Dallas Blockbuster agreed to add dissident shareholder Gregory S. Meyer as a director and said it’s working with bondholders to restructure its debt.
CEO Jim Keyes told investors at the annual meeting in Dallas that time is “of the essence” in the efforts to refinance. Blockbuster, with $900 million in debt, faces an $18.5 million July 1 interest payment on $630 million of 11.75% bonds, according to data compiled by Bloomberg.
The company has lost more than $1 billion in the past three years amid store closings, declining sales and competition. Blockbuster is trying to reconfigure its finances and operations at the same time, Keyes said.
Meyer, who founded the DVDXpress company in 2001 that rented DVDs through kiosks, had sought to replace incumbent Gary Fernandes. The company said on Thursday all nominees were elected.
Blockbuster said in March it was seeking to refinance its debt and could be forced to seek bankruptcy protection.