The End of an Era: Blockbuster Closing Last 300 Stores

By Ronald DeRosa

Blockbuster Video, a national staple of video rental services during the 1990s, will soon be no more.

DISH Network, the owner of Blockbuster L.L.C., announced in a statement Thursday that it will close its 300 remaining U.S.-based retail stores and distribution centers, as well as end the company's retail and by mail DVD distribution operations.

The closure is expected to happen by January 2014 and the end of the DVD by mail service will come in December, the company said.

DISH President Joseph P. Clayton said in the statement that it was not an easy decision to shutter Blockbuster, however he cited the fact that consumer interest is now moving toward digital distribution.

"Despite our closing of the physical distribution elements of the business, we continue to see value in the Blockbuster brand, and we expect to leverage that brand as we continue to expand our digital offerings," Clayton said.

Reuters is reporting that DISH will layoff as many as 2,800 employees. At it's peak in 2000, Blockbuster had 9,000 stores worldwide, according to Bloomberg News.

Blockbuster had filed for bankruptcy in 2010 and initially planned on emerging as a competitor to Netflix, however investors behind the deal never agreed on a business plan, Reuters reported.