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Re: Zephyr post# 3155

Sunday, 04/25/2010 8:28:26 PM

Sunday, April 25, 2010 8:28:26 PM

Post# of 6674
Spokeswoman Michelle Metzger (of Blockbuster) says the Dallas operator of video rental stores is in the midst of "transforming to a multi-channel company," and is still in hiring mode.

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NCR also spoke of the multi-channel transformation in the Q1 2010 conference call:

"We have been and continue to work through our partner BLOCKBUSTER is, is that this naturally augments them through their [mall] and also their store footprint with our kiosk footprint and so we continue to work within a multi-channel automated retail window versus rental, so we look at these machines a little bit differently and we are in the different segment of the market in a way we developed it and that's why we have been negotiating differently and working differently in order to enable that. We will be this summer selling finished products through our machines, which is fantastic for all parties involved."

"Our partnership with BLOCKBUSTER and the multi-channel nature of that entity, if you looked at it end-to-end, with BLOCKBUSTER having a day and date privileges, we think that all of that added up is a very powerful argument to bring forward a very powerful channel for the studios to partner with."

Source: http://seekingalpha.com/article/200324-ncr-corp-q1-2010-earnings-call-transcript?page=-1&find=blockbuster

I believe NCR (and Blockbuster) will morph into a single, stronger entity. The Blockbuster exclusive 28 day window for new releases is a game changer for the video rental industry, and will enable Blockbuster to turn the tides against Netflix (and Redbox), and gain valuable market share, imo.

STRONG BUY