Blockbuster plans to file Chapter 11 bankruptcy

[OmahaBlueDog]

Source: USA Today

Hundreds of communities may soon lose their local video stores. Blockbuster — the company that helped to turn movie renting into a national pastime — is set to file for Chapter 11 bankruptcy protection today, Bloomberg News reports, citing an unnamed person who knows about the plan.
Blockbuster declined to comment.

A filing would come about a month before the 25th anniversary of the opening of Blockbuster's first store, in Dallas. " 'End of an era' summarizes it neatly," says John Tinker, senior media analyst at Maxim Group, a brokerage firm.



Read more: http://www.usatoday.com/money/media/2010-09-23-blockbuster23_ST_N.htm

[saltpoint]

1. 'Went to Blockbuster in their earliest few days.

Things went down hill pretty swiftly.

'Have heard them referred to as Lackluster Video," which was appropriate these last many years.

[Rabrrrrrr]

2. That's not surprising. They've been on a financial downhill for a number of years.

[ProudDad]

3. We always called them "Blacklister"

For their habit of censoring movies back in the day...

I'm glad to see them go -- never rented from them anyway!

http://www.youtube.com/watch?v=SIMz3_RuOUo

[jennied]

4. Oh well. With Netflix, RedBox and Video OnDemand I'm sure communities will be just fine.

Blockbuster is much more expensive and inconvenient than it's competitors.

[Malikshah]

5. Hell, I thought they'd already gone under. They built and opened a store

near us from scratch a year or so ago. It went under pretty damn quick. Can't find a rental place for love nor money down here in central Broward....of course On demand cable has done them in...even Netflix is hurting. The only thing that's saving them IMHO is the fact that cable doesn't have the classics

[jaysunb]

10. Funny thing...

Back in the late 80's there was a small video store in our neighborhood run by an Afgahani family that did a very brisk and friendly business. After about 7-8 years of being THE local rental store, Blockbuster bought the building next door and opened a bright shiny "brand" that seemed to spell doom for Talal and his little joint.
Well, I'll be doggoned if Blockbuster didn't belly up in a couple years and if you drive by the corner of Washington & Allen here in Pasadena tonight, Star Video is open till 11. :rofl:

[Blues Heron]

12. that's awesome!

[iamthebandfanman]

14. same here

the local video store here managed to survive Movie Gallery coming to town and is still operating after MG went under earlier this year.

now both the #1 and #2 for home rentals are gone.

guess thats the end of big video stores for good.

[sweetloukillbot]

16. Blockbuster did the same to my fave video rental place about 15 years ago...

The place was great - they had anything you were looking for, prices were reasonable and the staff knew their movies. Blockbuster went in across the street and they folded within a month - the plus was they held a clearance sale and I was able to pick up a bunch of rare films for cheap.

But again, the little guy had the last laugh - he hopped on the DVD wagon immediately and had an all-DVD store open a mile away from the blockbuster before they switched to DVD. Then when they switched to DVD, he added the best porn selection in town! The blockbuster is still there, but he's also surviving.

[TheWatcher]

6. Pity it isn't Chapter 7.

Good Riddance to an irrelevant era.

[orleans]

7. i think it's too bad--more jobs lost

it was a place where the kids wanted to work in high school and some as they took time off before college or worked part time while in college.

i've never done netflix or rented a movie at a dispenser machine outside (or inside) the grocery stores. i always tried to support local business. back in the day, when blockbuster was booming i used to go to mom and pop video stores and support them. when they folded there was only blockbuster. if and when that closes then that's that.

i think it's a shame

(of course, i don't use the self check out lane at the grocery store either. i want to give the store an incentive to keep their employees.)

[regnaD kciN]

9. Agreed...

Blockbuster was no great shakes -- but it and Hollywood Video were the only rental outlets in our area. Hollywood folded last year, and now Blockbuster seems set to follow.

That leaves us the choice between Netflix (have a monthly fee deducted from your bank account, whether you use it or not), RedBox (which will only carry the most recent Hollywooden releases -- good luck finding something unusual or "classic"), or driving forty miles each way to Scarecrow Video in Seattle for a one-day rental. :-(

[orleans]

15. here's a suggestion--if you don't need the video now or tonight

order it through the library.

sometimes the disks are still playable and don't skip.

[Kutulhu]

20. Scarecrow

Most rentals at Scarecrow are a week, with only standard movie length new releases being two days.

