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ATLANTA/RICHMOND, Virginia (Reuters) - Bankrupt electronics retailer Circuit City Stores said on Friday it will liquidate its assets and shutter hundreds of U. stores after failing to reach a deal to sell the company. Its demise paves the way for larger rival Best Buy Inc to boost sales and gain clout with suppliers as the leading electronics retailer. and so this is the only possible path for our company," Vice Chairman James Marcum said.

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An evaluation of bids for Circuit City's Canadian unit is still under way, and it may seek to sell its website, Galardi said.

The company does not expect any value will remain from the bankruptcy estate for common shareholders.

Some employees were notified that they would lose their jobs and certain stores would begin close-out sales as early as Saturday.

“Since my childhood, that’s been where you go to buy electronics — Circuit City,” said 37-year-old Sonya Webb, who was standing outside a store in Chattanooga, Tenn., watching as an employee set a 46-inch Sony television in her car.

Pharmaceutical, health care and technology firms this week have indicated that they are cutting staff.