Struggling RadioShack is facing a tough January

DALLAS » RadioShack has some high hurdles to clear in January.

The struggling consumer electronics retailer has said it will be cutting more jobs as part of its previously announced plan to slash $400 million in annual costs.The cuts, announced last month as it posted a wider third-quarter loss, relate to short- and long-term issues facing the chain of 4,297 stores. RadioShack has to have at least $100 million in cash or borrowing capacity by Jan. 15 under its loan agreement made in October.

RadioShack ended the third quarter with total liquidity of $62.6 million — $43.3 million in cash and $19.3 million available to borrow from its bank loan. Total debt was $841.5 million. It also has to have a viable business plan ready for its new fiscal year that starts Feb. 1. The conditions are part of a $120 million loan it received in October from major shareholder Standard General. RadioShack said in September it might have to file for Chapter 11 bankruptcy.

Dallas Morning News