Chapter 11

[muhlan]

So they finally filed:

http://www.blockbuster.com/recapitalization


and you can bet that they only ones getting their cash are the big heads at the top.

[BUYMECAR]

finallllyyyy.

*takes out hawaiin punch*

[JustTheFacts]

"Currently, all 3,000 of the company's stores in the United States will remain open," it said.

So their plan is to keep losing money

[FireCrotch]

That just means that they haven't decided which stores they're closing.

[post37dayxfer]

All 3000 stores will remain open .... till tommorow at least ... fuck this company ... a bunch of nit wits who couldnt run a soup kitchen much less a company. How long is my store going to last ? Bet we'll be lucky to make it through christmas. Fuck you blockbuster

[getoffmybeach]

I can hear my old DM now....."The Canadian stores are perfectly safe! We're very, very profitable. You don't need to panic until you see me leave."

I hate the company (well, mostly just my old DM) but there are a lot of good people still working at store level. I wish them all well.

[CoffeeCup]

Color me slightly naive, but i believe that chapter 11 isnt going to immediately affect Canada. We ARE a profitable branch, for the most part. Of course there are stores that arent making money, but it's a far smaller number than the United States. We have our own agreements with the studios, and we have our own cash flow. I'm not saying the hammer is never going to come down up here, but i really dont think the Chapter 11 filing today is going to be what brings it down.

[CoffeeCup]

That being said, i'm keeping my fingers crossed for you guys down there, that the cuts arent too bad and you're all able to find alternate employment if need be.

[Damien Oujia]

Originally Posted by JustTheFacts

"Currently, all 3,000 of the company's stores in the United States will remain open," it said.

So their plan is to keep losing money

The key word there is "currently." They will be closing stores. Some projections I've heard suggested early as quarter 1 next year. Probably not sooner because this company knows the most profitable time for retail stores is the holiday season, and that's right around the corner. Blockbuster's slowest time is January and February, so it would make sense to start massive store closings then.

[almondSM]

i'd imagine they'll still start liquidating before years end and have those closing stores remain open until January 1st...With the struggling BBV is going to do in the months to follow this filing, liquidating a store around the holidays would be cash cash cash.