Movie Gallery / Hollywood Video
Liquidation is now complete. Thank you.
Liquidation is now complete. Thank you
Please see List of Store Locations under "Downloads & Info" below.
Woodland Hills, CA – May 21, 2010 – Great American Group, Inc. (OTCBB: GAMR), a leading provider of asset disposition, valuation and appraisal services, today announced that it was the successful bidder on the Movie Gallery Inc. deal for $74.2 million for all the store inventory, fixtures, lease designation rights and 53 owned properties. Great American Group will be conducting the going-out-of-business sale.
“Movie Gallery is one of the largest transactions we have seen in the retail disposition space during the past six months. This assignment is a demonstration of Great American Group’s strong market position and represents a significant accomplishment for our team,” said Andrew Gumaer, Chief Executive Officer of Great American Group.
Movie Gallery is the second largest movie rental chain and operates stores under the Hollywood Video, Movie Gallery and Game Crazy names. Faced with increased competitive pressure from movies by mail, vending machines and high speed internet connections, the company will close over 1,000 stores nationwide. Great American Group and Movie Gallery have worked together in prior years strategically closing stores in an effort to revive the business, but lack of time and finances have brought on the shuttering of the remaining stores. The going-out-of-business-sale does not include Movie Gallery Canadian operations.
Scott Carpenter, Executive Vice President of Great American Group stated, “We are very excited about being selected to handle this project for the Movie Gallery estate. It is always difficult when a chain of over 1,000 stores comes to an end. In the next 8-10 weeks we will wind down these stores while selling millions of games and DVD’s that the chain rented or stocked for sale. While this is a difficult time for the employees of Movie Gallery, this event will provide incredible buying opportunities for the consumer, as well as operators looking to purchase these locations.”
The going-out-of-business sale will start Friday, May 21st, where consumers can save up to 30% off everything in the stores. The sale is expected to last eight to ten weeks.
About Great American Group® Great American Group, Inc. is a leading provider of asset disposition solutions and valuation and appraisal services to a wide range of retail, wholesale and industrial clients, as well as lenders, capital providers, private equity investors and professional service firms. Great American Group has offices in Atlanta, Boston, Chicago, Dallas, London, Los Angeles, New York and San Francisco.
Forward-Looking Statements This press release may contain forward-looking statements by Great American Group that are not based on historical fact, including, without limitation, statements containing the words “expects,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates” and similar expressions and statements. Because these forward-looking statements involve known and unknown risks and uncertainties, there are important factors that could cause actual results, events or developments to differ materially from those expressed or implied by these forward-looking statements. Such factors include those risks described from time to time in Great American Group’s filings with the SEC, including, without limitation, the risks described in Great American Group’s proxy statement/prospectus dated July 17, 2009 and filed with the SEC on July 20, 2009, and its Annual Report on Form 10-K for the year ended December 31, 2009, which will be filed with the SEC. These factors should be considered carefully and readers are cautioned not to place undue reliance on such forward-looking statements. All information is current as of the date this press release is issued, and Great American Group undertakes no duty to update this information.