Blockbusters Stock Nosedives - Bankruptcy Possible
03-03-09, 02:03 PM
#1
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Blockbusters Stock Nosedives - Bankruptcy Possible
http://blogs.barrons.com/techtraderd...ls-bankruptcy/
http://www.google.com/finance?client=ob&q=NYSE:BBI
http://www.google.com/finance?client=ob&q=NYSE:BBI
Blockbuster's stock just dropped 79% this afternoon after Bloomberg published a story that said the company hired the firm Kirkland & Ellis "to evaluate restructuring options, including a possible pre-packaged bankruptcy."
Blockbuster (BBI) shares have crumbled after Bloomberg reported that the company has hired Kirkland & Ellis to explore a possible bankruptcy filing.
According to the filing, Kirkland was asked to evaluate restructuring options, including a possible pre-packaged bankruptcy.
Blockbuster has more than 7,500 stores, as well as a DVD-by-mail rental service.
Blockbuster shares currently down 76 cents, or 79.2%, to 20 cents.
The news has given a lift to Netflix shares, which have jumped $2.04, or 5.9%, to $36.39.
According to the filing, Kirkland was asked to evaluate restructuring options, including a possible pre-packaged bankruptcy.
Blockbuster has more than 7,500 stores, as well as a DVD-by-mail rental service.
Blockbuster shares currently down 76 cents, or 79.2%, to 20 cents.
The news has given a lift to Netflix shares, which have jumped $2.04, or 5.9%, to $36.39.
Last edited by Gizmo; 03-03-09 at 02:05 PM.
03-03-09, 02:17 PM
#3
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Re: Blockbusters Stock Nosedives - Bankruptcy Possible
At this point I hope people with gift cards use them....fast.
03-03-09, 02:38 PM
#4
DVD Talk Special Edition
Re: Blockbusters Stock Nosedives - Bankruptcy Possible
Wow, I thought the new CEO was supposedly turning things around. How the mighty have fallen...
03-03-09, 02:41 PM
#5
DVD Talk Gold Edition
Re: Blockbusters Stock Nosedives - Bankruptcy Possible
Does the government help bail out Video stores? ;-)
Then need to downsize fast,with the way the economy is going has been going.
I have A great idea for what video stores need to start doing if they want to make it.
Then need to downsize fast,with the way the economy is going has been going.
I have A great idea for what video stores need to start doing if they want to make it.
03-03-09, 02:43 PM
#6
DVD Talk Legend
Re: Blockbusters Stock Nosedives - Bankruptcy Possible
I don't understand how Blockbuster is still in business, anyway. Yes, they have a lot of stores, but their prices are ridiculous for rentals when you consider things like Red Box and Netflix are out there.
Even if you don't have a Netflix account, you can still chalk up $1 or get a free rental code for the Red Box kiosk instead of shelling out $6 and some change for a 1 night rental there.
Wouldn't be sad if they closed.
Even if you don't have a Netflix account, you can still chalk up $1 or get a free rental code for the Red Box kiosk instead of shelling out $6 and some change for a 1 night rental there.
Wouldn't be sad if they closed.
03-03-09, 02:47 PM
#7
DVD Talk Legend
Re: Blockbusters Stock Nosedives - Bankruptcy Possible
Not surprising. The store in my city closed down sometime last year.
03-03-09, 02:48 PM
#8
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Re: Blockbusters Stock Nosedives - Bankruptcy Possible
At the moment Blockbuster is doing everything they can to stay open and make some money. Currently they sell...framed artwork, posters, Blu-ray players, Zunes, HTIBs, Snuggies, Yoga Mats, Yoga Balls...
And they've cut store hours. Cut ASMs. Cut CSR.
Dead in 6 months.
And they've cut store hours. Cut ASMs. Cut CSR.
Dead in 6 months.
03-03-09, 03:02 PM
#9
DVD Talk Legend
Re: Blockbusters Stock Nosedives - Bankruptcy Possible
03-03-09, 03:22 PM
#11
DVD Talk Legend
Re: Blockbusters Stock Nosedives - Bankruptcy Possible
I've told several folks that I wouldn't surprise to see them close their doors at some point. As others have pointed out, with the emergence of the Redbox and other rental kiosks, it doesn't make sense for people to rent from them. I know I haven't in a long, long time.
