Their 2014 Christmas stock apparently arrived late due to a Foxconn screw-up, meaning that Christmas shoppers couldn't buy it and they were left with a bunch of

Their 2014 Christmas stock apparently arrived late due to a Foxconn screw-up, meaning that Christmas shoppers couldn't buy it and they were left with a bunch of excess stock and a shortage of cash. I can easily see that alone being enough to mortally wound them; they probably do a large chunk of their business over Christmas. The deep sales seem to be a last-ditch desperation measure in response to that.