ChasingBlueSky 0 #1 December 14, 2004 Blockbuster to End Late Fees in 2005 By Associated Press Published December 14, 2004, 9:18 AM CST DALLAS -- Blockbuster Inc., the nation's biggest movie rental company, plans to eliminate late fees on games and movies as of Jan. 1. But there is plenty of fine print, which suggests that Blockbuster is still struggling to come up with a formula to blunt the competitive threat from NetFlix and cable operators' movies on demand offerings. Its shares were down 21 cents, or 2.5 percent, at $8.05 in morning trading on the New York Stock Exchange. Blockbuster announced Tuesday it will continue to set due dates, with one week for games and two days or one week for movies. But the company will give customers a one-week grace period at no additional charge, starting on New Year's Day. Renters who want to keep movies or games longer can buy the products, less the rental fee. Or, Blockbuster says customers can return products within 30 days for credit to their accounts, with a restocking fee. "Doing away with late fees is the biggest and most important customer benefit we've ever offered in our company's history," John Antioco, Blockbuster Inc. chairman and chief executive, said in a prepared statement. "So as of the first of the year, if our customers need an extra day or two with their movies and games, they can take it." Officials of the Dallas-based company also said Tuesday they expect continued softness in the rental industry and flat operating income in 2005 compared with this year before the estimated $50 million costs of marketing and implementing the late-fee elimination policy. Blockbuster said it has tested the new program in some markets and found increased rental transactions and retail sales offset the decline in revenue resulting from eliminating late fees. For the full year 2005, the Company projects that late fees would have contributed approximately $250 to $300 million to operating income. But it said that is expected to be offset by growth in revenues due to increased store traffic, less promotional and marketing activity and an increased focus on operating expense management. Blockbuster has more than 4,500 company-operated and participating franchised stores in the United States._________________________________________ you can burn the land and boil the sea, but you can't take the sky from me.... I WILL fly again..... Quote Share this post Link to post Share on other sites
Rebecca 0 #2 December 14, 2004 I really think they should give the IRS collections department to Blockbuster. If you're two days late returning a rental, the phone calls start. Couple weeks later, they charge your credit card. Can you imagine the amount of uncollected taxes that would pour in? It could reduce the deficit by at least .001% or so! you've got to ask yourself one question: 'Do I feel loquacious?' -- well do you, punk? Quote Share this post Link to post Share on other sites
Katzeye 0 #3 December 14, 2004 F Blockbuster and all those other cheesy rental places. I love Pay Per View and will never get raped by those stupid rental places again. I hope they go under with a big WHOOOSH Is a chicken omelette redundant? Quote Share this post Link to post Share on other sites
Casurf1978 0 #4 December 14, 2004 QuoteI love Pay Per View and will never get raped by those stupid rental places again. I hope they go under with a big WHOOOSH I can see them going under in a few years time. With places like Netflix, Pay Per View and new technology popping up their days are numbered. In a few years time I can see you sitting at home going through an online DB of movies and picking which one you want to watch, downloading it and viewing it as many times as you want for a week. Have you also seen those disposable DVDs? You rent a DVD and its good for a few days, afterwards the thing turns solid black or blue so your player can't read it. Quote Share this post Link to post Share on other sites
tigra 0 #5 December 14, 2004 My nephews go to Blockbuster for the games, not the movies. They can try them out before they buy them. Quote Share this post Link to post Share on other sites
wildblue 7 #6 December 14, 2004 Blockbuster is keeping up though - the online rental deal is tres coolit's like incest - you're substituting convenience for quality Quote Share this post Link to post Share on other sites
kingbunky 3 #7 December 14, 2004 'bout time! i hope they expand this deal to canada. they always seem to keep the good deals south of the border for quite awhile before we see them. i'm quite interested in the 'buy the movie less the rental fee' part. i buy a fair number of dvd's, but unless you're really sure you want to buy it, you generally rent it first. then if you buy it, you've added $5 to the cost of the movie. not a good deal. i usually wait until they are selling off excess new releases and buy them there anyway.."Hang on a sec, the young'uns are throwin' beer cans at a golf cart." MB4252 TDS699 killing threads since 2001 Quote Share this post Link to post Share on other sites
sunshine 2 #8 December 14, 2004 Canada sucks!! Get out now. ___________________________________________ meow I get a Mike hug! I get a Mike hug! Quote Share this post Link to post Share on other sites
kingbunky 3 #9 December 14, 2004 QuoteCanada sucks!! Get out now. quiet you... "Hang on a sec, the young'uns are throwin' beer cans at a golf cart." MB4252 TDS699 killing threads since 2001 Quote Share this post Link to post Share on other sites
flyangel2 2 #10 December 14, 2004 QuoteBlockbuster announced Tuesday it will continue to set due dates, with one week for games and two days or one week for movies. But the company will give customers a one-week grace period at no additional charge, starting on New Year's Day. QuoteRenters who want to keep movies or games longer can buy the products, less the rental fee. ***Or, Blockbuster says customers can return products within 30 days for credit to their accounts, with a restocking fee. Looks to me they will still charge late fees. Or am I not reading that correct. BTW what the fuck, a restock fee? Tell me it doesn't take rocket science to restock the video or game. Heck, they are only paying the people who work there min. wage. I wonder what the restocking fee will beMay your trails be crooked, winding, lonesome, dangerous, leading to the most amazing view. May your mountains rise into and above the clouds. - Edward Abbey Quote Share this post Link to post Share on other sites
indyz 1 #11 December 14, 2004 QuoteI wonder what the restocking fee will be. It's going to have to be a lot, otherwise I'll be renting games, keeping them to the end of the 30 days, then returning them for credit. Quote Share this post Link to post Share on other sites
Kramer 0 #12 December 14, 2004 Woohoo! I'm like a Blockbuster addict. Even though my movies are never late, this is still sorta cool news. The FAKE KRAAAAAAAAAAAAAAAAAAAAAAAAAAAAAAMER!!!!!!!!! Quote Share this post Link to post Share on other sites
SkydiveNFlorida 0 #13 December 14, 2004 Damnit!!! I shouldn't have paid the 9$ they charged me for being a day late. I hate those assholes, I swore i'd cut my card when I got home, but i'd already forgotten. If this truly happens I will keep using their services, but that was the LAST time I was paying those shitty fees. I mean, a) They were due back on Monday at noon... it's not like they were going to get them rented out that night anyhow. b) I had them 1 extra night, not two, therefore I should have been prorated. !!! -A Quote Share this post Link to post Share on other sites
