Blockbuster closing nearly 1,500 stores

**Locutus** · 09-17-2009, 06:58 AM

Haven't been in one since the 90's I'm sure. Who rents movies anymore? :unknw:

(Reuters) - Top U.S. movie rental chain Blockbuster Inc, which is facing tough competition from Netflix Inc and Coinstar Inc's Redbox, plans to close up to 960 stores by the end of next year.

The company said in a regulatory filing on Tuesday that along with the conversion of certain stores to outlets and lease mitigation or termination efforts, total store closures would be in the range of 1,335 to 1,560.

The company expects a one-time net working capital benefit of $26 million from the store closures.

Blockbuster, a provider of retail movie and game entertainment, had over 7,100 stores in the United States and its territories and 20 other countries as of July 5.

The brick-and-mortar company has struggled to reposition itself while fending off increasing competition from Redbox, which rents films for $1 per night at automated kiosks, and Netflix's mail-order service.

Blockbuster's shares closed at $1.40 Tuesday on the New York Stock Exchange.

http://www.reuters.com/article/ousiv...58F1V920090916

**MissM.** · 09-17-2009, 07:39 AM

One word......Netflix.

Blockbuster stank like dog farts and had horrible customer service. I'm not sad to see them shut some of their stores.

**Stoney Toni** · 09-17-2009, 08:03 AM

The Blockbuster here in Truro is always packed when I go there. Same as the one in New Glasgow.

**DurkaDurka** · 09-17-2009, 09:35 AM

I haven't visited a video rental stores in years, the world is 'on demand' these days, driving to a blockbuster is all but a thing of the past, except maybe in rural areas where high speed internet is unavailable.

**karrie** · 09-17-2009, 09:45 AM

half of those are likely closing in Edmonton. How the hell they can have a BlockBuster ever five blocks is beyond me.

**Kelly** · 09-17-2009, 09:46 AM

Originally Posted by DurkaDurka

I haven't visited a video rental stores in years, the world is 'on demand' these days, driving to a blockbuster is all but a thing of the past, except maybe in rural areas where high speed internet is unavailable.

We've still got a few video stores here near me. But with technology evolution, video has been displaced just as email did with postal mail.

**MissM.** · 09-17-2009, 09:48 AM

Originally Posted by karrie

half of those are likely closing in Edmonton. How the hell they can have a BlockBuster ever five blocks is beyond me.

Demand for them at the time was high,now it isn't.

**DurkaDurka** · 09-17-2009, 09:51 AM

Originally Posted by Kellybee

We've still got a few video stores here near me. But with technology evolution, video has been displaced just as email did with postal mail.

I agree, I could still find a video store within 5-10 minutes of me but they are definitely disappearing at an increasing rate. For me, renting a movie is a pain in the arse, if I really need to have a physical copy I'll just buy it, seeing as DVD's go for about $20 at the high end these days.

**karrie** · 09-17-2009, 09:52 AM

Originally Posted by DurkaDurka

I agree, I could still find a video store within 5-10 minutes of me but they are definitely disappearing at an increasing rate. For me, renting a movie is a pain in the arse, if I really need to have a physical copy I'll just buy it, seeing as DVD's go for about $20 at the high end these days.

If you stop watching movies for a while, then when you hit the vid store, it's only $2 more or so, to buy the freaking thing instead of rent it. You just need to get a bit behind so that you're not looking to the new releases to be entertained.

**Holly Martins** · 09-17-2009, 10:00 AM

Netflix itself is going to get killed in the next 5-10 years when fiber-optic on demand cable tv rentals really get going or online downloads. Buh bye dvd.