Hedge fund Standard General LP is in talks to serve as the lead bidder at a bankruptcy auction for struggling consumer-electronics retailer RadioShack Corp., the Wall Street Journal reported today. RadioShack, which is running out of cash after reporting losses in each of the last 11 quarters, was aiming to file for chapter 11 protection as early as today. But as of yesterday, the company and its advisers were still working out the details of an agreement with Standard General to serve as the stalking-horse bid at a court-supervised auction for RadioShack’s assets. Standard General last year became the company’s largest shareholder and led a financing that helped RadioShack get through the holidays.
