Blockbuster files for bankruptcy in US
18:50, 23 September 2010
LONDON. September 23. KAZINFORM DVD and games rental company Blockbuster has filed for bankruptcy protection in the US; Kazinform refers to BBC.
The Dallas, Texas-based company said it had made the decision as part of attempts to cut its debts and restructure the business.
Agreements with its creditors will allow it to cut its debts from nearly $1bn to about $100m, Blockbuster said.
Blockbuster's non-US operations are not included in the bankruptcy, as they are legally separate entities.
That includes its 4,000-strong network of stores in the UK, Canada, Denmark, Italy and Mexico.
Blockbuster's 3,000 stores in the US will remain open for the time being, the company's statement said.
It has also secured a new $125m loan it says will allow it to keep working during the restructuring process; Kazinform cites BBC.
See www.bbc.co.uk for full version