Blockbuster Expands Mexican Presence1 May, 2007 By: Erik Gruenwedel
Ongoing restructuring of international operations apparently does not apply to Mexico, as Blockbuster Inc. this month will open a state-of-art 11-screen movie theater in Cholula Puebla, a suburb of Puebla City, the country's fifth largest city.
Under terms of the 10-year licensing and operations agreement between Blockbuster Mexico and real estate investment company Promotora Forjadores, S.A. de C.V., Blockbuster Cinema will anchor a new shopping center, Plaza San Diego, which also features a Wal-Mart.
In addition to the 11 screens, Blockbuster Cinema will offer a downsized Blockbuster store, coffee shop, entertainment center for young children and free Internet access — a common incentive among Latino businesses.
Spokesperson Karen Raskopf said Blockbuster Cinema would cross-promote renting movies at Puebla's 10 Blockbuster locations by offering theatrical customers special movie and video game rental discounts and presale offers.
“Promotora has provided 100% of the capital investment, so there is little-to-no risk for us with this project,” said Raskopf.
Dallas-based Blockbuster will release first quarter fiscal 2007 results May 2.