Blockbuster, the video store chain who's demise has been predicted for years, is prepping for a bankruptcy filing.
The company plans to restructure its debt of nearly $1 billion and abandon leases on 500 or more of it 3,425 stores in the U.S. through a Chapter 11 pre-planned bankruptcy. They are attempting to work out deals with Hollywood studios/distributors to ensure they still have stock to rent and sell during the restructuring.
Once the home entertainment king, Blockbuster missed the digital revolution and watched Netflix, Redbox and Hulu (among others) take its place. By getting out from beneath its debt and real estate commitment, hopefully Blockbuster has a strategy to re-build its brand--for today's marketplace.
Source: The Los Angeles Times