Search /
Docfinder:
Advanced search  |  Help  |  Site map
RESEARCH CENTERS
SITE RESOURCES
Click for Layer 8! No, really, click NOW!
Networking for Small Business
TODAY'S NEWS
First iPhone worm spreads Rick Astley wallpaper
Four reasons to buy (and one reason to avoid) the Droid
Stimulus for tech and telecom $3B, but jobs still guesswork
Cisco MARS shuts out new third-party security devices
Verizon Droid buzz muted in Boston
Week in Google news: Google Dashboard, Droid fever, focus on e-commerce
Cloud computing, virtualization proponents getting antsy
Data center start-up offers energy saving software
Vendors scrambling to fix bug in Net's security
Judge dismisses lawsuit challenging Gartner's Magic Quadrant
Boston Celtics clamp down on spam
Cloud computing inevitable? Not so fast, educator says
Blue Coat slashes staff, buys S7 services company
Apple seeks new sheriff to lock up iPhones

Online grocer Webvan shuts down, files for bankruptcy

Related linksToday's breaking news
Send to a friendFeedback


Online grocer Webvan Group Monday announced that it is ceasing all operations and filing for Chapter 11 bankruptcy, due to a considerable decline in order volume during the second quarter ended June 30.

Webvan, which allowed customers to order groceries online and have them delivered to their homes, said that all existing orders will not be filled and that it is not accepting any new orders in any market.

The move, effective immediately, entails the termination of approximately 2,000 employees, the company said.

The company also said it has no plans to resume operations and will begin selling off all of its assets.

Given this, the company added that it is canceling a recently announced reverse stock split and that its common stock will be delisted from the NASDAQ stock exchange.

The company said that the drop in order volume coupled with a tough climate for raising new funds led to the company shutting its doors.

Webvan CEO Robert Swan said in a statement that the company decided to close down "rather than continuing to operate with high losses and decreasing cash," adding that "the clock has run out on us."

The online retailer served the San Francisco Bay, Los Angeles, San Diego, Orange County, Chicago, Portland and Seattle markets.

The IDG News Service is a Network World affiliate.

Related Links

 
NWFusion offers more than 40 FREE technology-specific email newsletters in key network technology areas such as NSM, VPNs, Convergence, Security and more.
Click here to sign up!
New Event - WANs: Optimizing Your Network Now.
Hear from the experts about the innovations that are already starting to shake up the WAN world. Free Network World Technology Tour and Expo in Dallas, San Francisco, Washington DC, and New York.
Attend FREE
Your FREE Network World subscription will also include breaking news and information on wireless, storage, infrastructure, carriers and SPs, enterprise applications, videoconferencing, plus product reviews, technology insiders, management surveys and technology updates - GET IT NOW.
* HOME    * RESEARCH CENTERS     * NEWS     * EVENTS

Contact us | Terms of Service/Privacy | How to Advertise
Reprints and links | Partnerships | Subscribe to NW
About Network World, Inc.

Copyright, 1994-2006 Network World, Inc. All rights reserved.