Another Blockbuster store bites the dust

Another Blockbuster store bites the dust

June 8th, 2011 by Ellis Smith in Business Around the Region

Jennifer Edge restocks Blu-ray high definition movies at Blockbuster Video.

Photo by Patrick Smith/Times Free Press.

Local Blockbuster stores

  • Dayton Blvd - closing

  • Gunbarrel Road - closed

  • Lee Highway - closed

  • Battlefield Parkway - staying open

  • Highway 58 - staying open

  • Highway 153 - staying open

  • Ringgold Road - staying open

Source: Blockbuster employees

Blockbuster will begin the process of closing its Red Bank location beginning Sunday, employees said Tuesday.

There will be no liquidation, unlike many recent Blockbuster closures where items were progressively discounted over time. Instead, employees will transfer the stock to other stores in the area.

Employees said they didn't know the store's final closing date, and were unsure of their long-term employment status.

Blockbuster, which filed for Chapter 11 bankruptcy protection in 2010, already has closed a number of stores in the area, including its locations at 9219 Lee Highway and 2114 Gunbarrel Road in March.

At that time, Blockbuster representatives said that the video rental giant was attempting to close locations that it was leasing while retaining owned structures.

The company was bought by Dish Network for $320 million in April, but still is reported to be losing millions of dollars despite slashing prices to remain competitive with Redbox and Netflix.

Analysts speculated at the time of the sale that Dish would close many or most of Blockbuster's locations and integrate its digital library into Dish's own.

Calls and emails to Blockbuster's corporate communications department were not returned Tuesday, and phone calls to the company were automatically disconnected.

Chattanooga customers may still visit the stores on Ringgold Road and Highway 58, which employees there say still are open and likely to remain so for the near future.

Contact Ellis Smith at esmith@timesfreepress.com or 423-757-6315.