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REPORT: Blockbuster Follows HMV Into Administration

Author:
Matt Gardner
Category:
News
Tags:
Administration, Blockbuster, UK retail

REPORT: Blockbuster Follows HMV Into Administration

Multiple news sources are reporting that Blockbuster UK is set to appoint administrators from Deloitte as their directors "pull the plug". Tweets from business editors at the Sun, the Independent, and Sky News have all pointed towards the high street rental chain slipping into administration, joining the likes of HMV and Jessops in the latest in a stream off high profile retail companies to do so.

According to Sky News, Deloitte's Lee Manning has been appointed joint administrator, and he released a statement saying that all efforts would be made to try and secure a sale and preserve jobs, noting that the "core of the business is still profitable", but conceding that the company faced "increasing competition from internet rivals and the shift to online streaming of movies and games".

“We are working closely with suppliers and employees to ensure the business has the best possible platform to secure a sale, preserve jobs and generate as much value as possible for all creditors," he said.

"The core of the business is still profitable and we will continue to trade as normal in both retail and rental whilst we seek a buyer for all or parts of the business as a going concern.

"During this time gift cards and credit acquired through Blockbuster’s trade-in scheme will be honoured towards the purchase of goods."

More to follow.

Add a comment4 comments
Late  Jan. 16, 2013 at 15:39

Ugh. They had their problems, and their card's probably been marked for a long time, but that's bad news.

You can blame recession, or bad management, or poor service, but at the end of the day it's thousands of (mainly young) people losing their jobs :(

niceblokedave  Jan. 16, 2013 at 16:02

No surprise here then. Blockbusters put me out of business years ago. People would rather drive 8 miles to go to them and pay more than walk around the corner to my shop ( it was in a village), pay less and get the same film and better service. They had a trendy brand back then and flash premises, they had appeal. Now a bigger fish has come along they find themselfs in trouble, in truth they have been in trouble for years. I guess I sound as if I was bitter but actually I wasn't as business is business and if they do go the high st will be less diverse without them so it is a sad time. I hope they find a way to get through it. The way we are going my kids will never know what it is like to visit and browse music stores or DVD stores. I kind of thought it was a 'right of passage' to meet your friends on a Saturday in town as a teen to do this...... i guess not for this generation :-( .

Last edited by niceblokedave, Jan. 16, 2013 at 16:07
DivideByZero  Jan. 16, 2013 at 17:31

Again, here's to more independent stores in the future.

Maybe I will start one, I always wanted to work in a video store, most stress you will ever get is if someone returns 2 videos at once.

socialjeebus  Jan. 16, 2013 at 23:51

Again, here's to more independent stores in the future.

Maybe I will start one, I always wanted to work in a video store, most stress you will ever get is if someone returns 2 videos at once.


Depends where you live.

The Blockbuster by my parents gets raided every couple of months, it's so bad that you need flash your Membership card before they'll unlock the door to let you in.

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