New York
– Movie Gallery, the operator of struggling home video rental store chain
Hollywood Video, will close its remaining stores that have not been shuttered
already over the next couple of months, The Wall Street Journal reported,
citing people familiar with the matter.
The company, which filed for bankruptcy
in February with $600 million in debt, had already begun the process of closing
more than half of its 2,415 U.S.
stores; The Journal notes that it’s unclear whether the company’s 184 stores in
Canada
would be closed.
Movie Gallery acquired Hollywood Entertainment in 2005,
becoming the second-largest video rental chain behind Blockbuster (NYSE: BBI).
Some of
Movie Gallery’s store locations may still be acquired by strategic operators,
sources told The Journal.
Related Links:
http://tinyurl.com/2ajhtd6
(WSJ)
That’s got to account for at least 10,000 jobs lossed as a result of the shut down in my estimate.