DVD and games rental company Blockbuster has filed for bankruptcy protection in the US.
The Dallas, Texas-based company said it had made the decision as part of attempts to cut its debts and restructure the business.
Agreements with its creditors will allow it to cut its debts from nearly $1bn to about $100m, Blockbuster said.
Blockbuster's non-US operations are not included in the bankruptcy, as they are legally separate entities.
lorax
12:17 pm on Sep 23, 2010 (gmt 0)
Can't say I didn't see this coming. Makes me wonder about the health of the other chains.
Rugles
1:13 pm on Sep 23, 2010 (gmt 0)
Amazing how quick technology moves. 20 years ago video stores were everywhere, now you really have to search to find one.
Remember when they would charge a rediculious amount of money if you lost a VHS tape? I remember one store grinding me for a $100, thankfully I finally found it and "only" had to shell out $40 for late fees. That seemed like a huge amount of money to pay for the Karate Kid... D'oh!
engine
2:13 pm on Sep 23, 2010 (gmt 0)
Folks get the movie fix so many new ways, and the revival of movie theaters help make dvd/bluray rentals less appealing.
I can't remember when I last went to a Blockbuster store, but I do remember that the customer service was three tenths of appauling.
Demaestro
3:04 pm on Sep 23, 2010 (gmt 0)
Netflix just announced service in Canada. Xbox & PS2 offer on-demand movie streaming. Every Cable service with a setTopBox offers some type of on-demand movie service.
So many easy ways to have a movie when you want it, no out of stock, no return obligations, smaller fee, no packaging which is eco friendly, and cheaper for a single viewing.
Blockbuster not forming a streaming music service is akin to them not switching to DVDs and staying with VHS only. The writing was on the wall they just didn't notice or were to arrogant to care.