03-03-09, 03:51 PM
#12
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Re: Blockbusters Stock Nosedives - Bankruptcy Possible
I look forward to dancing on their grave after what they put me through.
03-03-09, 03:52 PM
#13
DVD Talk Legend
03-03-09, 04:14 PM
#14
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Thread Starter
Re: Blockbusters Stock Nosedives - Bankruptcy Possible
Long story short -
They hired me to be the Store Manager for Game Rush when it first opened. I was pushed aside for several months to be the Blockbuster ASM. When I finally got put into the Game Rush side, I was pulled into the office because a box of GTA: San Andreas rentals went missing and they suspected I stole them. After telling them I just arrived 3 minutes ago, and the package was delivered 5 hours before, they held me in the back room for several hours trying to get me to confess. I told them to look at the security cameras to see who did it and they refused. They then said I broke into the employee cabinet and stole my file (I had a key). After telling them I had a key but the store manager didn't they dropped that argument.
During this time I was told stories (people who stole to feed their families etc). Eventually they started making up their own like the LP guy who was grilling me was watching the store every night (he had previously told me when we started he drove 3 hours to see me) and saw me do it. Well, after several hours of this (I was getting paid OT so it was $30 an hour - why not, right?) I asked them if I was under arrest. They said no, and I told them I was walking out the door. He then grabbed me. Well....to make a long story short, they happily paid me unemployment for some time so I wouldn't sue. I took it.
Other fun things I was accused of was stealing DVDs meant to be destroyed and trading them in. I asked them to verify this as my DVDs were newer films and not the direct to video crap they assumed. I was also (with permission from my store manager) alerting CAGs of deals going on and bringing business to the store by telling them to come see us. This was a no-no apparently.
I later found out (I started dating an employee - after I was let go - and still with today) that the Store Manager was the one who broke into the employee files and that another employee had stolen the GTA's. They got rid of me (top seller for their promotional crap) over nothing.
In a chance of sheer luck, the Store Manager went over to EBGames where the ASM was one of my good friends. She once again did the same thing (lost keys and broke into files) and was caught stealing consoles. Last I heard she was serving jail time.
Wow - That was a long story I guess...I left a lot of things out too.
They hired me to be the Store Manager for Game Rush when it first opened. I was pushed aside for several months to be the Blockbuster ASM. When I finally got put into the Game Rush side, I was pulled into the office because a box of GTA: San Andreas rentals went missing and they suspected I stole them. After telling them I just arrived 3 minutes ago, and the package was delivered 5 hours before, they held me in the back room for several hours trying to get me to confess. I told them to look at the security cameras to see who did it and they refused. They then said I broke into the employee cabinet and stole my file (I had a key). After telling them I had a key but the store manager didn't they dropped that argument.
During this time I was told stories (people who stole to feed their families etc). Eventually they started making up their own like the LP guy who was grilling me was watching the store every night (he had previously told me when we started he drove 3 hours to see me) and saw me do it. Well, after several hours of this (I was getting paid OT so it was $30 an hour - why not, right?) I asked them if I was under arrest. They said no, and I told them I was walking out the door. He then grabbed me. Well....to make a long story short, they happily paid me unemployment for some time so I wouldn't sue. I took it.
Other fun things I was accused of was stealing DVDs meant to be destroyed and trading them in. I asked them to verify this as my DVDs were newer films and not the direct to video crap they assumed. I was also (with permission from my store manager) alerting CAGs of deals going on and bringing business to the store by telling them to come see us. This was a no-no apparently.
I later found out (I started dating an employee - after I was let go - and still with today) that the Store Manager was the one who broke into the employee files and that another employee had stolen the GTA's. They got rid of me (top seller for their promotional crap) over nothing.
In a chance of sheer luck, the Store Manager went over to EBGames where the ASM was one of my good friends. She once again did the same thing (lost keys and broke into files) and was caught stealing consoles. Last I heard she was serving jail time.
Wow - That was a long story I guess...I left a lot of things out too.
Last edited by Gizmo; 03-03-09 at 04:19 PM.
