Game Crazy Parent Files Chapter 7 Bankruptcy
Posted May 1, 2010 by Anthony Charles in Industry News, News.
Several sources are claiming that the entertainment chain Movie Gallery, the parent of video game retailer Game Crazy, has, or soon will, file Chapter 7 bankruptcy and begin to liquidate all of its holdings, including all Game Crazy locations.
Joystiq is reporting that a Game Crazy employee in central Pennsylvania told them:
Movie Gallery as a whole [GameCrazy's parent company] yesterday filed for Chapter 7, which indicates that the whole company is going through liquidation. I was in on the conference call yesterday … it looks like this week and the week after they’re going to go through finding a liquidation company to buy [the remaining products]. It’s going to be business as usual for the next two weeks, we’ll see our releases for the next two weeks, but we’ll likely be closed by the end of June.
While, “a Game Crazy employee” is not necessarily the most legitimate source, no one would be surprised if the news were true. In early February the company was forced to declare bankruptcy for the second time in less than three years and close 760 of its stores. Movie Gallery, like all other movie rental chains, has had a difficult time weathering a perfect storm of recession and obsolescence.
Tagged as game crazy, movie gallery
Comments are closed.