Dec 3, 2008 12:26 pm US/Eastern
Tweeter Closes Suddenly, Stuns Workers, Customers
BOSTON (WBZ) ―
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Hackers greeted viewers of Tweeter's web site Wednesday morning with this photo of President Bush making an obscene gesture and a message for the owners.
WBZ
Bankrupt home electronics retailer Tweeter has abruptly closed 70 stores nationwide five days ahead of schedule and fired more than 600 employees.
Many customers were also unable to pick up merchandise they had ordered.
The Canton-based company converted its case to a Chapter 7 liquidation on Tuesday.
WHY DID THEY CLOSE EARLIER THAN EXPECTED? Owner Schultze Asset Management shut down the stores after paying millions of dollars to the largest secured creditor -- Wells Fargo. Schultze made the move after deciding against putting additional money into the company to cover expenses to wind down operations.
Tweeter stores, which had been having liquidation sales, had been scheduled to close Sunday.
Tweeter also requested that $900,000 be put in a fund for unpaid wages, commissions, and payroll taxes for workers.
WEB SITE HACKED Anyone looking for information on the company's
web site got a rude greeting Wednesday morning, apparently thanks to hackers.
Instead of information, viewers were greeted with a picture of President Bush making an obscene gesture and a message for the owners.
MONEY OWED TO EMPLOYEES There are about 150 Tweeter employees in Massachusetts.
Several local Tweeter managers told the
Boston Globe they and their workers "are still owed at least one week's pay, vacation time, and hundreds of thousands of dollars in bonuses that were promised as part of the liquidation sale."
WHAT CAN WORKERS AND CUSTOMERS DO? The attorney general's office is looking into the situation.
Universal Hub pointed out some important links for employees and customers who were suddenly left high and dry, including:
The WARN Act - which requirers large companies to provide advance warning about massive layoffs.
Termination pay - what the law states in Massachusetts.
Your shopping rights - under Massachusetts law.
From the Attorney General's
web site:
Non-Payment of Wages Complaint Form (pdf)
(© 2009 CBS Broadcasting Inc. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. The Associated Press contributed to this report.)
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