UPDATE 10/16: Movie Gallery files bankruptcy, GameCrazy stores NOT affected

[Scorch]

//edit: This is probably better suited for the OT forum

I just caught this little blurb. For those that don't know, Movie Gallery owns Hollywood Video and Game Crazy.

*sigh* I get a feeling that GC is about to get sold to Gamestop just so Movie Gallery can continue plugging away with Hollywood Video.

http://www.chron.com/disp/story.mpl/business/5045863.html

Movie Gallery, a video-store chain burdened by more than $1 billion of debt, said it may not have enough cash to continue operating after reporting its fifth straight quarterly loss.

The company, based in Dothan, Ala., has tapped its entire credit line and said Goldman Sachs Group may foreclose on its loans by Tuesday if it is not satisfied with Movie Gallery's attempts to raise capital. The company has been struggling with debt since buying Hollywood Video for $1 billion in 2005 to compete with Blockbuster and Netflix.


"They kind of have to declare bankruptcy," predicted Michael Pachter, an analyst at Wedbush Morgan Securities in Los Angeles.

[btw1217]

No wonder the Regional Manager is diehard about selling discount rental cards and snack combos. $1 billion in debt? Christ.

At the store I work at we only bring in about $400-500 a weekday, and maybe $700-$1000 tops on busy days (Tuesday, Friday, Saturday). I was surprised at how little Movie Gallery makes per day.

[Dr Mario Kart]

...I guess I should be more aggressive in using the Gamecrazy credit I have?

[JDUB X]

Does this also impact Hollywood Video or just Gamecrazy?

I would hate to have to start renting movies from Blockbuster.

[Tsukento]

Forget Blockbuster, there's plenty of other alternatives. It's Game Crazy that's more important. If that goes, that leaves Game Rush and GameStop/EB Games as the only gaming retailers. :( Lord help us if GameStop tries wrapping their slithery hands around Game Crazy.

[zewone]

Gamecrazys are mad small. I don't think you could fit a GS in there.

They'd probably just be gone, I don't see GS buying them.

[JDUB X]

Forget Blockbuster, there's plenty of other alternatives. It's Game Crazy that's more important. If that goes, that leaves Game Rush and GameStop/EB Games as the only gaming retailers. :( Lord help us if GameStop tries wrapping their slithery hands around Game Crazy.

Arent most Gamecrazy locations located inside hollywood video and movie galery stores? I know all mine are. I dont see Gamestop buying up the huge Hollywood video stores just to use the small Gamecrazy rooms.

Would Gamestop buy the locations to turn into Gamestops or would Gamestop Just buy the Gamecrazy Franchise/Name?

Either way I am more concerned about Hollywood video going under because that is the only decent B&M to rent movies from. I use Gamefly for game rentals so I am not worried about renting games and I dont wish to do any renting at Blockbuster or use Netflix.

I do agree that loosing Gamecrazy would be a major upset though because used game prices and Trade values are incredibly better at Gamecrazy than EB or Gamestop.

[Scorch]

You guys are aware that they could buy the GameCrazy company, take their inventory and just shut down the stores, right? The size of any given location has nothing to do with whether or not another company will buy them or not.

But yes, this could possibly impact Hollywood Video, as they're also owned by Movie Gallery.

[blueweltall]

Sad but true. Both Holloywood and Gamecrazy are in danger. Most store will be having a store closing sale. 50% off at Holloywood video and 30% off at Gamecrazy on all inventory. Guides will be 50% off. Can't be combine with the members card and all sale is final, no refund. No video game system or new release will be sold though. They were told by corprate to ship them all back.

[Dr Mario Kart]

And this will be starting when? A lot of stuff wont move at a meager 30%. They're gonna have to up that later if they REALLY want it gone.

[zewone]

You guys are aware that they could buy the GameCrazy company, take their inventory and just shut down the stores, right? The size of any given location has nothing to do with whether or not another company will buy them or not.

But yes, this could possibly impact Hollywood Video, as they're also owned by Movie Gallery.
Then it doesn't really matter if GS buys GC's stock.

[blueweltall]

And this will be starting when? A lot of stuff wont move at a meager 30%. They're gonna have to up that later if they REALLY want it gone.

It's happening right now and others will be impacted soon.

[Dr Mario Kart]

More importantly, are they getting the 3 games I preordered that ship today? (Persona 3, Luminous Arc, Fatal Fury)

[A Happy Panda]

Gamecrazys are mad small. I don't think you could fit a GS in there.

They'd probably just be gone, I don't see GS buying them.

IDK where you live but all my GC's around home and down at school are fairly sized. Actually now that I think of it, all 3 of the ones here at home are bigger than or the same size as all the EBs and GSes I know of.

[zewone]

IDK where you live but all my GC's around home and down at school are fairly sized. Actually now that I think of it, all 3 of the ones here at home are bigger than or the same size as all the EBs and GSes I know of.
Here in CA, every single one I've been to (in and out of town) are about the 1/3rd the size of an average Gamestop.

So, no more trade ins since everything is being clearance I assume. That sucks, I was planning on taking some games their next week to pick up Bioshock. Hopefully, my local joints aren't liquidizing yet.

[JDUB X]

IDK where you live but all my GC's around home and down at school are fairly sized. Actually now that I think of it, all 3 of the ones here at home are bigger than or the same size as all the EBs and GSes I know of.
Are they located inside Hollywood Video or Movie Gallery video stores?

Here in CA, every single one I've been to (in and out of town) are about the 1/3rd the size of an average Gamestop.



All my Gamecrazy's are the same way

[Dr Mario Kart]

There are a very small number of Gamecrazys that are stand alone and not inside a hollywood video. These stores are normally very large.

I only know of 3 offhand, if I recall correctly in the maybe 10 states that I've been in that have had Gamecrazys.

1. Garland, northeast Dallas area.
2. Southeast/East Houston
3. downtown St Louis, Missouri.

[yukine]

This sucks, I don't want to see another Gamestop competitor go the way of the dodo.

[blueweltall]

More importantly, are they getting the 3 games I preordered that ship today? (Persona 3, Luminous Arc, Fatal Fury)

I don't know for sure about your store but the one that was closing right now was told to ship all the new inventory back. I don't know if that include preorder or how they will handle it.

[A Happy Panda]

Are they located inside Hollywood Video or Movie Gallery video stores?



All my Gamecrazy's are the same way

They're inside Hollywood Videos.

[Dr Mario Kart]

I just remembered that my MVP is good through August of 2009. Massive fail.

[Levizk]

Forget Blockbuster, there's plenty of other alternatives. It's Game Crazy that's more important. If that goes, that leaves Game Rush and GameStop/EB Games as the only gaming retailers. :( Lord help us if GameStop tries wrapping their slithery hands around Game Crazy.

That's true, but from a competition standpoint FYE, BB, CC, TRU, and all the other big retailers will still be there. Gamestop will lose the majority of their competition in the upscale pawn shop industry, but when it comes to new game distribution there's still plenty of competition out there. The future of games is in digital delivery anyway, so most of those stores were going to die out sooner or later.

[hiccupleftovers]

This sucks major. If Hollywood Video goes under, then I will have nowhere - and I mean nowhere - to rent videos or games anymore. I still have a most of my coupon sheet from when I bought a system there and an entire coupon sheet that I only got a couple months ago. I also have two other coupons that are slightly expired, but my Hollywood Video has always been nice and good about accepting expired coupons I better start using them then.

I got onto their MVP program years ago and have never left it since, even when they stopped offering it in general and to anybody else. 3 movies out at a time as many times as I want for the month for only $15 (started at $9.99 a month) is an unbelievable deal, especially considering that the store is right around the corner from my house so that I can pretty much go, rent and watch the movie, and then quickly exchange it. There's no limit to this per month so some months I would rent something like 20-30 titles. They once told me that they never made money off of me.

Hell, I'm friends with most of the employees and have known them since forever so most of them usually hook me up anyhow on new releases, etc I was wondering why so many employees were being either replaced, had quit, had been replaced, sent to other stores, etc. Uggh..they're the only decent movie chain left with good prices and great selection. There are no stores around me for several miles (6-7 at the least) since the BB by me went under years ago.

Gamecrazy was also fantastic. Good promotions on new games, decent prices on old stuff, and they didn't have those shitty stickers EB has. Far better employees.

[hiccupleftovers]

This would also make sense for why my Gamecrazy told me that they are going to stop offering the free 12 month rentals with any system purchase unles you also get the warranty from them with the system.

[SilverPaw750]

I'll drop by to see what's on sale, but I really hope the Movie Gallery near me doesn't close - other video stores in my area are twice as far away.

[DJSteel]

indifferent to me.. closest one to me is in Ohio...

[lordxixor101]

Doesn't surprise me. I know over the weekend, my wife dragged me clothes shopping with her, so I decided to walk over to the Hollywood Video/Game Crazy, only to find out that they closed (late July). I hadn't even heard of anything, I was in there in late June, and there wasn't any information up that they were closing.

It's only one location, but I'm guessing their consolidating. Wonder if they'll declare bankruptcy, it's a great way to magically eliminate a lot of that debt.

[radjago]

There are four Hollywood-tied GCs and one stand-alone GC in this area and as far as I know, none of them are closing.

