Sunny

Sunny

max temp: 16°C

min temp: 9°C

ESTD 1874 Search

UK: Blockbuster staff face redundancy as administrators axe 164 more stores

12:53 13 February 2013

Another 164 Blockbuster stores are to clsoe, it was announced today

Another 164 Blockbuster stores are to clsoe, it was announced today

THE administrators of DVD and computer games rental chain Blockbuster plan to close a further 164 stores.

shares

But the Blockbuster branches in Suffolk and north Essex which survived an initial round of closures last month have again escaped, at least for the time being.

The joint administrators, from accountancy firm Deloitte, said the decision to closure more stores was “a result of an ongoing review of the portfolio and discussions with landlords and interested parties”.

They game no time-scale for the closures other than that they would take place “over the coming weeks”.

“There will be a number of closing down promotions across the stores to supplement those already on offer across the estate,” Deloitte’s statement added.

“The remaining stores will continue to trade as usual whilst administrators progress negotiations with bidders.”

The administrators announced within days of their appointment in mid-January that 129 of Blockbuster’s original portfolio of 528 outlets were to close.

Among the stores identified for closure were the Woodbridge Road and St Matthew’s Street branches in Ipswich and those in Ipswich Street, Stowmarket, and Gold Street, Saffron Walden.

The Ipswich branch in Felixstowe Road, together with other Blockbuster stores in Colchester, Felixstowe, Clacton-on-Sea, Mildenhall, Lowestoft, Newmarket and Thetford escaped that round of closures and a spokesman for Deloitte said today that none of these outlets was on the latest list either.

Deloitte confirmed that staff in the stores affected by the closures would face redundancy and said a an employee helpline was in place, alongside a programme to help those the employees affected find alternative jobs. It did not specify the number of staff likely to be affected, but Blockbuster stores are thought to have an average of around five employees.

The firm added that standard rental terms and conditions remained in place and that customers would be notifed in advance of closures so that they had time to return outstanding rental items.

Lee Manning, joint administrator, said: “We have continued to review the performance of individual stores since our appointment a month ago and have concluded that further closures are necessary in order to restructure the company for sale.

“We would like to thank the Company’s employees for their support and professionalism during this difficult time and we are also grateful for the continued support of customers.

“We are in discussions with a number of parties interested in purchasing all or parts of the business and will update on progress in due course.”

Related articles

shares

0 comments

Rooney Anand, chief executive of Greene King.

Strong Easter and Valentine’s Day sales have delivered a boost to trading for pubs and brewing group Greene King ahead of its annual results.

Richard Porritt, who has launched a PR firm called it’s RED

An ex-political lobbyist has launched his own PR firm after his seven-year-old daughter persuaded him to quit his London job.

Holiday parks group Park Resorts has announced increated annual sales and profits.

Leading UK holiday centre operator Park Resorts today reported improved annual sales and earnings as a financial restructuring completed in 2013 began to pay off.

State-backed Lloyds Bank reported a better-than-expected 21% rise in underlying profits to £2.18 billion for the first quarter.

State-backed Lloyds Banking Group has reported a better-than-expected 21% rise in underlying profits to £2.18 billion for the first quarter as it said it benefited from the improving economy.

Challs MD Graham Burchell

A drain cleaning products company celebrating its 25th anniversary is marking the milestone with new branding.

Isaacs on the Quay

The manager of a popular waterfront bar has moved to allay fears a new licensing application could mean an increase in late night noise.

Penny Teale is to convert part of her Orford General Store into two new flats.

A village shop owner has explained the reasons why she has had to downsize her store and will convert the rest of the building into apartments.

A decision by the European Court of Justice (ECJ) means that 3,200 ex-employees of Woolworths and 1,200 former staff at Ethel Austin will not receive any money.

Thousands of workers at high street stores which went out of business have lost a long battle for compensation.

Post-Christmas boost for BA’s owner

Thursday, April 30, 2015
The owner of British Airways has forecast a big jump in profits this year as it benefits from the

The owner of British Airways has posted a profit in the post-Christmas quarter for the first time since it acquired Spanish carrier Iberia in 2011.

Shell profits slump after oil slide

Thursday, April 30, 2015
Shell has been hit by the fall in oil prices.

Royal Dutch Shell has reported a 57% slump in first quarter profits after it was hit by the fall in oil and gas prices.

Most read

Most commented

Topic pages