updated 11:45 am EDT, Tue April 19, 2011
Dish will leave 500 Blockbuster stores open
Dish Network, which has recently announced the purchase of Blockbuster, has now said it would take on leases for about 500 of the video-rental's stores as of Tuesday. The papers were filed this past weekend with the US Bankruptcy Court in the Southern District of New York, with a hearing planned for Thursday. After recent store closings, Blockbuster now has nearly 1,700 stores operating in the US.
Dish didn't reveal any specific future plans for Blockbuster other than saying it would grant it "cross-marketing and service extension opportunities." Dish is a satellite TV provider but will also now get access to Blockbuster's online streaming service.
The winning bid for Blockbuster from Dish included $228 million in cash, while the total deal was worth $320 million. Blockbuster filed for bankruptcy protection in September and held an auction to buy out its assets shortly afterwards. [via USA Today]