Blockbuster Canada Starts Closing Outlets
Blockbuster Canada starts to sell DVDs and video games at cut-down prices at 146 bankrupt stores before shutting them down.
TORONTO – Blockbuster Canada is to see 146 video stores shuttered in the coming weeks, according to the bankrupt company's court-directed receiver.
Grant Thornton said another 254 Blockbuster Canada stores countrywide will continue to operate as it finds possible buyers.
“The purpose of the store consolidation is to provide Blockbuster Canada Co. with the opportunity to streamline its operations to better position the business for sale,” Michael Creber, a Grant Thornton spokesman, said in a statement.
"While the need to consolidate stores is unfortunate, we are pleased with the level of interest in Blockbuster Canada Co.'s operations expressed by potential purchasers to date," Creber added.
Most of the stores to be shuttered are in British Columbia, Ontario and Quebec.
The Blockbuster Canada bankruptcy follows the U.S.-based Blockbuster chain last year offering the Canadian subsidiary as collateral to the home entertainment divisions of Warner Bros., Twentieth Century Fox and Sony Pictures to ensure they kept supplying their product.
The U.S. sale of Blockbuster failed to erase around $67 million owing by Blockbuster Canada to the major studios.
An eventual default on that debt security prompted the major studios to ask an Ontario court to push the Canadian subsidiary into receivership to protect creditor interests.
- Prince Takes Over the 'Arsenio Hall Show,' Debuts New Funky Song
- A Train, a Trestle and 60 Seconds to Escape: How 'Midnight Rider' Victim Sarah Jones Lost Her Life
- 'Divergent' Star Shailene Woodley: The Next Jennifer Lawrence?
- 'Noah' Banned in Several Middle Eastern Countries
- Lindsay Lohan's OWN Series Gets First Official Trailer (Video)
- MOST SHARED
- MOST POPULAR
- 10 Reimagined Disney Posters Bring Your Favorite Childhood Characters Back To Life
- DOCUMENTARY: How One Email Changed One Guy's Life... Forever
- Miley Cyrus Shows Off Her Sex Toy On Twitter, Should Seriously Be Taught What TMI Means
- Here's Everything Wrong With 'Indiana Jones And The Kingdom Of The Crystal Skull'
- Diane Kruger Ties Up Her Shirt to Reveal Her Flat Stomach
- Joseph Gordon-Levitt Reenacts YouTube Viral Sensation 'David at the Dentist' - Watch Now!
- Michelle Obama Hosts Women in Soul Event, President Barack Obama Flubs Spelling of Aretha Franklin's 'Respect'
- Find Out How Oprah Winfrey Got Fooled By Princess Diana!