Blockbuster enters strategic alliance with cable operators Suddenlink Communications and Mediacom Communications

September 21, 2009

2 Min Read

ST. LOUIS and MIDDLETOWN, N.Y., and DALLAS -- Taking another step in its transformation as a multi-platform provider of media entertainment, Blockbuster Inc. (NYSE: BBI) (NYSE: BBI.B), a global leader in entertainment, today announced a strategic alliance with top-10 cable broadband Multi-System Operators (MSOs) Suddenlink Communications and Mediacom Communications Corporation to set the stage for Blockbuster to bring its multichannel offering to Suddenlink and Mediacom customers.

The alliance is scheduled to roll out in phases beginning in September in Suddenlink's Charleston, W. Va., and Mediacom's Des Moines, Ia., service areas. Initially, Blockbuster will team up with Suddenlink and Mediacom to broaden the appeal and recognition of each MSO's video on demand movie service, rebranding key aspects of their service under the BLOCKBUSTER brand.

Both cable companies will promote their suite of services to Blockbuster's customer base via in-store kiosks and in-store promotion. Suddenlink and Mediacom will further promote this cooperation with local broadcast advertising, direct mail and other marketing support.

In a later phase of cooperation, Blockbuster, Suddenlink and Mediacom, in conjunction with each cable company's VOD provider, Avail-TVN, intend to further enhance their respective video offering through the inclusion of Blockbuster's multichannel capabilities. This is likely to include cooperation with Blockbuster's by-mail, vending, in-store and digital channels so that consumers looking for a movie that may not be available on demand can instead search among Blockbuster's entire Blu-ray and DVD library.

"Our consumers are asking us to help them make access to their entertainment more convenient, and our relationship with Suddenlink and Mediacom is designed to do just that," said Kevin Lewis, SVP Digital Entertainment for Blockbuster. "This alliance highlights the power of the BLOCKBUSTER brand and further underscores our commitment to increase our multichannel presence through alliances that cross traditional boundaries."

Blockbuster Inc.

Suddenlink Communications

Mediacom Communications Corp.

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