[Codeine]

23. The mom and pop places and Blockbuster were great if you wanted to watch

exactly the same films everyone else does. If your interests are in the smaller and more obscure genres you were outta luck. I love Netflix.

[CBHagman]

25. I know. I miss the face-to-face interaction.

I spent many years working with the public and know how exhausting it all can be, and while the things I use now -- e.g., online banking, ordering from catalogs -- eliminate some of that human contact, I still want to cultivate some sense of community. It's nice to recognize people at the grocery store or at the (non-Starbucks) place where I buy a cup of coffee every morning.

[8 track mind]

8. I installed some equipment for them

out at their personal hanger at Dallas Love Field. They had some very nice jets.......

[AsahinaKimi]

11. Just like Tower Records...

Sinking into the sunset, as people buy and grab more stuff on line. I used to like to go to Tower Records for videos, DVDS, cds..but they are gone now, including the most famous one on Columbus ave near Fisherman's Wharf.



Now all we have left is Amoeba Records, which sells used CDs, Videos, and Dvds. They seem to do quite a bit of business, and have helped a lot of people, including myself during those rough times, when you had to sell your stuff, to get a little cash for food. I had given up my entire movie collection, but still have my Japanese drama and Anime dvds left. Had it not been for them, I probably would have starved to death.

[ShamelessHussy]

26. very sorry to hear that "would have starved to death"

I hope things only get better for you, gambate kudasai!

[smuglysmiling]

13. they are a victim of the march of progress in the digital age...

Netflix outdid them when they added on-demand service at no additional cost and they never caught up again.

[sweetloukillbot]

17. When blockbuster went online I thought they'd win again...

I liked the "order it online and return it to the brick and mortar store" idea - we'd get a free rental for returning it to the store, didn't need to worry about losing the envelope and such... I've seen them trying to compete with Redbox around town as well, I guess they were just too late to those games...

[AzNick]

18. Their business model was based on outrageous late fees

Good riddance.

If you were late by one day, basically your fee doubled.

I switched to Netflix as soon as it started. I am probably one of the oldest clients of Netflix, I don't want to say anything stupid but I believe it was 2003 and I remember the first movie was The Triplets Of Belleville, a funny animated French movie.

[democracy1st]

19. Just like the old record stores,online stores are more convenient and they also

have more selection. Blockbuster fail to adjust to the new age technology.

[AzNick]

21. I know it is sad

I used to love going to look and touch the records.

Then came the CDs and the "record" companies boosted their prices, claiming higher production costs for the CDs, except that eventually they were cheaper to produce.

In response, kids started to steal music online.

I personally use Rhapsody. Keeps me legal and I pay a fee every month.

I hear the artists feel cheated by DRM providers such as Rhapsody, but it is an obvious "better than nothing" solution.

We still have book stores, because people still love touching the books, having a good physical relationship with an item made of paper.

It's true, a book is fascinating, at least for me.

But how long before Kindle and others kill the book?

[Hardrada]

22. I deal in used and scarcer books. These are sought as the

books they are and not for mere content. There will always be book collectors.

[Exilednight]

24. There's an irony to all this ...........

Companies like Blockbuster, Wal-Mart, Barnes & Noble, Borders, Tower Records and any other chain outlet you can think of, put tens - possibly hundreds - of thousands of mom and pop shops out of business.

Now, these chains are slowly being replaced by online industries. Today it is Blockbuster being replaced by Netflix. Amazon has already put huge dents in Barnes & Noble, Borders, and Tower Records. It's only a matter of time until someone figures out a way to take on the big giants like Wal-Mart.

[Democat]

27. I guess people didn't like censored movies?

I prefer Netflix!

[onager]

28. Rumors of its death may be exaggerated...

But studios are supportive of Blockbuster, which is one reason the company will continue to exist. Despite the fact that major movie studios are among the company’s largest creditors, the LA Times reports that studios are more interested in preserving a competitor to Netflix and Redbox. So the blue DVD giant isn’t by any means out for the count.

http://www.slashfilm.com/2010/09/23/blockbuster-files-for-chapter-11-bankruptcy/

And from the same article:

CEO Jim Keyes is expected to keep his post, however.

Well, of course. Thousands will lose their jobs, but the Top Dawg will continue to fail upward. Maybe in a few years, Keyes can run for Governor/Senator of California.