[mrchainsaw]

If the GC near me closes I'll be getting my videogames and accessories online only, except when I buy a new game (rare for me) or GS has a sale on used games to make them GC prices. :cry:

[Jedi1979]

wow, so weird since i just came back from Maryland and saw these stores for the first time and actually saw one that was closing down....had no idea it had anything to do with GC and Hollywood video...

also in Salisbury i visited my first gamecrazy and must say it was tiny but it was interested going through the old ps1, saturn, dc games

[62t]

Crap i still got $260 in game crazy credit

[Supercake]

I say anyone who has credit left should get on the ball and find out how soon they have to spend it all.

Course this could be just be early panicing.

[guinaevere]

Moving this thread to Deal/Shopping Discussions as that's a more appropriate location.


The most recent relevant Investor Release on the Movie Gallery site is from July 23 (http://phx.corporate-ir.net/phoenix.zhtml?c=85959&p=irol-newsArticle&ID=1029207&highlight=), alluding to their negotiations with their lendors. Curious that in four days, they haven't released the details that the Houston Chronicle revealed on the 10th (see OP).

Reading on wiki, when they took over HV, Hollywoods stock was ~$14 per share. Movie Gallery's stock is (lemme refresh) currently a whopping 33¢.

[kromekoran]

well, as long as the one by me stays open until tuesday I'll be good. I have $86 in store credit, I'll get Bioshock and a 1600 point card and close it out, that is, if they're getting Bioshock...

[Vinny]

Oh man... I hope this isn't true because if it is, then that means we will no longer have any options around here. We already lost one good independent store and another went to the crapper. Then EB was bought out by GS and now this?

[davo1224]

Boo I got the MVP card too :(

[tangytangerine]

There are four Hollywood-tied GCs and one stand-alone GC in this area and as far as I know, none of them are closing.

Yep, asked the one in Springboro when I went today. They said there's nothing to worry about as long as the store is doing well financially.

[adidas]

The stores to blame are The Walmart's Best buy and Circuit City
Why rent a movie when you can buy for 3.99 at those stores. There is no reason. Games for 8.96 at CC clerance are 20.00 or more at Gamecrazy. Sad but times have been changing. Soon to go will be them and then gamestop will go through there decline too. The competition gets tougher when you got the big stores discounting games and accs, making their to be profit to be made.

[macdude22]

Movie Gallery was hands down the worst video store I've ever been to. I've lived by a few of these and they consistently had high prices, low movie and game availability, and at best apathetic employees at worst downright rude and offensive employees. "Hey Lackey, I can't find so and so movie. Lackey: We don't have it, only stupid people watch that movie anyway. Thanks guy, I'll leave without renting anything." Movie Gallery can rot in bankrupt hell.

Luckily I've had a few real nice independent stores around too that usually had better prices, and more availability. Our current haunt is Family Video, we moved to Iowa last year and there are two near us now, we have accounts at both and they are fantastic. Good prices, 2 four week old releases plus any box of candy and a box of popcorn for 6.99. The staff at both stores have always been nice, when we signed up they toured us around. Whenever I have had a question about availability they jump at the chance to help. Plus most of the people I've dealt with are real movie buffs, I mean they know their stuff. Each employee gets like 5 movie picks of a month for display. I'm convinced that because they are a private company they don't have to be accountable to the shareholders so they can offer better deals, and pay for more competent employees.

[nonggame]

Oh!! snap I still have 600 bones in credit at GameCrazy ><. Please keep this post up to date ^__^;

[tangytangerine]

Movie Gallery runs their company completely different from the way Hollywood did originally which caused a great amount of problems internally
Yep, the GC I went to today had employees that seemed to be pissed since they had a couple stacks of games sitting in the back. It's only because they ran out of sleeves to put the discs in. Meaning no sleeves = no way to just put the cases out on the floor.

The manager said something about they have to get approval from the DM to get the sleeves. One of the employees made a remark something like "I wonder if Movie Gallery has to get approval". Guess after I left, he was going to take money out of the petty cash fund and go out and buy some sleeves. There's a couple other problems they mentioned, but that seems to be the most ass backwards policy I've ever heard of.

[donut]

Sad but true. Both Holloywood and Gamecrazy are in danger. Most store will be having a store closing sale. 50% off at Holloywood video and 30% off at Gamecrazy on all inventory. Guides will be 50% off. Can't be combine with the members card and all sale is final, no refund. No video game system or new release will be sold though. They were told by corprate to ship them all back.

which store in CO? or all stores in CO?

[davo1224]

Thinking about it now it's odd that the employee told me that my store credit would be good as long as they were still in business.

[hiccupleftovers]

Moving this thread to Deal/Shopping Discussions as that's a more appropriate location.


The most recent relevant Investor Release on the Movie Gallery site is from July 23 (http://phx.corporate-ir.net/phoenix.zhtml?c=85959&p=irol-newsArticle&ID=1029207&highlight=), alluding to their negotiations with their lendors. Curious that in four days, they haven't released the details that the Houston Chronicle revealed on the 10th (see OP).

Reading on wiki, when they took over HV, Hollywoods stock was ~$14 per share. Movie Gallery's stock is (lemme refresh) currently a whopping 33¢.
No offense, but who are you?:D I've never seen you around, nor did I ever know that you were a mod. Cool. I guess me and good ol' scorcho got passed over again for modship, but oh well;)

[Caliburn]

I guess I'll make the rare out-of-the-way drive to the local Game Crazy to see what's up.

The clerks at my store are prudes, always very pushy with preorders and spieling about purchasing an MVP membership whenever I'd get one game resurfaced each season. I've never gotten a penny guide there, either, and inside Hollywood Video, the Game Crazy is about 1/4 the size of any Gamestop.

I know it's bad for the used market if Gamestop has a monopoly and I'm sure there are good GC's around, but I must say I'm indifferent towards this store folding if the rumors are indeed true. Good thing I never had any credit there.

[dallow]

Know offense, but who are you?:D I've never seen you around, nor did I ever know that you were a mod. Cool. I guess me and good ol' scorcho got passed over again for modship, but oh well;)Give it up man! You aren't gonna be a mod.

[YoshiFan1]

Movie Gallery is a joke so I'm not surprised to see this. They don't have new release games for rent and think people want 2002 and 2003 sports games to rent. One near me is going out of business and all games are $24.99 less 20% off so $19.99. The problem with this is that games like NHL 2K7 for PS2 that had a MSRP of $19.99 new are that price and older XBox, PS2 and GC games GS has for $3.99 - $4.99 used. They'll never sell at that price. Even at 90% off, $2.49, I wouldn't buy most of the games they have for sale. All next gen games which was a handful of 360 games were pulled before the liquidation started.

[A Happy Panda]

Know offense, but who are you?:D I've never seen you around, nor did I ever know that you were a mod. Cool. I guess me and good ol' scorcho got passed over again for modship, but oh well;)

Scorch was considered for a mod....?

Hmm...

[Dr Mario Kart]

All the stores in the greater Austin area arent going anywhere THAT THEY KNOW OF. Naturally can change overnight.

I think the Texas stores do pretty good business.

[IAmTheCheapestGamer]

Only Gamecrazy store 'near' me is about 35-40 miles away, so it's no big deal for me to lose them. Although, I would kind of miss the Hollywood Video stores if they went out, since I nabbed some good games with their 2 for $20 a while back.

Only good part that would come out of the sale of GC to GS would be that all the classic plastic would be dumped into GS's inventory and clearanced @ 75% off.

[Punk_Raven]

Sucks. I live on the east side so I've never even been in one. Would've been cool though. It's about time for a new game store to open up and branch out in the east. Getting kind of sick of gamestop, as I have 2 gamestops within like 10-20 miles of me.

[fatherofcaitlyn]

I just have to laugh.

Back in 2005, I tried to set up a business relationship with Movie Gallery.

On my own, I had flipped enough of their used game inventory on eBay to put a meager downpayment on my house.

I wanted to buy hundreds if not thousands of games from them on a weekly basis to save myself the hassle of driving around.

The district manager was fired up about the idea of moving excess inventory, but the regional manager shot us both down.

Movie Gallery did this to itself. They stayed huddled in their B&M, ordered fewer games, raised prices on rentals and hoped Netflix et al would collapse.

Movie Gallery = Dinosaur

It's a shame they're going to take Game Crazy down with them, but GC has been shooting itself in the foot for years.

[emceelokey]

It'd be cool to see a netflix b&m even if it's just the use of the name. That would be huge in terms of competing with Blockbuster.If anything is going to happen with Hollywood and GC this is what's going to happen. They're going to downsize and close stores that don't do good business and keep open the ones that do and get rid of some of some GameCrazy's and just have the video stores.

Gamestop, EB, Gamecrazy and any used video game retailer makes most of their money off of used games. I honestly don't think most GC are actually profitable. They don't really make money off of selling new systems or new games and when people do buy those form them, they ususally trade a bunch of stuff in. You'll most likely see a bunch of GC close down and then have the Hollywood's just sell the proviously rental games like they do their dvds, in the store. This way they don't have to pay an extra 6 - 10 employees and operate something that's marginally profitable if it even is.

I know my area safe though. I literally have 6 grocery stores within 4 miles from my house. Two of them are Vons, There's also 2 Blockbusters within that range, a Hollywood and GC and we still even have a K-Mart and that K-Mart wasn't even close to being considered to close down when they were downsizing a few years ago.

[hiccupleftovers]

Give it up man! You aren't gonna be a mod.

Who the fuck are you and the hell asked you!?!?:D I've been reading more and more of your posts lately and I really could care less from what I've read of you posts.

[hiccupleftovers]

I found out some good news today about my Hollywood Video/GC is that even if they start to close the other stores, my store is a franchisee from the guy that first owned Hollywood Videos so it's not going anywhere.

