HMV offered lifeline as labels and studios slash DVD and CD prices
High street entertainment retailer HMV may be about to be offered a lifeline after entering administration last week.
The chain, now in the hands of administrators Deloitte, may get a helping hand from Universal Music, Universal Studios, Warner Music, Warner Studios and Sony, who are said to be willing to cut the price of CDs and DVDs in order to keep the stores open, as well as offering generous credit terms to any potential buyer.
HMV is one of the only major dedicated entertainment retailers on the high street, and the studios and labels are hoping to maintain a physical presence on the high street away from the cut-throat pricing of supermarkets and online retailers.
50 companies are said to be interested in picking up the HMV brand, including Hilco, the restructuring company that owns HMV Canada. Surprisingly, gaming retailers game are also said to be interested in picking up some HMV stores, despite narrowly surviving their own administration last year.
Over 4,000 jobs are currently at risk thanks to HMV’s administration.
Via: The Sunday Times