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
The botnet world is booming
What’s driving this university to IPv6? Going green
Google takes direct aim at Microsoft
Microsoft promises to stymie hackers next week with new patches
Chrome OS spotlights rapidly changing mobile Web environment
IT pros continue to lose jobs
How ending exclusivity agreements would change the telecom industry
How to use electrical outlets and cheap lasers to steal data
EMC distances rival NetApp
Crime lab saves energy costs by turning up heat in the data center
IBM security software masks confidential info
Google Native Client provides hints on Chrome OS gambit
Ericsson signs deal to run Sprint wireless, wireline networks
Verizon helping companies assess application vulnerabilities
Internet's biggest issue? IPv6 transition, new ARIN CEO says

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.