Mark Wattles

The proposals and nominees will be considered at Circuit City's annual shareholder meeting on 24 June.

In a statement, Circuit City said its board will "review carefully the shareholder's proposals and the qualifications of the nominees in accordance with its fiduciary duties, mindful that the proposal would give the shareholder absolute control of the entire board, which would be disproportionate to its relative ownership of the company's shares. The members of Circuit City's board are experienced, committed to increasing shareholder value, and vital to the successful implementation of the company's turnaround plan."

Wattles controls 11 million shares, or 6.5 per cent, of Circuit City's common stock through his investment firm, Wattles Capital Management.

In a 26 February New York Times article, Wattles took Circuit's management to task for the company's mounting losses and a 76 per cent decline in the value of its shares last year. He said he has no interest in running Circuit City or merging it with Ultimate Electronics, and that he made the board nominations after senior executives rebuffed his requests for a meeting.

Wattles' nominees include Anthony Bergamo, Alexander Bond, Don Kornstein, James Marcum and Elliott Wahle.