[shrike4242]

I only know of 3 offhand, if I recall correctly in the maybe 10 states that I've been in that have had Gamecrazys.

1. Garland, northeast Dallas area.
2. Southeast/East Houston
3. downtown St Louis, Missouri.In the time I've known about GC, we've had two close down and one open. Total of 5 of them around here.

Used to have a store 5 minutes from my old work location and my current residence, and now the closest one to me is the one that's 10 minutes from home. I have multiple EB/GS stores within that distance, so there's a huge strike against them.

Remind me not to renew my MVP card next month, too.

[jer7583]

Expect a $10 price increase across the board on used games at gamestop once this happens.

I don't like gamecrazy, but I'd hate to see them go.

[RedvsBlue]

Expect a $10 price increase across the board on used games at gamestop once this happens.

I don't like gamecrazy, but I'd hate to see them go.

So they're gonna charge $64.99 for used Xbox 360 games now?!?! God damn it!

[hegor]

Hey everyone. This site and forums rock. If I knew about this place while I ran a Gamecrazy perhaps I could have raised the billion Movie Gallery needed. :D

Regardless, for the interested I'll cut and paste my blog on what went wrong with Movie Gallery/Hollywood Video/ Gamecrazy.

Will Gamecrazy survive? Sadly probably not.

Movie Gallery, the parent company of Hollywood Video and Gamecrazy is dying a very slow, painful, and inglorious death. I would compare trying to save Movie Gallery is about the same as giving Chemotherapy to a cancer ridden death row inmate. Since such an individual is going to die soon anyway, why bother. A bit of a morbid comparison, I know. The video store is meant to die. You got Netflix, Blockbuster Online, Apple TV and iTunes, Amazon unbox, and Cable and Satellite On Demand. Even if your local store has a good selection and a nice staff, how can they compete with sitting on your ass at home and pushing a button to watch the movie you want to watch? Especially with gas being $3 a gallon?

Sadly I don't see it possible to sell Gamecrazy as 99% of the Gamecrazy's are store within a store concepts. They are tied to the fate of Movie Gallery, unless some really bizarre buyout occurs. But who would buyout a company when they are a store within a store and the store its within is about to go belly up. I suppose you could throw a wall between the Hollywood and Gamecrazy and install a bathroom. Good luck with that.

Movie Gallery has had two years to sort out this mess. In this time they have.

Ignored and closed Gamecrazy's. When the videogame industry was primed for explosive growth.

Not closed enough of their money losing stores.

Failed to start up a service similar to Netflix and Blockbuster Online. Hell they could have thrown game rentals on it too and made it so people wouldn't need Netflix/Blockbuster online and Gametap. Good luck starting one now with Netflix and Blockbuster Online in the middle of a price war.

Mostly just stood still and did nothing. Gee, there were no big movie releases this quarter and that led to softer than expected revenue. No Fucking Duh, you could see what movie theaters are going through right now and then prepare for the future.

I will always have great memories of my time at Gamecrazy, but my departure could not have come at a better time. Movie Gallery is in my opinion an ineptly managed company that made the decision to see if the boat could survive hitting the iceberg when it was visible for miles.

[hegor]

Additional thoughts from what I read here.

If and when it does happen, Texas should be the last GC closing as those stores were consistently profitable.

Mark Wattles/Netflix/Whoever would be HIGH to buy a B&M video rental chain in 2007. Unless you got a Mom & Pop with a porn section catering to a local community, all B&M video stores are doomed.

I suppose some landlords would be willing to allow a buyer to build a wall and separate a Gamecrazy from Hollywood, but with 630 diiferent landlords, thats alot of negotiating and contracting to do. It would probably be cheaper to move into a different property across town just for the GC.

There are 17 stand alone Gamecrazys (I ran one of them) but that hardly makes a chain into itself, considering the stand alone stores are scattered across the country.

I would advise anyone who has store credit at a Gamecrazy to use it asap.

[blueweltall]

which store in CO? or all stores in CO?

One in Northglenn and some more later.

[Doomed]

I used the trade 2 get extra 50% deal to preorder Mario galaxy and Brawl. Am I in danger? What should I do?

[A Happy Panda]

I used the trade 2 get extra 50% deal to preorder Mario galaxy and Brawl. Am I in danger? What should I do?

Keep reading this thread for updates....Or simply cancel the POs and spend the money now. But I'd keep up to date on this before you do anything drastic.

[Doomed]

Yeah... Seeing as GC is like a 30 minute drive one way, I'll wait.

[jer7583]

Do you really think gamecrazy won't last out the year? I've got a few games paid off from the big 50% deal.

I'll miss not getting price gouged on older high demand games like Ico, MvC2, Suikoden 3, Any nintendo published title on gamecube, and such that aren't really rare, just sell well. Can gamestop ever be stopped?

[donut]

One in Northglenn and some more later.

Thanks, stopped into the Wadsworth / 88th for resurfacing and they were preparing for inventory taking place today.
So, it looks like Monday for this one...?

[eaglebeak]

I don't shop at GameCrazy all that much, but I did notice the GameCrazy store by me had closed down and had re-opened as a Verizon telephone store months ago. At the time I didn't think much of it as I thought maybe the lease was just too expensive and they moved......I had no idea they were in financial trouble.

I did like GC a whole lot better than GS/EB....I just wish it was GS/EB that was going under.

[vectorscalar]

I'm fairly close with a GC store manager in Central California. After reading this thread last night, I went in today to buy TMNT for 360 (advertised $19.99, printer's error-they won't honor, even for employees) and ask him about it.

When I asked him about it, he looked puzzled. He showed me a new 'corporate guidance' memo about how to handle the midnight release party for GTA IV tentatively scheduled for late Feb 08 (showed it to me in the big binder-it was dated 10 August). He said some stores are closing, but they've been doing that for unprofitable stores since mid-2005, according to him.

If it is happening, it either isn't anytime soon, or it is being held from store managers. Think about it, though: all they'd have to do is declare bankruptcy and they'd get the institutional creditors off their back. Maybe that's what the new Chief Restructuring Officer is for.

Those who claim to be in the know, how did you get the info?

[hegor]

I'm fairly close with a GC store manager in Central California. After reading this thread last night, I went in today to buy TMNT for 360 (advertised $19.99, printer's error-they won't honor, even for employees) and ask him about it.

When I asked him about it, he looked puzzled. He showed me a new 'corporate guidance' memo about how to handle the midnight release party for GTA IV tentatively scheduled for late Feb 08 (showed it to me in the big binder-it was dated 10 August). He said some stores are closing, but they've been doing that for unprofitable stores since mid-2005, according to him.

If it is happening, it either isn't anytime soon, or it is being held from store managers. Think about it, though: all they'd have to do is declare bankruptcy and they'd get the institutional creditors off their back. Maybe that's what the new Chief Restructuring Officer is for.

Those who claim to be in the know, how did you get the info?

With all due respect to you and your friend. How is a company that is 710 million in debt, with no help coming to pay the bills or delay paying the bills, that now is on a cash only basis with vendors going to stay relevant and competitive? The creditors are going to force Movie Gallery to liqidate so they can recoup some of their owed money.

Movie Galler are certainly not going to tell the Store Managers the ship is sinking.

Here is some reading material for you and please print it out or forward it to your buddy.

http://investing.reuters.co.uk/news/articleinvesting.aspx?type=marketsNewsUS&storyID=2007-08-11T001404Z_01_N10297703_RTRIDST_0_MOVIEGALLERY-RESULTS-UPDATE-2-CORRECTED.XML

http://www.reuters.com/article/consumerproducts-SP/idUSN1029770320070810

[jer7583]

I feel good knowing the asshole DM who fired myself and a friend for not selling enough MVP cards will soon be out of a job.

Unfortunately that also means that the awesome store manager who stood up for us might also be too.

[Dr Mario Kart]

My store didnt get Persona 3 or Luminous Arc in D:

Gamestop got them both in today, I can only wait so long before I have to buy them elsewhere.

[Will]

The movie gallery near me is so ghetto I stopped renting there.

Was tired of the dvds being scratched all to hell and people that let their kids play frisbee with the dvds using their PBJ covered fingers to handle em sucked as well.

Not to mention the haggard ass women that work there and thinking they run shit like theyre the top stripper at Score's.

[hegor]

I feel good knowing the asshole DM who fired myself and a friend for not selling enough MVP cards will soon be out of a job.

Unfortunately that also means that the awesome store manager who stood up for us might also be too.

Yeah I hear ya. My store was above average and I would still get shit. I was never threatened with my job or got written up for lagging controllables, but damn, they expected us to drill MVPs and Pre-Orders into every person who came in. Alot of stores forced their guests to buy MVPs in order to get a Wii, which I was opposed to. I ran a clean, organized, honest, and no bs store. Every store I ran would have revenue shoot up dramatically, but controllables would increase modestly. But since other managers were either shady or scared for their jobs, they would find ways to puff up their numbers so their percentages were higher than mine. Before I left the big thing was getting pre-orders but not being concerned whether or not the guest would pick up the game. So philosophically the leadership of Gamecrazy (under the watchful eye of Movie Gallery) encouraged us to get pre-orders for product that may not be sold. So if you were a regular you were encouraged to pre-order stuff you didn't really have an interest in to only roll over the pre-order to something else later. Like a revovling door deposit used to just puff up numbers. My store was usually number one in pre-orders for the district I worked in, but when it came time to not be concerned about whether the game would sell or not, my store (because I refused to puff my numbers) dropped in pre-order ranking and I got lots of shit from my DM over my "poor numbers". I left before my honest, profit-oriented, and loyal guest retaining behavior would have gotten me fired. Gamecrazy culturally at one time was a fantastic place to work and shop. I strongly believed that the average Gamecrazy would smoke the average EB/Gamestop anyday of the week in gaming culture, service, and pricing/trade value. As Hollywood and Movie Gallery's fortunes began to wane a culture of shucking and jiving began to develop that pushed me into other gainful employment. So yeah, the thought of all those (Tony Montana) cock-a-roach DMs/RMs/Zone VPs being unemployed even for a short period of time does bring joy to my heart. It says alot when the Loss Prevention officiers have more of a clue to running a successful store than the management team.

