Good-Bye redbox 😪
The parent company of redbox has filed for bankruptcy and the redbox bankruptcy will close kiosks and it's website.
redbox Bankruptcy
Redbox parent company Chicken Soup for the Soul has filed Chapter 7 Bankruptcy and is shutting down after more than two decades of serving up DVD rentals from thousands of kiosks across the U.S. They had originally filed for Chapter 11 but a judge has allowed them to convert to Chapter 7.
Chapter 7 is considered a liquidation bankruptcy: it doesn't require a repayment plan but the business has to sell some assets to pay creditors. Chapter 11 is considered a reorganization bankruptcy that allows businesses to maintain their operations while creating a plan to repay creditors.
Around 1000 people have lost their jobs and Redbox's network of 24,000 DVD rental kiosks and its streaming services will be shut down. No firm date on when they will actually shut down but they won't be stocking any new movies or games.
Red Lobster filed for Chapter 11 bankruptcy in May and company's website listed 99 restaurants in 28 states as “temporarily closed”. Since then additional locations have closed which now brings the closures to just over 15% off the 641 restaurants operating at the first of the year.
The reason for the filing was among other things a 30% drop in business and the rising cost in labor/material costs as well as rising interest rates. Click here to see the locations still in business.\
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