By Kim Yoo-chul
Staff Reporter
Samsung Electronics said Thursday it is seeking to repatriate $74 million worth of consumer electronics products it supplied to bankrupt U.S. dealer Circuit City.
"Samsung filed a request with a U.S. bankruptcy court to reclaim $74 million worth of products from Circuit City," a Samsung spokeswoman said.
The products include LCD TVs, Blu-ray disc players, home-theaters and display-equipped gadgets that were shipped from Sept. 21 through Nov. 4.
"The measure has been taken since Circuit City is now under court protection," she said, explaining that it was a legal necessity.
Hurt by competition from Best Buy Co. and Wal-Mart Stores and under pressure from a cyclical downturn, the 59-year-old chain Circuit City Stores filed for Chapter 11 bankruptcy protection a month ago.
Samsung said its outstanding payments from Circuit City are all insured and said, therefore, the move will not lead to any losses. Circuit City owes Samsung nearly $116 million. LG, together with its U.S. unit Zenith Electronics, has a combined $41.1 million in outstanding payments.
The American chain sold all kinds of electronic products ranging from flat-screen TVs to home appliances.