Blockbuster, the movie rental company, posted a $425 million (£280 million) loss this week – prompting speculation the company's position on the New York Stock Exchange is at risk.
Blockbuster has had a hard time of it of late. Its slow transformation from a high-street store to an online one has not had the success the company would have hoped. This has meant that many stores – in the US at least – have closed.
Last count there was 253 shut in January and another 150 to go in March.
Article continues below
There is some hope. Cheaper DVD kiosks are cropping up – 7,000 set for 2010 – and its on-demand streaming service is to be bolstered. But the company currently has debts of $964 million (£632 million) – which points to a drastic change in its business, including a chunk of its advertising budget disappearing.
Despite the rather downbeat news, CEO Jim Keyes said in a statement, "While we believe the future is bright, the next 12 to 18 months will remain challenging."
Where's Bob Holness when you need him?