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Blockbuster Withdraws Plan to Acquire Circuit City
Jul 3, 2008
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Blockbuster Inc. is withdrawing its proposal to buy Circuit City Stores Inc. Chief Executive James Keyes said in a written statement that the proposed deal, at a price of more than US$1 billion, didn't make sense because of market conditions. Circuit City Chief Executive Philip J. Schoonover said his board was still exploring strategies to help shareholders, which he said didn't require Blockbuster's presence.

Blockbuster had offered at least $1 billion for Circuit City and planned to create a 9300-store chain.

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