03-03-09, 06:19 PM
#17
DVD Talk Limited Edition
Re: Blockbusters Stock Nosedives - Bankruptcy Possible
Now there's a GOOB sale I could have fun at.
03-03-09, 06:20 PM
#18
DVD Talk Legend
Re: Blockbusters Stock Nosedives - Bankruptcy Possible
Not really, maybe you could explain what one has to do with the other.
I think it would be a shame to see BBV go away.
I like going into the place and walking around to look at the shelf to pick out a movie.
I prefer this to going to the movies.
Netflix is there too but I just want to go in and look at the dvds and pick stuff out.
oh well.
well there is redbox but as of now no blu in there.
that leaves Hollywood, they stink double what anyone thinks
of BBV.
I think it would be a shame to see BBV go away.
I like going into the place and walking around to look at the shelf to pick out a movie.
I prefer this to going to the movies.
Netflix is there too but I just want to go in and look at the dvds and pick stuff out.
oh well.
well there is redbox but as of now no blu in there.
that leaves Hollywood, they stink double what anyone thinks
of BBV.
03-03-09, 06:21 PM
#19
DVD Talk Ultimate Edition
Re: Blockbusters Stock Nosedives - Bankruptcy Possible
Well I've been saying it since the beginning of the year ever since I learned of the store hour cuts. I work for Blockbuster (almost 6 years now) I guess I'll be out of a job soon. Oh, well, didn't really like it there anyway.
03-03-09, 06:39 PM
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03-03-09, 07:11 PM
#21
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Re: Blockbusters Stock Nosedives - Bankruptcy Possible
I despise Blockbuster for their pre-Netflix habit of charging $5 late fee per day. Just a few hours late on the day .. you know, stuff happens, and wham! $5 per disc.
And then Netflix started, and suddenly Blockbuster waived their late fees. Thanks! :-/
And then Netflix started, and suddenly Blockbuster waived their late fees. Thanks! :-/
03-03-09, 08:29 PM
#22
Re: Blockbusters Stock Nosedives - Bankruptcy Possible
Hmmm...looks like a good time to invest in some stock! People spend more money on lottery tickets with a less of a chance of getting anything out of it!
Worst case scenario I am out a few bucks. But if they get bought out and that stock rebounds over night...WINDFALL!!!!!!
I don't have to like them to buy their stock.
Worst case scenario I am out a few bucks. But if they get bought out and that stock rebounds over night...WINDFALL!!!!!!
I don't have to like them to buy their stock.
03-03-09, 11:52 PM
#23
DVD Talk Godfather
Re: Blockbusters Stock Nosedives - Bankruptcy Possible
I don't mind Blockbuster, and would hate to see them go. The ones I go to seem to get decent business still as there's plenty of people around. It's nice to go and browse movies/games occasionally, and despite the price I rent a Blu-ray maybe once a month or so on a whim.
03-04-09, 01:22 AM
#24
DVD Talk Platinum Edition
Re: Blockbusters Stock Nosedives - Bankruptcy Possible
The last time I rented from them was over ten years ago. I went in to rent and I had a huge late fee for a movie I had brought back months before and dropped in the overnight slot. Sure enough, i walked out into the store and there it was on the shelf (it was a little-known horror flick and there was only 1 copy). I brought it to the front and they scanned it and sure enough it was the "missing" movie.
They then accused me of smuggling it in just then to avoid the late fees and demanded that I pay. I told them to check the security cameras and they refused to do it. So I just laughed, walked out of the store and never went back.
They then accused me of smuggling it in just then to avoid the late fees and demanded that I pay. I told them to check the security cameras and they refused to do it. So I just laughed, walked out of the store and never went back.
03-04-09, 03:25 AM
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Re: Blockbusters Stock Nosedives - Bankruptcy Possible
Living Dead, you and I are on the same boat. I haven't rented anything from BlockBuster since 2001. The one nearest to me (250 East Houston Street), actually decreased the size of their space. Around 2002-2003, they downscaled the story by about 45 percent. What was left over, a Dunkin' Donuts/Baskin Robbins took its place.
If Blockbuster closes, I would be delighted.
If Blockbuster closes, I would be delighted.