[Sc4rfac3]

i love my GC i know the workers there. They other GC by me is gonna close though

[Whambamm]

If you don't mind me asking hegor, where are the stores that you managed?

[guinaevere]

No offense, but who are you?:D I've never seen you around Never? I've seen your avatar here and there. But since you asked so nicely, this is who I am (http://img.photobucket.com/albums/v76/guinaevere/photos/72.07f.jpg?t=1187227954).

I just have to laugh. <snip>

It's a shame they're going to take Game Crazy down with them, but GC has been shooting itself in the foot for years.Nice work, foc. And while I don't know much about GameCrazy (though HV used to be well managed, all their store locations were paid for, no leases) Movie Gallery seems to have made even more monumental errors than BB.

It'd be cool to see a netflix b&m even if it's just the use of the name. I don't see that happening. Netflix has a nicer profit margin working out of their two (I believe it's still just two) warehouses. MUCH lower overhead not having to pay hundreds of leases each month and thousands of payrolls for staff to man each building every moment.

Do you really think gamecrazy won't last out the year? I've got a few games paid off from the big 50% deal.It really depends on the final word from their lendors. I don't know if they'd close right away, but I wouldn't waste time holding onto credit ifyou have any.

[dracula]

I did like GC a whole lot better than GS/EB....I just wish it was GS/EB that was going under.

i wish all of them would go under, and they liquidate everything on the cheap. that would be awesome. GS/EB/gamecrazy are sort of like loan sharks. People trade games into them for $3 and they put them on the shelves and sell them for $30. i would say good riddance

[jer7583]

I think I caught onto the tail end of when GameCrazy was okay. I heard all kinds of awesome stories about the place but not long after I got there it was all about the pre-orders, pre-orders are bread and butter, pre-orders blah blah blah.

I thought a business was about selling shit, not about interest free loans.

[Doomed]

When I went there for the extra 50% deal, I gave the guy 2 preorders and he still wouldn't leave me alone about the MVP. They were still better than GS even though that was my only experience. Their trade in values and prices are higher and lower respectively.

[LilPaintballer]

i live 5 minutes on my bike from game crazy.2 employees therea re nice the others stink. i usually ride my bike up there when i got nothing to do.and play 360 with them. the only positive i see from this if they go out of bussiness there closing down sale.

why does evryone have a problem with gamestop, i go there twice a week to hangout while my friends are sleeping, the employees are uber nice,friendly and game knowledgeable. just the other day as i was shuffling through the 9.99 and under gc bin, he told me to pick up the bongos for 3.99.

[-Never4ever-]

Hope the gamecrazy near me closes, I've had it with the people that run it. Good riddance to bad rubbish.

[vectorscalar]

With all due respect to you and your friend. How is a company that is 710 million in debt, with no help coming to pay the bills or delay paying the bills, that now is on a cash only basis with vendors going to stay relevant and competitive? The creditors are going to force Movie Gallery to liqidate so they can recoup some of their owed money.

Movie Galler are certainly not going to tell the Store Managers the ship is sinking.

Here is some reading material for you and please print it out or forward it to your buddy.

http://investing.reuters.co.uk/news/articleinvesting.aspx?type=marketsNewsUS&storyID=2007-08-11T001404Z_01_N10297703_RTRIDST_0_MOVIEGALLERY-RESULTS-UPDATE-2-CORRECTED.XML

http://www.reuters.com/article/consumerproducts-SP/idUSN1029770320070810
Read those and a few other similar articles. I'm thinking chapter 11. That's likely why they set Bill Kosturos as the CRO. Is there anything new since the early July statements? Other than Pachter, I mean.

[sying]

Then why did movie gallery buy Hollywood video/ Gamecrazy. Pretty stupid business decision if you ask me, didn't anyone run the numbers on how the purchase would appreciate?

[Scorch]

I saw a memo that was sent down this morning titled "In Memorandum". My heart skipped a beat.

It said that 70 Movie Gallery and Hollywood Video stores across the country will be closing. They didn't give a list of ones closing.

[M1C13]

Glad I got out when I did, I went back the other day and found out that my manager, DM, and RM were all fired. That brought a smile to my face. They did this to themselves. I hope they do some crazy going out of business deals for their MVP members though because my card is good until 2011.

BTW I'm the guy that leaked news about the 360 Elite ( price, release date), I used to work at Game Crazy in Ohio and quit when they told me the raise in minimum wage was my actual raise.

[Ski Hawk]

Wow, I had no idea Gamecrazy was in such danger. My GC is literally 5 minutes away from my house, and the guys that work there are nice, and I don't get the sense that they are going out of business. I go there often, so I'm sure that if they were in danger, they would tell me, even if I didn't ask. The Hollywood Video seems fine, too. My GC has been around since 2004, and hopefully it won't be going anywhere.

[Pootie Thang]

One in Northglenn and some more later.


Oh damn! I better use my credit! I didn't know there were more people in CO on here.

[hegor]

Then why did movie gallery buy Hollywood video/ Gamecrazy. Pretty stupid business decision if you ask me, didn't anyone run the numbers on how the purchase would appreciate?

Sheer stupidity.

Well, the problem was Movie Gallery was slightly profitable with their rural niche. They decided that online rentals was a fad and that Hollywood Video was a key to growth. So they bought our Hollywood and got Hollywood's debt as well. Its not so much that buying Hollywood was bad, they just didn't do anything to make the acquisition worthwhile. They should have closed out every unprofitable Hollywood, fire-saled the inventory to pay off debts. They also should have grown Gamecrazy (both stand alone and more key locations in Movie Gallerys/Hollywoods), and started an internet rental service offering games as well as movies.

[hegor]

Glad I got out when I did, I went back the other day and found out that my manager, DM, and RM were all fired. That brought a smile to my face. They did this to themselves. I hope they do some crazy going out of business deals for their MVP members though because my card is good until 2011.

BTW I'm the guy that leaked news about the 360 Elite ( price, release date), I used to work at Game Crazy in Ohio and quit when they told me the raise in minimum wage was my actual raise.

Like many employees the pressure to meet weekly goals in MVPs was so strong that many employees renewed their own cards to meet quotas. Unless of you liked to read lots of video game magazines.

As for breaking the Elite, aren't you quite the rabble rouser! ;)

[hegor]

Read those and a few other similar articles. I'm thinking chapter 11. That's likely why they set Bill Kosturos as the CRO. Is there anything new since the early July statements? Other than Pachter, I mean.

Many vendors are on a cash only basis with MG/HV/GC. Good luck to GC with being on a cash only basis with all those fake pre-orders.

[Scorch]

many employees renewed their own cards to meet quotas
employees can't get credit for renewing their own MVP card. you're not supposed to ring up anything on your own account, you have to get another employee to do it. they're not strict on MVP quotas at all. The only time you can really get fired is if you go a month or two and you're consistantly selling low (i'm talking like.. 50 transactions with 0 mvps and 0 preorders, its almost impossible to get that low). At one point, they were going on a week-by-week thing, making a quota and saying "three strikes and you're out". Employees raised such a fuss that they did away with it. They're more lax on things like that now. Nothing like EB/GS.

[davo1224]

I always thought Movie Gallery was just a small semi-nationwide chain. Had no idea it owned Hollywood Video. Hate them both though so no biggie.

[hegor]

Shift Leader Joe would ring out Store Director Bob. Store Director Bob would ring out Shift Leader Joe. The DM gets the exception report and if the DM doesn't give a shit or is clueless (like many of them) then it would count and another day would pass. Yeah, its not as bad as EB/GS but it still pretty sorry way of doing business.

I didn't do any of that shit, but like I said in previous posts other people out of fear or shadiness did. You can get away with alot at Gamecrazy if your shady and clever. One Store Director who finally got fired, for almost a yeah had multiple dormant accounts where he would roll over the credit from pre-orders to other upcoming titles.

[hegor]

employees can't get credit for renewing their own MVP card. you're not supposed to ring up anything on your own account, you have to get another employee to do it. they're not strict on MVP quotas at all. The only time you can really get fired is if you go a month or two and you're consistantly selling low (i'm talking like.. 50 transactions with 0 mvps and 0 preorders, its almost impossible to get that low). At one point, they were going on a week-by-week thing, making a quota and saying "three strikes and you're out". Employees raised such a fuss that they did away with it. They're more lax on things like that now. Nothing like EB/GS.
My old district you were expected to achieve 12% pre-order and 7% mvp. Perhaps your DM wasn't a lazy ballbusting prick. This was as of 2007 before I left.

[A Happy Panda]

i live 5 minutes on my bike from game crazy.2 employees therea re nice the others stink. i usually ride my bike up there when i got nothing to do.and play 360 with them. the only positive i see from this if they go out of bussiness there closing down sale.

why does evryone have a problem with gamestop, i go there twice a week to hangout while my friends are sleeping, the employees are uber nice,friendly and game knowledgeable. just the other day as i was shuffling through the 9.99 and under gc bin, he told me to pick up the bongos for 3.99.

Can I ask how old you are.

[hegor]

Can I ask how old you are.

LOL, are your friends sleeping at the Gamestop as well?

[M1C13]

Thats the same way mine was, we would just sell POs and MVPs to each other, family members, etc. I got 6 different magazines sent to my house until I moved. I need to call them to change my address...

[SYMBOLIC]

ok Lets get something straight here. I work for game crazy and i am a store manager who has been here for a VERY long time. Ive known about all the problems with the company for quite some time but please listen, GAME CRAZY IS NOT CLOSING!!!!!!!!! downsizing the low revenue stores YES but not closing. Our company is making money and lots of it. We are not allowed to talk about options but us managers are not left in the dark about our company. Downsizing will help movie gallery,and why keep a store open that dosent make money when next year we can open new ones that WILL make money. There is a plan here and yes, movie gallery has a debt they need to take care of. Look at other major retailers that were in trouble. Hell, look at blockbuster 2yrs ago. Just dont freak out and stop going to our stores or YOU will be the reason why we close. WE will have all the games we need this year and all your presells of halo etc, just be loyal and keep us open.

[KingofOldSchool]

I use to goto Movie Gallery all the time as a kid when they were Videoland and later on when they changed their name to Video Update.

[hegor]

ok Lets get something straight here. I work for game crazy and i am a store manager who has been here for a VERY long time. Ive known about all the problems with the company for quite some time but please listen, GAME CRAZY IS NOT CLOSING!!!!!!!!! downsizing the low revenue stores YES but not closing. Our company is making money and lots of it. We are not allowed to talk about options but us managers are not left in the dark about our company. Downsizing will help movie gallery,and why keep a store open that dosent make money when next year we can open new ones that WILL make money. There is a plan here and yes, movie gallery has a debt they need to take care of. Look at other major retailers that were in trouble. Hell, look at blockbuster 2yrs ago. Just dont freak out and stop going to our stores or YOU will be the reason why we close. WE will have all the games we need this year and all your presells of halo etc, just be loyal and keep us open.


Dude you can say all you want to say, and no offense to you. The walk in movie rental business is dying slowly and painfully. 99% of the Gamecrazy's are tied to those debt creating Hollywoods. You can move them to another part of town and you would have the same result. No matter how nice the staff is and how good the selection, you can't compete with sitting on your ass at home and pushing a button to watch the movie you want especially if its cheaper. Unless your GC is pulling such wicked comps that you can cover what your Hollywood is losing (or will start losing) then your store is going to die too. Now closing the HW/GC and opening a stand alone Gamecrazy in another part of town, now that could work. Rememeber except for some general assholery demonstrated by some DMs/RMs Gamecrazy way rocks over EB/GS. Gamecrazy in its current state is chained to the brick and mortal movie rental industry which is currently uncompetitive with online offerings and discount stores cheap ass offerings. If Movie Gallery were to close all the unprofitable stores, the company would be a shadow of itself.

[hegor]

Breaking news..........

Movie Gallery has been given an extension on their loans until...............Aug 27th!

[uglyteradon]

MovieGallery filed for a chapter 11 because Hollywood Video didn't meet the goals they set. So they had to get with whoever they took the loan out with and make changes to make sure they would do better next quarter. GameCrazy was apparently the only part of the company that banked money. So they started E4, which is basically a stepping stone to becoming GameStop. They almost never get games in on time and the people who work there are usually idiots, they hire people who can sell over hardcore gamers. If they can do both of those things then okay, but if they can't sell then you're as good as gone. It's competitive in a bad way because almost every manager cheats to get on top, while hard working employees have to deal with getting bad pay. They even changed it to where managers get commission for what other employees do in that store, but why? So they have more of an incentive to fire somebody if they aren't making great sales everyday. Employees are written up if they don't greet every customer, but I don't really want to be nagged when I walk through that door, and even if they recognize the person they have to go through the whole routine. But honestly what it all comes down to is they stopped classic games... and that was really the only thing that kept from being any different than Gamestop.

So ,honestly, what would change if Gamestop bought them now?

[Doomed]

Raising prices mostly. When GS bought Rhino, was credit still usable?

[A Happy Panda]

MovieGallery filed for a chapter 11 because Hollywood Video didn't meet the goals they set. So they had to get with whoever they took the loan out with and make changes to make sure they would do better next quarter. GameCrazy was apparently the only part of the company that banked money. So they started E4, which is basically a stepping stone to becoming GameStop.

Honestly, what would change if Gamestop bought them now? Basically a lot of corporate douche bags would be out of a job... which would be awesome anyway.

A lot... GC has the best trade-in prices normally, and their employees for the most part aren't fucktards like GS/EB ones.

[uglyteradon]

A lot... GC has the best trade-in prices normally, and their employees for the most part aren't fucktards like GS/EB ones.

E4 is weeding out all the good employees, so eventually it's just going to get worse. I don't know if it's just because the District Manager is so competitive in this area but there is only one out of four in my area that I even like going too. Trade depends on how much merchandise comes into a store, if they have a lot of copies then the value is decreased drastically. I just don't see that big of a difference but I guess I just haven't really been shopping at GS in a long time. I just miss the days when I could buy SNES games at good prices and I wasn't molested by corporate BS the second I walked in the door. I mean at least at places lke Best Buy you can just be rude and not respond but it's awkward in such a tiny area.

[A Happy Panda]

E4 is weeding out all the good employees, so eventually it's just going to get worse. I don't know if it's just because the District Manager is so competitive in this area but there is only one out of four in my area that I even like going too. Trade depends on how much merchandise comes into a store, if they have a lot of copies then the value is decreased drastically.

True. But I'm pretty sure GC matches competitors for trade-ins...

[phear3d]

thats really good to hear, SYMBOLIC. i for one will continue to support your company. i did yesterday. bought 3 copies of persona 3, new ps2, persona guide. i hope GC will continue to grow. just make sure you guys get rid of idiot employees that could easily tarnish your name as a whole.

[uglyteradon]

True. But I'm pretty sure GC matches competitors for trade-ins...

They have to call the Disctrict Manager to get permission to do any price alteration.

[SYMBOLIC]

Dude you can say all you want to say, and no offense to you. The walk in movie rental business is dying slowly and painfully. 99% of the Gamecrazy's are tied to those debt creating Hollywoods. You can move them to another part of town and you would have the same result. No matter how nice the staff is and how good the selection, you can't compete with sitting on your ass at home and pushing a button to watch the movie you want especially if its cheaper. Unless your GC is pulling such wicked comps that you can cover what your Hollywood is losing (or will start losing) then your store is going to die too. Now closing the HW/GC and opening a stand alone Gamecrazy in another part of town, now that could work. Rememeber except for some general assholery demonstrated by some DMs/RMs Gamecrazy way rocks over EB/GS. Gamecrazy in its current state is chained to the brick and mortal movie rental industry which is currently uncompetitive with online offerings and discount stores cheap ass offerings. If Movie Gallery were to close all the unprofitable stores, the company would be a shadow of itself.

Good reply and yes, my store for one is doing some major comps as well as my hollywood. The rental store is a dying breed i agree. However, thats a simple fix when its needs to be. A buyout, a sublet, and a drywall can fix the problem. That wouldnt need to take place for a few more years. As long as some stores are making money, they will take forever to close. No business owner will just go bankrupt and lose all the net worth without a fight. That could buy time to make the moves that can be positive. Anyhow, think about quality over volume. We have always been a business that strived to be better than the gamestops and the eb's of the world. and yet as small as we are, you guys on here seems to know us...and shop with us...and like us better than your average mall videogame store. That my friend is how we will stay in the game. So thanks for all the support in advance you guys. Its gonna be a fun 4th qtr.

[jer7583]

This E4 thing really makes sense based on how fakey some of the newer employees are. It's always the same "friendly" greeting that seems incredibly forced..

And always the same "So, do you like X game series/genre/title?" when you buy something? I bought a $5 copy of Deus Ex on PS2, the dude couldn't even pronounce the title of the game, but still asked me "so, are you a big fan of doos x?

Must be some new script they have to follow. What bullshit. This is coming from a former employee of the wretched chain, and it seems I just saw the tip of the iceberg with this MVP/preorder bullshit.

Seems that gamecrazy will be doing all it can to push away the people who buy the most games by aping gamestop whenever they can, now. All game retail stores are shit, shitty shit shit shit shit that don't need to exist, and WON'T exist anywhere near their current form within ~10 years. All of them except gamestop will go away, and gamestop will become the all consuming media store with movies and games, chomping up local places every chance it gets now that the national chains are gone.

There's my prediction.

[hegor]

What is this E4 shit? Do I have another reason to feel good I left Gamecrazy?

[nonggame]

GameCrazy employees are so stupid. I want to to go ahead and get another PS3 because of the promotion they having, so after they check my slim PS2 and everything the trade for the PS2 was only 6o bones. So I ask him about the extra 50 credits I even point out the flyers on the table and the answer I got was " he doesn't know when the promotion start ><"

[hegor]

GameCrazy employees are so stupid. I want to to go ahead and get another PS3 because of the promotion they having, so after they check my slim PS2 and everything the trade for the PS2 was only 6o bones. So I ask him about the extra 50 credits I even point out the flyers on the table and the answer I got was " he doesn't know when the promotion start ><"

Hey, no generalized comments here. My store we knew what was what. That employee was a dumbass, you can go into your weekly store email and see what the current and upcoming promotions are. Next time embarrass him and tell him to do his job and find out.

