| Former type | Private |
|---|---|
| Industry | Retailing |
| Fate | Filed for Chapter 11 Bankruptcy. |
| Founded | 1968 nee SoundTrack |
| Defunct | April 15, 2011 |
| Headquarters | Thornton, Colorado, USA |
| Key people | Mark Wattles |
| Products | Retailing-Electronics |
| Website | None |
Ultimate Electronics was a chain of consumer electronics stores in Arizona, Colorado, Illinois, Iowa, Kansas, Minnesota, Missouri, Nevada, New Mexico, Oklahoma, Oregon, Massachusetts, New Hampshire, New York, Texas, Pennsylvania, Utah, and Wisconsin. It is incorporated in the state of Delaware and its principal offices are in Thornton, Colorado. Ultimate began a large expansion campaign in 2000 and by 2004 the company had doubled its store count to 64. Hollywood Video founder and then CEO Mark Wattles acquired 32 stores in a bankruptcy auction thus closing the remaining half.[1] In November 2010, Ultimate Electronics opened a store in Tigard, Oregon.[2] It is the only store on the west coast, and is owned by the now-defunct Hollywood Video founder and CEO Mark Wattles. Wattles had hoped to open 14 more Ultimate Electronics stores in Salem and the Portland Metro Area. Ultimate Electronics is now a privately owned company operated by Ultimate Acquisition Partners, L.P. Ultimate Acquisition Partners, L.P was a division of Wattles Capital Management, LLC.[3] Wattles Capital Management owned 71% of Ultimate Electronics, while Hewlett-Packard Co. owned 25%.[4]
As of January 27, 2011, the company filed for Chapter 11 bankruptcy. According to papers filed in U.S. Bankruptcy Court in Wilmington, Delaware, the company listed both assets and debt in the range of $100 million to $500 million. Among the largest unsecured creditors are Video Products Distributors, owed $6.1 million; Valassis Communications Inc., owed $5.6 million; New Age Electronics/Synnex, owed $5.5 million; and Sony Electronics Inc., owed $4.8 million, court papers show. Secured lender General Electric Capital Corp. is owed $64.8 million.[5] This is the second time in 6 years that the company has filed for Chapter 11.[6]
The owners of Ultimate Electronics have asked a U.S. Bankruptcy Court for permission to sell off its inventory and close all 46 stores. Ultimate has an agreement with its consultants to begin going-out-of-business sales no later than February 12, 2011[7], and to finish the job no later than April 15[7], court documents said. The going-out-of-business sales concluded by April 13.