Yesterday in New York, the 25-year-old Blockbuster Inc. filed for bankruptcy after losing sales to Netflix Inc.’s Web and mail-order movie service and Coinstar Inc.’s Redbox DVD rental kiosks.
In the year 2009, the earnings of the Company dropped by 20% to $4.06 billion, after reporting a $558.2 million net loss.
As per a court document, Blockbuster has closed as many as 1,061 U.S. Company-operated stores in the last two years.
The Company said that all the U.S. stores, DVD vending kiosks, mail and digital will operate as usual.