million; Canon USA Inc., owed $13.7 million; and Fuji Photo Film USA Inc., owed $8.4 million.

Sources:

http://www.bizjournals.com/triangle/stories/2009/02/23/daily3.html

http://www.ritzcamera.com

http://www.ritzinteractive.com

http://members.ebay.com/aboutme/ritzauctions

http://members.ebay.com/aboutme/boatersworldauctions

http://www.bizjournals.com/losangeles/stories/2009/02/23/daily2.html