Film and video game retailer Blockbuster is to enter administration for a second time, according to its owner Gordon Brothers Europe.
The chain, which previously entered administration back in January, will remain trading as normal while a buyer is sought. If Gordon Brothers is unsuccessful in finding a buyer, some stores may close.
Any customers with outstanding orders should visit their local store who will deal with the matter.
A statement provided to IGN explains that the decision is due to continuing poor sales and rentals, despite Gordon Brothers having "striven to turnaround the historically loss-making company by restructuring the business, investing significantly in strategic marketing activities and negotiating with the landlords of its retail outlets.
"The need to significantly reduce costs whilst a buyer is sought will unfortunately result in 32 redundancies at Blockbuster UK’s head office," it continues. "All stores will continue trading as normal whilst a buyer is sought for the business. In the event that a buyer cannot be found some stores may need to close."
The big question this leaves many people with, however, is what this means for Xbox One and PlayStation 4 pre-orders. As of right now, the situation is unclear. While the original statement explains stores will keep trading, a statement provided to IGN from Blockbuster says, "Any customers with outstanding orders should visit their local store who will deal with the matter."
Having spoken to a number of stores, we were told they hadn't been briefed on what was happening as yet. However, a source close to Blockbuster has told us that store managers are being told pre-orders cannot be honoured, which supports a tweet from the official Blockbuster UK account that claims pre-orders will not be fulfilled.
@JackInTheBox05 We are sorry that you will be disappointed and that we can’t fulfil any xboxone or PS4 pre-orders at this time.— Blockbuster UK (@Blockbuster_UK) October 29, 2013
Before this i didn't know Blockbuster was still a business!
People who have pre ordered next gen consoles or games at blockbuster should check if they will be able to fulfil the order or not.