X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

DALLAS–With Blockbuster Corp. seeing some comp-store sales increases for the first time in years, it is testing new cosmetic remodels and eliminating mass store closures in the US, executives said during the company’s fourth-quarter conference call.

November saw the first comp-sales increase in five years, the chain reported, though December again saw a decline. Now, the company is testing different cosmetic improvements at several stores in Dallas, and could move forward with a larger rollout.

“For a small investment there are great improvements,” said Jim Keyes, chairman and CEO. “While it’s still early, we’re pleased with the results. “

As a result, any US store closures this year will be the result of lease expirations rather than a downsizing. “Before we close stores, we want to give our best shot at transforming them into profitable locations,” Keyes added.

However, the chain also is examining the profitability of its international units, and could consider converting some company-owned units to licensees.

Total fourth-quarter revenues increased 3.6% from the previous year to $1.6 billion. Net income was $38.1 million, up from $29.8 million from the previous year. Worldwide same-store and by-mail revenues increased 7.4% from the same period last year.

Revenues for 2007 increased 0.3% from the previous year to $5.54 billion. The company reported a net loss of $85.1 million, compared with net income of $39.2 million in 2006. Blockbuster has more than 7,800 stores throughout the Americas, Europe, Asia and Australia.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 3 free articles* across the ALM subscription network every 30 days
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.