The Chicago Tribune reports that Dish Network plans to close “more U.S. Blockbuster stores across than it had planned and will turn the remaining outlets partly into Dish customer-service points.”
CEO Joe Clayton says that the company will shutter stores deemed to be unprofitable.
"We are committed to keeping the profitable stores open that are generating positive cash flow, but there are ones that aren't going to make it," Clayton says.
The story notes that “Dish, which paid $320 million for Blockbuster, said last July it would keep 1,500 stores open and retain 15,000 employees, or about 90 percent of the outlets at the time.”
No time frame has been set for the closures.
CEO Joe Clayton says that the company will shutter stores deemed to be unprofitable.
"We are committed to keeping the profitable stores open that are generating positive cash flow, but there are ones that aren't going to make it," Clayton says.
The story notes that “Dish, which paid $320 million for Blockbuster, said last July it would keep 1,500 stores open and retain 15,000 employees, or about 90 percent of the outlets at the time.”
No time frame has been set for the closures.
- KC's View:
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No surprise here. The simple truth is that Blockbuster is, for the most part, an obsolete business model, squeezed on both sides by Netflix and Redbox, not to mention the greater availability of downloading services.
Just another great example of a retailer that breathed in its own exhaust, and was unable to see the realities of a changing marketplace.