[MSUHitman]

OK I have about $30 down on both NHL 2K8 for the 360 and Stranglehold for the PS3. Should I (and others with pre-orders pending through Sept.) cancel our pre-orders and buy something else? What can we do to get our money if the credit is through trade-ins?

[Tsukento]

So ,honestly, what would change if Gamestop bought them now?
Bye bye classic games. Hello raised used prices. Hello gutted new products. Hello employee played games that are sold as new. Bye bye decent trade-in values.

[refusedchaos]

damn, no more going into GC and walking out with a complete mint copy of SMT:DDS Deluxe

now it will be going into GS and walking out with a disc only copy of SMT:N that has been raped

[Scorch]

OK I have about $30 down on both NHL 2K7 for the 360 and Stranglehold for the PS3. Should I (and others with pre-orders pending through Sept.) cancel our pre-orders and buy something else? What can we do to get our money if the credit is through trade-ins?

Cripes, what have I started..

First, I assume you mean NHL 2K8..

and second, there's no rumblings about GC being in danger, I was just saying in the OP if the parent company is low on money... anyway, if stores were to start closing (which at this point they aren't), you'll find it out. It's not like it's going to be sudden, it wouldn't be before the new year or anything.

[Pharrell1]

I have a movie gallery close to my house I didnt know they sold games there?

[io]

Wow, hows did I miss this enormous thread. Like Scorch says, I wouldn't be worried, YET. Hopefully there will be plenty of warning. But seriously, someone is worried about a couple of $30 preorders? I have over $500 in credit there (thanks to the last 50% bonus trade deal - used it to convert some credit over from Blockbuster as well as generate lots o' new credit)! I definitely need to keep an eye on this situation. Should the need arise I'll dump it into a PS3 ;).

[hegor]

OK I have about $30 down on both NHL 2K7 for the 360 and Stranglehold for the PS3. Should I (and others with pre-orders pending through Sept.) cancel our pre-orders and buy something else? What can we do to get our money if the credit is through trade-ins?

The way bankrupcy and consumer protection laws work, you would be given a window in which you could redeem your credit. I earlier in this post advised get your credit out now, but since I looked up other store closures and such you would be ok to keep your pre-orders. Just check on the health of Movie Gallery every so often, like maybe once a week. Just type Movie Gallery into google and then select news and you 'll see financial analysis of Movie Gallery. This is how I came to the decision to leave Gamecrazy (in addition to the more money my new gig pays). No offense to the people on here who continue to love working at GC but dumb things like E4 are a direct result of what I call "bean-counter desperation". It was all about building relationship with my guests. They got to know the store, its services, and culture. My regulars were varied and many. Soccer moms to cheap ass gamers to gratuitous spenders. I always had the best revenue store in my district because it was a great place to shop not because of the MVP card or 12 free rentals or every guest everytime. No of this E4 shit. We politely mentioned pre-orders and mvps, and never grinded anyone.

I have an ambivalence towards this mess Movie Gallery is in. On one hand because of the dumbasses who put GC in this mess it can't die soon enough. On the other hand, there are so many people I know who work so hard to make guests happy and just want to make an honest living working around the coolest hobby next to sex, and to see them suffer really sucks. It would be nice to show them support. So I don't know what to tell you, shop at Gamecrazy and if you get a good experience show some love and call 1-8speaktous and say how cool it was. If you get a dumbass then call the same number and give them hell. That is one thing this company does right, both compliments and complants get seen by lots of corporate types. If you give lots of honest feedback it will make it hard for a DM to drop the hammer on a guy who works hard to please you but just isn't lucky selling the MVPs.

[io]

Never? I've seen your avatar here and there. But since you asked so nicely, this is who I am (http://img.photobucket.com/albums/v76/guinaevere/photos/72.07f.jpg?t=1187227954).


Picture's too dark, Gwen (though I suspect that is intentional to somewhat hide your identity ;)).


It really depends on the final word from their lendors. I don't know if they'd close right away, but I wouldn't waste time holding onto credit ifyou have any.

OK, I went back and read the first few pages and it seems all doom and gloom until Scorch's latest post. Man, I'm going to have to go into my local store because it is close to the old Hollywood corporate offices (they always have new games from corporate traded in as used) and see what's up. I haven't been there in a few weeks but this store is usually booming... I have over $200 sitting there and more on gift cards. This store has the best game store employees I've ever known (as a group, though my favorite EB is close) and they even hired one of the out of work Gamerush guys recently.

I'll pretty much just have to stop playing games if I lose Gamecrazy after losing Gamerush this year (the only one within 700 miles closed in March). I can't fathom only having EB/GS to deal with. They've been decent, recently, with their bonus trade-in promos and I've actually got more preordered there as a result (the trade 2 Wii deal mostly) but most of my spare credit beyond that is at GC. And while we had two decent EB/GS trade-in deals this summer they had a huge dry spell before that and GC's normal prices are almost equivalent to EB/GS with a deal. And if GC disappears, there's less incentive for EB/GS to run ANY deals as they basically have no more competetion (NONE around here for sure). I'm too spoiled on getting new releases dirt cheap (with trade-in profit) that regular game retailers are not a consideration (Target, TRU, Best Buy, etc) except for clearance goodies.

I never really went to Gamecrazy when I had access to a GR because GR used to have the best deals and trade-ins. Now that mantle has gone to GC (GR stores that still exist are too unlreliable and they don't have trade-in deals any more anyway). Now that I'm going to GC's it is great because I have access to several in my area. Hopefully the worst that happens is a few locations shut down (and hopefully most of those are GC-less Hollywoods though I don't want my small-town one to close as I have all those free rentals from buying my 360 and I use them there).

By they way, I never heard of this "Movie Gallery" entity before they bought out Hollywood. Out here (Pacific NW) there are dueling Hollywoods and Blockbusters paired up in nearly every market, though Hollywood definitely has more locations.

[davo1224]

I was a big fan of Gamecrazy when I heard about their trade-in prices. Then I came in almost every day just trading stuff in and looking to buy. I even got the MVP card. My last visit was total ass though. The manager voided a trade-in I did because "the wrong game was looked up" (bullshit as the kid scanned the UPC, not a name lookup) when in all actuality I believe it's just because he thought the trade-in value was too high. Then when I decided to use the remaining store credit, they told me I owed *them* money because they "forgot" to add in my trade-in credit. They balked at first at me wanting that two dollars. After they figured out that they just happened to have an extra copy of the game I traded in, they gave it to me.

If that's how they treat a new regular customer like me then fuck them. Even with all their price-jacking, Gamestop still has most games cheaper than they do. What a coincidence that the trade-in value is higher :roll:

Now that they got rid of classic plastic, they're even more worthless. I'm going to use them as a pawn shop when I find good stuff to flip. Other than that I'm just gonna check their "pulse" every so often to see when they go under, pillage what I want, and then be out.

[io]

Well, davo, to be fair, that sounds like a particularly crappy set of employees, and not anything specific to GC. More people can probably relate bad experiences at EB/GS than GC. I had a pretty crappy time at one GC once (returned a new/sealed game a day after I bought it and the guy tried to give me half my money back because some of the credit was from games I traded. WTF?? They *kept* those games and I paid $40 for the new one - thus I get $40 back. He just didn't get it, it was strange).

But 95% of the time my experiences at GC are good (I just avoid that one store now). And I'm not sure what you mean by higher prices than EB/GS. Generally their used games are $5 less for the newer releases ($49.99 instead of $54.99 for a recent 360 game for example). Their trade-in values are higher despite the fact that they generally sell the game used for the same or a slightly lower price than EB/GS. I can't see any reason to complain about that. EB/GS is utterly useless for trade-ins unless they have some deal to exploit.

It will be a very sad day if GC goes under. But what's the deal? There was a flurry of posts in this thread and now nothing (about any closure or downsizing issues) for several days. I was in my GC this evening and they took a preorder from me for Oct and talked to me about credit expiring in 6 months (they claim it doesn't really). I was fishing for any info they might have on a store closure so I brought that up to see if they'd tell me anything. Nada...

[guinaevere]

And always the same "So, do you like X game series/genre/title?" when you buy something? I bought a $5 copy of Deus Ex on PS2, the dude couldn't even pronounce the title of the game, but still asked me "so, are you a big fan of doos x?That's everywhere. GameStop, GameRush, BestBuy, CC, et cetera. The ones that stand out in my mind are any Ys or something of Mana games. In the bigger retailer stores, I don't mind, I expect a non-gamer to be working the gaming area. But it does irritate me when you have some loudmouth working in an EB talking about how he's so into games and then mis-pronouncing Ico and having no clue that he just did so.

The way bankrupcy and consumer protection laws work, you would be given a window in which you could redeem your credit. And if they failed to give that option you'll then wind up with the option to opt-in to a class action or other major settlement. Your claim is usually pennies to the dollars (ie, if you have $200 in credit, you'll maybe wind up with a $20ish cash settlement in a few years).

Not trying to be doom and gloom, but I've seen this happen as well. Don't throw your credit away on garbage purchases, but do consider that now is quite possibly a very good time to use it.

