Can Cable Save Blockbuster's Bacon?
The new deal gives the video chain until the end of September to do that, marking the second such extension, and putting it perilously closer to bankruptcy.
The time extension came as the company reported a 20 percent dip in revenues, to $799 million, with a net loss of $69 million, widened by 86 percent. It's also being crushed by a $920.4 million debt load.
Blockbuster has been looking to the cable industry to help fix its business, signing co-marketing deals with Comcast, Suddenlink Communications , and Mediacom Communications Corp. . Among them, Comcast is already offering discounts for Blockbuster's DVD- and game-by-mail service, and testing out some in-store promotions in Blockbuster stores in Portland, Ore. (See Comcast Enters the DVD-by-Mail Game and Blockbuster Busts Out Cable Deals .)
— Jeff Baumgartner, Site Editor, Light Reading Cable