Blockbuster Posts Loss Ahead of Auction
For the period ended Feb. 27, Blockbuster posted a loss of $68.4 million, while generating $274.8 million in revenue, according to a filing.
Gross profit totaled $154 million, but this was offset by $183.5 million in general and administrative costs, $11 million in depreciation expenses and $3.2 million in advertising costs. The company also spent $16 million related to its bankruptcy and restructuring.
The release comes as Blockbuster's auction is set for April 4. Reports surfaced earlier this week that Blockbuster may receive an unexpected bid from a South Korean wireless communication company.The news generated excitement, providing a sign that there may still be interest in the struggling movie rental chain. Last week, the company said it is looking to terminate the leases on 187 locations. --Written by Jeanine Poggi in New York.
>To contact the writer of this article, click here: Jeanine Poggi. >To follow the writer on Twitter, go to http://twitter.com/jpoggi. >To submit a news tip, send an email to: email@example.com.
Check Out Our Best Services for Investors
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts