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Say goodbye to the red box

This is the final stop for Redbox and its DVD rental booth. Chicken Soup for the Soul Entertainment, the parent company of the movie rental service, Filing Chapter 11 Bankruptcy Late June. But it apparently changed its filing from Chapter 11 to Chapter 7, meaning it intends to completely liquidate its business rather than reorganize the company. according to deadline, the company initially hoped to raise funds by selling some assets and retaining about 100 employees. Ultimately, however, it decided the best course of action was to let all 1,000 Redbox employees leave and close all 24,000 Redbox kiosks.

“There is no way to continue to pay employees, pay any bills or fund this case,” U.S. Bankruptcy Judge Thomas Holland reportedly said. Lowpass. Horan also said that “there is at least the possibility of misappropriation of employee trust funds.” Redbox has been unable to pay employees for nearly a month, and its parent company must obtain an $8 million loan for their wages and be able to resume their operations since mid-May. Medical benefits that have been inactive.

Redbox kiosks are typically located in grocery and convenience stores and are used to rent movie DVDs and Blu-ray discs as well as video games. However, in 2019, Stop renting video games Focus on movie rentals and its on-demand streaming services. The company’s heyday is long gone, and its rental offering isn’t nearly as attractive as all of today’s streaming services. In fact, bankruptcy proceedings revealed that Redbox’s salary obligations were higher than its earnings. Still, the kiosks continue to serve people who don’t have access to strong, stable Internet connections and now have to say goodbye to renting a DVD or two every time they run errands.

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