The entertainment and video games rental store group Blockbuster is close to collapse say national reports.The world's largest film-rental chain is under pressure due to competition from mail-order services.
Bloomberg had reported earlier that Blockbuster, based in Dallas, was looking at the possibility of filing for bankruptcy. Another turnaround option would be to take the company private.
Blockbuster recently launched a TV set-top media player that downloads films for instant viewing. It also signed up to a partnership with Sonic Solutions, a video publishing company, to enlarge its library
Blockbuster has a $350 million revolving credit facility that is due to be repaid in August. The company is attempting to refinance that debt, plus a $28 million term loan.
Blockbuster has 700 stores in the UK.
Their shares have been suspended in the US.