A rental DVD is dispensed from a Redbox at a 7-Eleven in Los Angeles on August 7, 2009. Chicken Soup for the Soul Entertainment, the owner of DVD rental operator Redbox, filed for Chapter 11 bankruptcy protection, Friday, June 28, …
The company, which publishes “Chicken Soup for the Soul” books and makes premium pet food, filed for Chapter 11 bankruptcy in Delaware and replaced CEO Bill Rouhana with Bart Schwartz. Bankruptcy court filings from Chicken Soup for the Soul Entertainment show that the company has over $414 million in assets but just over $970 million in liabilities owed to over 500 creditors, including Universal Studios, Sony Pictures, BBC Studios, Walgreens, Walmart, Warner Bros and Paramount.Redbox, founded in 2002, was acquired by Chicken Soup for the Soul Entertainment in 2022. At the time, it had 36,000 kiosks, according to The Associated Press.
The newest wrinkle with Redbox is the latest sign of the decline of DVDs. Best Buy stopped selling the movie discs this year, while streaming giant Netflix stopped shipping DVDs to customers last fall.
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