BananaRite Aid. About 100,000 employees; 1-year stock-price decline: 92%. A huge debt load makes it the most leveraged drugstore chain in the U.S., according to Zacks Equity Research Management. Prognosis: Mounting losses, with no turnaround in sight.

Claire’s Stores.
Trendy teen-focused accessory store. Cash flow has been negative for much of the past year and analysts believe Claire’s is close to defaulting on its debt. A horrible retail outlook for 2009 offers no relief, suggesting Claire’s could follow Linens ‘n Things, down the tubes.

Chrysler. About 55,000 employees. Chrysler desperately needs cash. The company is quickly burning through $4 billion in government bailout money, and with car sales down 40 percent from recent peaks, Chrysler may be the weakling that can’t cut it in tough times.

Blockbuster. The video-rental chain has burned cash while trying to figure out how to maximize fees without alienating customers. A key test of Blockbuster’s viability will come when two credit lines expire in August.

Krispy Kreme.
The donuts might be good, but Krispy Kreme overestimated Americans’ appetite – and that’s saying something. The company has cut costs and closed under-performing stores, but still hasn’t earned an operating profit in three years.


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