Reuters reports that Movie Gallery, Inc., owner of the Hollywood Video chain of DVD-rental locations, plans to close its stores and liquidate its assets. The announcement comes on the heels of Movie Gallery Inc.'s February bankruptcy filing, its second such filing in three years.
The report cites the consumer shift from brick-and-mortar DVD-rental locations to mail-based, digital-download and DVD-rental kiosk channels as a contributing factor to the company's decline.
In other news, Home Media Magazine reports that kiosks, online and mail-based DVD-rental channels do not appear to be suffering from the release-delay agreements made with major studios.
