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<Hollywood videos to close all remaining stores

Posted on May 18th, 2010 No Comments

Movie Gallery Inc. — the Wilsonville, Oregon-based operator of the Hollywood Video rental chain — announced this Friday a decision to close its remaining 1,900 stores in the U.S.

This resolution follows the company’s February Chapter 11 bankruptcy filing in the U.S. Bankruptcy Court for the Eastern District of Virginia in Richmond, its second filing in three years.

Revenue for the company fell last year to $1.4 billion from $2 billion. Analysts suggest that the proliferation of DVD kiosks, over-the-Internet services, and companies offering movies-by-mail is responsible for the company’s decline.

Are you facing bankruptcy? Contact the New Orleans Chapter 11 bankruptcy attorneys of Kervin & Young, LLC, at 504-599-5906 today to discuss your legal options.

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