Blockbuster goes into administration
The DVD and games rental chain Blockbuster has become the latest victim on the high street as it was announced today it has gone into administration.
Following in the footsteps of HMV and Jessops, Blockbuster went into administration with 4,190 jobs at risk across 528 stores. Deloitte has been appointed as the administrators.
The store will honour vouchers and gift cards and will continue to trade while it tries to find a buyer.
Lee Manning, join administrator at Deloitte, says: "We are working closely with suppliers and employees to ensure the business has the best possible platform to secure a sale, preserve jobs and generate as much value as possible for all creditors."
"It's very tempting to blame the economy for the high-profile names we've seen fall, but if you look closely it's more about technology moving beyond them," says Rahul Sharma, a retail analyst at Neev Capital.
"Blockbuster never tried to evolve with the technology. It relied on the fact that it was a convenient place round the corner for people to just pick up or drop off films.
"But people like LOVEfILM changed that. And even then, they started looking at streaming and trying to move with the technology. Neither HMV or Blockbuster adapted to this."
HMV announced it was going into administration yesterday with more than 4,000 jobs threatened, while camera retailer Jessops went into administration last week with about 1,370 jobs at risk.
A property chain is a line of buyers and sellers (the “links”) who are all simultaneously involved in linked property transactions. When one transaction falls through – for instance, someone can’t get a mortgage or simply withdraws their property from sale, the entire chain breaks and all the transactions are held up or even fail entirely.