Picture's too dark, Gwen (though I suspect that is intentional to somewhat hide your identity ;)).Not my fault, it was dark in there. 8-)

Man, I'm going to have to go into my local store because it is close to the old Hollywood corporate offices (they always have new games from corporate traded in as used) and see what's up. I haven't been there in a few weeks but this store is usually booming... I have over $200 sitting there and more on gift cards. This store has the best game store employees I've ever known (as a group, though my favorite EB is close) and they even hired one of the out of work Gamerush guys recently.That's the benefit of being within regular visiting range of HQ. A vigilant eye = better store and better employees.

[davo1224]

And I'm not sure what you mean by higher prices than EB/GS. Generally their used games are $5 less for the newer releases ($49.99 instead of $54.99 for a recent 360 game for example).
Most of the $5-$10 games at Gamestop are $7-$15 at Gamecrazy. The trade-off is that you get $40 games at Gamecrazy that you'd find for $45 at Gamestop. That might help some but I haven't spent that much on a game since Majora's Mask, especially when there's good deals to be head only a few months later. Then you'll just have your oddities at Gamecrazy that aren't based on any franchise tie-ins. Why the hell does Mario Party 5 cost more than Mario Party 6 and 7 (which are the same price)?

Their trade-in values are higher despite the fact that they generally sell the game used for the same or a slightly lower price than EB/GS.
Again that really only seems to be the case as far as high-priced games and since they don't do tie-ins with their games (Metroid, Halo, Mario, etc.)

I can't see any reason to complain about that. EB/GS is utterly useless for trade-ins unless they have some deal to exploit.
True that but if you wait for those deals, then it's a lot more beneficial to me atleast. I waited until Gamestop's "Trade 5 or More, Get 40% Extra (with Edge)" promo and got $39.60 off five of the shittiest games ever. The next week they had the B2G1F.

[vectorscalar]

snip

But what's the deal? There was a flurry of posts in this thread and now nothing (about any closure or downsizing issues) for several days. I was in my GC this evening and they took a preorder from me for Oct and talked to me about credit expiring in 6 months (they claim it doesn't really). I was fishing for any info they might have on a store closure so I brought that up to see if they'd tell me anything. Nada...

I think we're all in wait-and-see mode, GC employees included. If you know a store manager, DM or RM, they might talk to you about it. Latest talk at my local GC is that the Hollywood will probably close, but the GC will take over the space (MG owned, not leased), so no remodeling/drywall/potty installs. They think they might firesale the movies to raise $$$ to keep the GCs running (the MG cash money lifeline). In all likelyhood we'll hear something on or about Monday the 27th (the day creditors gave the extension to).

Then again, maybe not.

[io]

I think we're all in wait-and-see mode, GC employees included. If you know a store manager, DM or RM, they might talk to you about it. Latest talk at my local GC is that the Hollywood will probably close, but the GC will take over the space (MG owned, not leased), so no remodeling/drywall/potty installs. They think they might firesale the movies to raise $$$ to keep the GCs running (the MG cash money lifeline). In all likelyhood we'll hear something on or about Monday the 27th (the day creditors gave the extension to).

Then again, maybe not.

My favorite store is near HQ (the old Hollywood HQ, which I guess is the GC HQ now? I'm not sure but the employees always talk about HQ being near). They told me there today that they would be the first to know and they've heard nothing... Oh well, wait and see I guess.

Fortunately they had a copy of Persona 3 in today, so I managed to spend $50 of my credit. Only near $600 left ;). I may not have picked that up normally, but with there being some question about the future of GC that made it easy. Unfortunately they just stopped their price matching (only this store did it) so I passed on Heroes of Mana and Brain Age 2 (was hoping to get them for $30 and $15). That sucks, as I hoped to get $10 off a lot of the new 360 games this Fall with PMs to CC or Fry's. I guess now I should just hope I can buy them at all from GC :cry:.

[davo1224]

Unless you have some stuff you really want to get, I'd suggest buying stuff that can be resold easily and for just about the same amount in cash. I made around $18 on Metroid Prime 2 for example after shipping costs even though it only cost $14.50 in store credit.

[hegor]

Speaking of Gamecrazy,

Today is Movie Gallery's day of reckoning. I wonder what the future has in store.

[io]

Speaking of Gamecrazy,

Today is Movie Gallery's day of reckoning. I wonder what the future has in store.

Hmmm... Well, I'll be in there tomorrow so I'll see if they hear anything at this store level there. This is already affecting the way I deal with my credit though. I would probably have cancelled my Blue Dragon preorder and waited for a price drop or used copy and saved that $60 for better things. But now with the potential issues here (whether it is immediate or drawn out or nothing) I think I'll just pick the damn thing up. I hate spending $60 (even in credit) on a slightly above average game, but...

[icruise]

I think Blue Dragon is better than slightly above average.

[io]

I think Blue Dragon is better than slightly above average.

Possibly - the demo was OK but I hear the actual game is better than what was shown there (or, possibly, just not being tossed in mid-game is better). The reviews are all over the damn place though. I like turn-based JRPG's, though, so I'd probably trend towards the higher end of the reviews myself. Still, it is not looking stellar, which is what a game would have to be for me to spend $60 on it ;). But, like I said, with the GC issues going on, I will just pick it up. If worse comes to worse, I can sell it for $45-$50, probably. It's better than losing the credit. Problem is, I will still have a ton more credit left. I may have to start getting more of the soon to be released games like Eternal Sonata and maybe even Bioshock (which I was just going to rent otherwise).

Hopefully, anyway, there will be plenty of warning if anything bad is going to happen. Like I said before, I could always buy a PS3, IF they can be found. That's why I need to stay on top of this and I appreciate the insiders (even if they are now former insiders) adding their comments here. However, I'm not going to do anything rash (like buy a PS3 ;)) just yet until there is some more concrete info. Getting Blue Dragon, though, is a small move I'm making just in case...

[hegor]

Movie Gallery was given another extension until September 30th.

Surprising, I wonder if they might have a buyer?

[icruise]

Possibly - the demo was OK but I hear the actual game is better than what was shown there (or, possibly, just not being tossed in mid-game is better).
I've played through most of the Japanese version, so I'm not just making this up. YMMV, of course.

[io]

Movie Gallery was given another extension until September 30th.

Surprising, I wonder if they might have a buyer?

Goody goody - more uncertainty ;).

icruise - I've decided I'm going to pick up Blue Dragon (though I guess not till tomorrow - Metroid being out today threw me off, though I ought to call GC just to be sure).

[hegor]

Goody goody - more uncertainty ;).

icruise - I've decided I'm going to pick up Blue Dragon (though I guess not till tomorrow - Metroid being out today threw me off, though I ought to call GC just to be sure).

Alas, probably not. How soon I forget that anyone who purchases them now, has to assume the one billion dollar debt. However a buyer who buys Movie Gallery in the middle of bankruptcy proceedings can negotiate the debt with creditors.

Thanks Motley Fool for educating me.

http://www.fool.com/investing/general/2007/08/28/movie-gallery-delays-the-inevitable.aspx

[Scorch]

I heard rumors floating about.. something about Netflix being interested.. would compete with Blockbusters online rentals and returns.. hm.. this was a while ago though

[io]

Alas, probably not. How soon I forget that anyone who purchases them now, has to assume the one billion dollar debt. However a buyer who buys Movie Gallery in the middle of bankruptcy proceedings can negotiate the debt with creditors.

Thanks Motley Fool for educating me.

http://www.fool.com/investing/general/2007/08/28/movie-gallery-delays-the-inevitable.aspx

Hey, I haven't checked out Motley Fool in, like, 8 years or so. I read their original book and was a daily vistor to their site for a while (much like I am here now). I had no idea they were still around. Their whole core gimmick (the Foolish Four or whatever it was), I thought, pretty much turned out to be bunk.

I guess I'll take a peek over there and see what they are up to. Edit - Meh, they've gone all into the subscription ($$$) based stock tip racket, how disappointing. They used to list their picks publicly. Not gonna work for this cheap-ass ;).

[hegor]

Hey, I haven't checked out Motley Fool in, like, 8 years or so. I read their original book and was a daily vistor to their site for a while (much like I am here now). I had no idea they were still around. Their whole core gimmick (the Foolish Four or whatever it was), I thought, pretty much turned out to be bunk.

I guess I'll take a peek over there and see what they are up to. Edit - Meh, they've gone all into the subscription ($$$) based stock tip racket, how disappointing. They used to list their picks publicly. Not gonna work for this cheap-ass ;).

I don't pay them for nothing! LOL! I just read them and a few other sites. Motley Fool tends to write in an amusing fashion.

[icruise]

So what's the verdict on a possible Game Crazy sale? Today would be the starting day, right?

[BattleChicken]

So what's the verdict on a possible Game Crazy sale? Today would be the starting day, right?

I just called my local GameCrazy in Eagan, MN, and the guy I spoke with doesn't know anything about a sale..

I kind of feel bad becuase he got a little rattled when I mentioned how poorly their parent company was doing... I totally bummed him out to the max. If he didn't know THAT, though, its possible that the peons haven't been informed yet, and thats all.

[MSUHitman]

So what's the verdict on a possible Game Crazy sale? Today would be the starting day, right?

A post above stated Movie Gallery has been given another extension on its loans until the end of September. The only 2 games I have reserved at my local GC are Stranglehold CE for the PS3 and NHL 2K8 so hopefully those come out before the end of Sept. since my pre-orders were both in trade-in credit.

[Scorch]

Movie Gallery filed for bankruptcy this morning. Poor performing Hollywood Video, Movie Gallery and GameCrazy locations will continue to be shut down, but as a company, GameCrazy remains unaffected.

