Report: RadioShack denies that it defaulted on loan

New York - Shack Corp. on Monday denied that it defaulted on a loan from its term lenders—Salus Capital Partners and Cerberus Capital Management—less than a week after the chain initially disputed the allegations as “wrong and self-serving,” the Wall Street Journal reported.



The lenders, who provided a $250 million lifeline to RadioShack last year that helped keep the chain in business, say the chian defaulted on the loan when it secured a separate credit line in October, according to the report.



RadioShack on Monday stated it not believe the lenders’ demand for immediate payment has any merit. The company also said that the amount of revolving loan commitments remains $535 million.