Make us your home page

Nation's second-largest video store chain retreats back to bankruptcy court

The nation's second-largest video store chain has retreated back into bankruptcy proceedings with a plan to close 805 more stores.

Movie Gallery Inc., which also operates Hollywood Video stores, is closing nine of its 16 remaining stores in Central Florida. That includes all Tampa Bay area stores except for a Hollywood Video at 13184 U.S. 301 S in Riverview, which will remain open. No closing date was set, but the liquidation sale starts today. The company said it intends to honor outstanding gift cards.

The Wilsonville, Ore., company, which emerged from a 2007 bankruptcy eight months ago, on Wednesday filed for Chapter 11 protection from creditors, this time in Richmond, Va. The company cautioned there will be more store closings after the first batch as the company uses the courts to restructure its finances.

From a peak of more than 4,600 stores nationally in 2005, the collection of Movie Gallery, Hollywood Video and Game Crazy locations left will total about 1,900.

Video stores were a ubiquitous part of the retail landscape only a decade ago. But in the past few years they have been fighting to survive new competition from mail-order DVD rental services like Netflix and $1-a-night kiosks maintained in supermarkets and discount stores by RedBox or Blockbuster Video.

Movie Gallery reported a $129 million operating loss in the fourth quarter after watching its sales plunge to $1.4 billion in 2009, down from $2 billion in 2008. The company, which paid $1.2 billion for Hollywood Video in 2005, is controlled by Sopris Capital and Aspen Advisors which were creditors in the earlier bankruptcy.

Staff Writer Mark Albright can be reached at or (727) 893-8252.

Nation's second-largest video store chain retreats back to bankruptcy court 02/03/10 [Last modified: Thursday, February 4, 2010 7:07am]
Photo reprints | Article reprints

© 2017 Tampa Bay Times


Join the discussion: Click to view comments, add yours

  1. Legalized medical marijuana signed into law by Rick Scott

    State Roundup

    TALLAHASSEE — Gov. Rick Scott on Friday signed into law a broader medical marijuana system for the state, following through on a promise he made earlier this month.

    Gov. Rick Scott signed legislation on Friday that legalizes medical marijuana in Florida.
  2. Line of moms welcome Once Upon A Child to Carrollwood


    CARROLLWOOD — Strollers of all shapes and sizes are lined up in front of the store, and inside, there are racks of children's clothing in every color of the rainbow.

    At Once Upon A Child, you often as many baby strollers outside as you find baby furniture and accessories. It recently opened this location in Carrollwood. Photo by Danielle Hauser
  3. Pastries N Chaat brings North India cuisine to North Tampa


    TAMPA — Pastries N Chaat, a new restaurant offering Indian street food, opened this week near the University of South Florida.

    The menu at Pastries N Chaat includes a large variety of Biriyani, an entree owners say is beloved by millions. Photo courtesy of Pastries N Chaat.
  4. 'Garbage juice' seen as threat to drinking water in Florida Panhandle county


    To Waste Management, the nation's largest handler of garbage, the liquid that winds up at the bottom of a landfill is called "leachate," and it can safely be disposed of in a well that's 4,200 feet deep.

    Three samples that were displayed by Jackson County NAACP President Ronstance Pittman at a public meeting on Waste Management's deep well injection proposal. The sample on the left is full of leachate from the Jackson County landfill, the stuff that would be injected into the well. The sample on the right shows leachate after it's been treated at a wastewater treatment plant. The one in the middle is tap water.
  5. Honda denies covering up dangers of Takata air bags


    With just a third of the defective Takata air bag inflators replaced nationwide, the corporate blame game of who will take responsibility — and pay — for the issue has shifted into another gear.

    Honda is denying covering up dangers of Takata air bags. | [Scott McIntyre, New York Times]