JOBS at the Hartlepool Blockbuster store are under threat after the DVD and games rental chain went into administration again.
It’s the second time Blockbuster has gone into the hands of administrators this year with 129 stores this year having already closed including the store in Peterlee.
Private equity group Gordon Brothers Europe announced yesterday the chain will go into administration with 264 stores, including the one in Hartlepool’s Marina Way, at risk.
The firm is reducing costs by making 32 redundancies at Blockbuster UK’s head office in the hope the “reduced and different business model” will lead to a new buyer being found.
All stores, which are said to have around five members of staff each, will continue to trade as normal but may need to close if a buyer isn’t found in the coming weeks.
Frank Morton, CEO of Gordon Brothers Europe, said: “Since the acquisition we have worked extremely hard to reignite the Blockbuster brand, make our investment work and put the businesses on a viable footing.
“Despite our best efforts, we regret that we are now forced to make some redundancies and would like to thank any affected employees for their support during the last six months.”
Since taking over Blockbuster, Gordon Brothers Europe bosses have attempted to turn around the company and tried to develop a new digital platform but say the months since the acquisition have coincided with a period of poor trading performance.