Hastings suspends movie rentals, gift card use
Signs have been posted on the doors of the Great Falls Hastings store at 726 10th Ave. S. saying that as of Thursday, July 14, the store “has temporarily suspended renting movies.”
Adjoining signs say that Hastings has discontinued renting video games, “suspended refunds and exchanges” and “no longer will be honoring gift cards and account cards.”
Corporate Hastings officials said Friday that the customer program policy changes were outlined when Hastings Entertainment and its parent company Draw Another Circle filed to reorganize under Chapter 11 bankruptcy in mid-June and explained in a letter at that point by Hastings President and CEO Jim Litwak.
The U.S. Bankruptcy Court for the District of Delaware recently extended the deadline for interested buyers to submit qualified bids to buy the company by a week, to July 18.
In a news release, Hastings said it is seeking a buyer “that can help position our business for long-term success.”
In an earlier release, Hastings said it “has been working diligently to overcome challenges to our business, including the increasing number of competitors as well as declining demand for physical media properties such as music, movies, games and rentals that once drove the majority of our sales.”
“We believe we are on the right path, but we need additional financial support to fully execute our plan for the future,” Litwak said. “This Chapter 11 process will help to prepare our business for the intended sale while also providing additional protections and financing to allow us to serve our valued customers.”
A Hastings public relations spokeswoman said it is premature to speculate what might happen to individual stores during the bankruptcy reorganization and sales process.
Hastings has six stores Montana.
At one point about 10 years ago, Great Falls had three large national chain stores specializing in video movie rentals about three blocks from each other. Blockbuster Video and Hollywood Video were across 10th Avenue South from each other at 9th Street, just two blocks east of Hastings. Blockbuster Video closed in July 2007 and the Hollywood Video store near Holiday Village Mall closed in 2010.
Online streaming of movie videos and the growing popularity of Redbox video kiosks have greatly eroded rental of videos in stores, and it is unclear whether video rentals might be restored if and when Hastings is sold.
In Great Falls, the spring closure of One Stop Video in northwest Great Falls left Mike’s Movies & More, 1900 4th St. N.E., as one of the city’s last remaining stores that primarily rents videos.