Redbox shutting down 24K kiosks, over 1,000 workers haven't been paid over parent company's bankruptcy filing

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Bankruptcy,Rentals,Unemployment

Today's Business Headlines: 7/11/24

The digital age of movie-watching claimed yet another victim in its years-long fight for viewership domination.

“Based on allegations we’ve heard, it’s important that a Chapter 7 trustee be appointed and undertake an appropriate investigation of the company,” Horan addedAt its height, Redbox saw an annual revenue of $1.97 billion back in 2013 and once had 43,000 kiosks in the US and Canada.The entertainment company’s liquidation leaves all 1,033 of its employees jobless and the workers won’t receive any severance or extended benefits.

The ability to service Redbox was “predicated on a partial return to pre-COVID levels in the number and cadence of theatrical releases that were available to the company for its kiosk network,” Chairman and CEO William Rouhana saidIn its Chapter 11 reorganization filings on June 28, CSSE listed $970 million in total debts and consolidated assets of $414 million from March 31, 2024,The company still owes money to Walmart and Walgreens — stores where some of its kiosks were located — and media...

Chicken Soup for the Soul Entertainment is a subsidiary of Chicken Soup for the Sould LLC, which is not a part of the bankruptcy proceedings.Companies going bankrupt at the fastest pace since 2020 in 'historic surge'

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