Fans of the bricks-and-mortar video store have yet another reason to mourn today, as Oregon-based Movie Gallery is purported to be considering its second bankruptcy filing in two years. The nation’s second-largest rental store chain is said to be looking at a closure of up to 1,000 locations; nearly 40% of its U.S. stores.
Movie Gallery has struggled with financial issues since 2005, when the company overleveraged itself in its acquisition of Hollywood Video. The chain closed hundreds of locations last year in an effort to reduce costs, but is still burdened with about $600 million in debt. Liquidators contacted by The Wall Street Journal reported that Movie Gallery had already asked them to bid on the inventory of an undisclosed number of locations.
It seems we’re getting to the last chapters in the story of the traditional video store, Insiders. Will you mourn them when they’re all gone? Or will you be too busy getting your movies in the mail, online or from your local Redbox to care?