[jaysapathy]

I know this probably doesn't fare well for the majority, but I'd like to chime in my two cents here. Haven't seen it posted (or maybe just passed over it), but has anyone mentioned that Movie Gallery owns Blockbuster too?

That means that not only are the GameCrazys in danger, but so are what little of the GameRush stores left. Maybe Movie Gallery will just sell off their stock in GameRush, just like they did with Rhino when MG aquired BB. It's sad, but the internet is just ripping things apart..

Jay

[slidecage]

Movie Gallery filed for bankruptcy this morning. Poor performing Hollywood Video, Movie Gallery and GameCrazy locations will continue to be shut down, but as a company, GameCrazy remains unaffected.


wonders what the odds would be o f gamecrazys just being stand alone places.

has 329 bucks credit at gamecrazy OUCH

[IAmTheCheapestGamer]

I know this probably doesn't fare well for the majority, but I'd like to chime in my two cents here. Haven't seen it posted (or maybe just passed over it), but has anyone mentioned that Movie Gallery owns Blockbuster too?

That means that not only are the GameCrazys in danger, but so are what little of the GameRush stores left. Maybe Movie Gallery will just sell off their stock in GameRush, just like they did with Rhino when MG aquired BB. It's sad, but the internet is just ripping things apart..

Jay

I'm pretty sure MG doesn't OWN BB, though they may own STOCK in them, I don't think they OWN them. I may be wrong though.

If that's the case, then two chains may go down the shitter with this one bankruptcy or <gulp> God help us if Gamestop acquired either Hollywood Video or BB. Then there would be LESS stores for me to go to, even moreso than now.

[slidecage]

isnt it agasint the law for mg to own stock in blockbuster.

worse thing that will happen


Movie gallery will sell off to Blockbuster the video part
Movie gallery will sell off its Gamecrazy to Gamestop


why would gamestop want to rent movies??

[IAmTheCheapestGamer]

Think about it, slidecage, they have the game biz just about sewn up for pre owned, but their fledgling attempts to sell dvds in store has been a bit of a failure. So, buy a competitor with established stores and walk into the biz with ready made retail locations.

I'm not 100% sure it could happen, but it might.

[phear3d]

Movie gallery will sell off its Gamecrazy to Gamestop


i hope it wouldn't come to that.

[jaysapathy]

I worked for Blockbuster for a year, and then jumped ship to work at GameCrazy. During that time, Movie Gallery bought Hollywood/GameCrazy. Trust me, they're both owned by the same conglomerate. That's why Rhino went out of business -- three game stores is too much for one business to manage. I still have memos from Blockbuster higherups with the Movie Gallery logo, and I'm almost positive I have the "Welcome To The Movie Gallery Family" packet they sent us at GC when they bought everyone out. I quit not too long after that.. Movie Gallery treats Hollywood/GameCrazy managers like shit.

But yes, they are indeed both owned by Movie Gallery. A quick Google will turn that up.. Or you can just take my word for it. Either or.

[Scorch]

I'm pretty sure MG doesn't own Blockbuster. Can someone show proof of MG buying Blockbuster? That makes no sense, why would one company have two of its chains rivaling each other? Blockbuster wanted to buy Hollywood Video in 05 and Movie Gallery bought Hollywood Video and GameCrazy instead. Where's proof that MG owns/bought Blockbuster?

[io]

Well, as part of the panic over the potential closing of Gamecrazy I had preordered the Star Wars PSP bundle pack (to burn $200 of my credit). While I'd like the Vader PSP I don't even play the regular PSP I have so it was completely unnecessary. I returned it today while picking up Beautiful Katamari. I'm glad to read this upon my return though - I will continue to sit on my credit for the time being. My "out" can always be a PS3 if I need to dump credit quickly.

I did preorder Mass Effect today though, so that's another $60 to burn if I pick it up.

[edavis0780]

I worked for Blockbuster for a year, and then jumped ship to work at GameCrazy. During that time, Movie Gallery bought Hollywood/GameCrazy. Trust me, they're both owned by the same conglomerate. That's why Rhino went out of business -- three game stores is too much for one business to manage. I still have memos from Blockbuster higherups with the Movie Gallery logo, and I'm almost positive I have the "Welcome To The Movie Gallery Family" packet they sent us at GC when they bought everyone out. I quit not too long after that.. Movie Gallery treats Hollywood/GameCrazy managers like shit.

But yes, they are indeed both owned by Movie Gallery. A quick Google will turn that up.. Or you can just take my word for it. Either or.

Blockbuster Inc. and Movie Gallery are two separate companies. They competed with each over who would buyout Hollywood Video some years back. Blockbuster use to be owned by Viacom, but they became a separate entity sometime during the 90s.

[djkunai]

Blockbuster and Movie Gallery are RIVALS and not affiliated in anyway. Movie Gallery bought Hollywood Video / GameCrazy. Blockbuster is not a part of Movie Gallery/HollywoodVideo/GameCrazy.

[davo1224]

I really wouldn't mind either of them going down in flames

[zerowing]

So would all stores being going out of business? My Hollywood video has some awesome games I would love to go pick up.

[MrDubbs]

I think the OP was talking about MG owning both Hollywood and GameCrazy?

[Bune]

I know this probably doesn't fare well for the majority, but I'd like to chime in my two cents here. Haven't seen it posted (or maybe just passed over it), but has anyone mentioned that Movie Gallery owns Blockbuster too?

That means that not only are the GameCrazys in danger, but so are what little of the GameRush stores left. Maybe Movie Gallery will just sell off their stock in GameRush, just like they did with Rhino when MG aquired BB. It's sad, but the internet is just ripping things apart..

Jayyou, my friend, are very sorely mistaken. easy logic: if Movie Gallery owned Blockbuster, and Blockbuster wanted to buy Hollywood, why did Movie Gallery buy Hollywood instead of Blockbuster? If that's too difficult to understand:In December 2004, Blockbuster announced it wanted to pursue a hostile takeover of Hollywood Video, its major U.S. competitor. In response, Hollywood Video agreed to a buyout in January 2005 by a smaller competitor, the Dothan, Alabama-based Movie Gallery.edit: just saw this.I worked for Blockbuster for a year, and then jumped ship to work at GameCrazy. During that time, Movie Gallery bought Hollywood/GameCrazy. Trust me, they're both owned by the same conglomerate. That's why Rhino went out of business -- three game stores is too much for one business to manage. I still have memos from Blockbuster higherups with the Movie Gallery logo, and I'm almost positive I have the "Welcome To The Movie Gallery Family" packet they sent us at GC when they bought everyone out. I quit not too long after that.. Movie Gallery treats Hollywood/GameCrazy managers like shit.

But yes, they are indeed both owned by Movie Gallery. A quick Google will turn that up.. Or you can just take my word for it. Either or.how about not...

[tangytangerine]

I worked for Blockbuster for a year, and then jumped ship to work at GameCrazy. During that time, Movie Gallery bought Hollywood/GameCrazy. Trust me, they're both owned by the same conglomerate. That's why Rhino went out of business -- three game stores is too much for one business to manage. I still have memos from Blockbuster higherups with the Movie Gallery logo, and I'm almost positive I have the "Welcome To The Movie Gallery Family" packet they sent us at GC when they bought everyone out. I quit not too long after that.. Movie Gallery treats Hollywood/GameCrazy managers like shit.

But yes, they are indeed both owned by Movie Gallery. A quick Google will turn that up.. Or you can just take my word for it. Either or.
Maybe Movie Gallery bought that Blockbuster franchise store? Because Blockbuster is owned by Viacom. If Blockbuster was owned by Movie Gallery, why would Blockbuster be the only one offering a online rental service? Plus Blockbuster would be pushing those damn $.25 disc protection plans I get offered every fucking time I rent from Hollywood Video(oh, BTW, now HV is now offering magazine trials so you have more crap to put up with).

Scorch brought up the mention that this might signal that Movie Gallery will sell Game Crazy to Gamestop. Which begs the question if it does happen. Will they just absorb the inventory & close the stores or keep them open?

[fullmetalfan720]

Blockbuster is not owned by Movie Gallery.

http://en.wikipedia.org/wiki/Blockbuster_Inc.

http://en.wikipedia.org/wiki/Movie_Gallery

[IAmTheCheapestGamer]

Maybe Movie Gallery bought that Blockbuster franchise store? Because Blockbuster is owned by Viacom. If Blockbuster was owned by Movie Gallery, why would Blockbuster be the only one offering a online rental service? Plus Blockbuster would be pushing those damn $.25 disc protection plans I get offered every fucking time I rent from Hollywood Video(oh, BTW, now HV is now offering magazine trials so you have more crap to put up with).

Scorch brought up the mention that this might signal that Movie Gallery will sell Game Crazy to Gamestop. Which begs the question if it does happen. Will they just absorb the inventory & close the stores or keep them open?

If Gamestop ended up buying Gamecrazy, it wouldn't really affect me, since the only one 'near' me is about 35 or so miles away from me. But, from time to time, when HWV has their 2/$20 pre owned game deal, I've found some good stuff on the shelves and if GS ever tried to diversify their holdings by buying HWV, I KNOW that sort of sale would end post haste.

[IAmTheCheapestGamer]

Get ready for more potential deals, my fellow CAGs because I just found THIS report on AOL's Welcome screen tonight, saying that Movie Gallery is closing 400 MORE stores.

Linky: http://money.aol.com/news/articles/_a/movie-gallery-to-close-400-more-stores/20080205100509990001