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Blockbuster Drops Plans to Purchase Rival Chain

By Alabama Public Radio

Dothan, AL – It appears Dothan-based Movie Gallery will be able to move ahead with its purchase of a rival video rental chain. Both Movie Gallery and Blockbuster Entertainment were trying to acquire Hollywood Entertainment. But Blockbuster has discontinued its efforts to purchase the chain. Hollywood Entertainment had recommended that shareholders accept the buyout offer from Movie Gallery. The combined Movie Gallery-Hollywood chain would have about 45-hundred stores and a annual revenue of two-point-six billion dollars. But it would still be second to Blockbuster.

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