If you’ve ever had the experience of going down to your local video rental store, browsing around for a movie, and being harassed by a creepy worker with braces and oversized wire-rimmed glasses, you’ve not had the Blockbuster experience.
And it’s highly unlikely that your children in the future will have a Blockbuster experience. Because as of today, the store is announcing that it’s declaring bankruptcy. There will be no more Blockbuster. It’s going under. Kaput. Finished. The blue and yellow video-sleeves that once dotted the countryside are now shuttering up and going to make room for different and newer storefronts. It’s a dark day in the world of teenagers and bored people countrywide.
It was expected that Blockbuster would be closing up, as their stocks had dropped to about 15 cents a pop – a point that’s almost unrecoverable. And Netflix had just announced that they were going to spread out their streaming services to Canada – on the news that Blockbuster is shuttering, their stock went up.
But what’s it mean?
Blockbuster could convert 630 million senior debt into equity. It’s currently carrying 900 million dollars worth of debt, and junior bondholders may be wiped out.
Bad news all around. It was fun while it lasted. I’m now going to pour out an internet stream for my fallen homie.
Comments
no name
September 22nd, 2010 - 1:41:46 PM
to bad this whole article is false. First of all they didnt announce it today... they are doing it tomorrow. get your facts right. second they are not going out of business.... everyone has filed for chapter 11. Im surprised they havent done it earlier. All im saying it have your facts right before typing away... dumbass
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