Blockbuster said on Thursday that the New York Stock Exchange will delist its shares after shareholders failed to approve a so-called reverse stock split. Under NYSE rules, shares of listed companies must trade for at least $1.00 a share. At midday trading today (Friday) Blockbuster shares were trading at 18 cents, despite positive word from the company on Thursday that it successfully negotiated a deal with lenders to delay a $42.4-million debt payment. In a statement, Blockbuster CEO Jim Keyes, whose contract was renewed for two more years on Thursday, said that the company is involved in recapitalization negotiations that would significantly reduce its debt, which currently stands at more than $900 million.

02/07/2010