Blockbuster Will Close Up to 960 Stores

Video Closing Struggling in Face of Competition with Netflix and Redbox Retail Rental Chain Could Downsize by 22 Percent.

by CBS/AP

Published: Tue, September 15, 2009 - 2:59 pm CST Last Updated: Tue, September 15, 2009 - 3:02 pm CST

(CBS/AP) Blockbuster is planning to close as many as 960 stores by the end of next year. That would shrink the video rental chain by more than 20 percent as it struggles against stiff competition from Netflix and Redbox.

The store closures disclosed in documents filed Tuesday show that Blockbuster is having to cut much deeper than it anticipated to save money and keep its lenders happy.

Blockbuster now expects to close between 810 and 960 of its U.S. stores through 2010, up from the 380 to 425 stores that normally would be closed. If Blockbuster hits the high end of the new target for store closures, it will represent 22 percent of its 4,356 U.S. stores.

The Dallas-based company has closed 276 stores so far this year.

WKRG.com » News Stream » Financial

Photo

WKRG.com Related

Discuss this in the forum

Email to a Friend

Printer Friendly

Mike x51 Says:

Wed, Sep 16, 2009 at 7:48 am

Redbox, streaming netflex on my xbox, the internet…who needs an $8 movie rental from Blockbuster.

sheltiedad Says:

Wed, Sep 16, 2009 at 1:42 am

Blockbuster priced themselves out of the rental market. I haven’t been in one of their stores in 3 years. Unless you want the latest releases, you are out of luck as many older titles are not usually available, and the fees…..

Netflix is the way to go. Now that they have a shipping center in Mobile, movies arrive quickly. I have been with Netflix for about 3 years and have never had a problem. You can locate your movies by title, actor, or director. I have seen some great old movies I never thought I would enjoy again.

Only one low price per month, no late fees ever, you can keep the movies as long as you like, and when you mail one back you will be sent the next one on your list immediately.

SouthernMama82 Says:

Tue, Sep 15, 2009 at 10:18 pm

Blockbuster is too expensive. Who wants to pay $5 for a movie you can get for $1 @ the Redbox. The only thing w/ Redbox is it’s a box not a store so it doesn’t have that many movies to choose from.