Blockbuster bankruptcy reported near
The Tribune reports that Blockbuster executives have been visiting movie studios, trying to negotiate a "pre-planned" bankruptcy where most creditors are on board before the actual filing. According to the Tribune's sources, a mid-September date is being considered.
How this could effect consumers is unclear, but most retailers operate through a reorganization without shoppers knowing a thing. And if Blockbuster can get out from under its nearly $1 billion in debt while in Chapter 11, it could go on as a much leaner company. It closed roughly 1,000 stores in the last year alone attempting to do just that. Blockbuster reported a loss of $69 million for the second quarter ending July 4, 2010.