RadioShack In Talks With Standard General For Rescue Financing: Bloomberg

(RTTNews) - Consumer electronic goods retailer RadioShack Corp. (RSH) is in discussions with shareholder Standard General LP about getting a rescue financing package to help it stave off a bankruptcy filing, Bloomberg reported, quoting two people with knowledge of the matter.

Standard General, a hedge fund, is said to be seeking to improve RadioShack's cash position by issuing debt or equity.

The firm is also believed to be working with the retailer's management to formulate a plan that will avoid Chapter 11.

Fort Worth, Texas-based RadioShack lost $98.3 million in the three months ending May 3, while same-store sales crashed 14 percent.

RSH closed up 0.1 percent at $0.86.