Published: May 6,
2005, Friday
Blockbuster, the video rental chain, posted a first-quarter loss of $57.5 million, partly because it eliminated late fees and increased marketing to stem customer defections. The company said yesterday that the result meant a loss of 31 cents a share, in contrast to net income of $114.4 million, or 63 cents a share, a year earlier. Sales rose 3 percent, to $1.55 billion. Advertising costs more than doubled to $119 million. Carl C. Icahn, the company's largest shareholder, said on a conference call yesterday that some initiatives had not worked out. He has nominated three candidates, including himself, for election to the board at Blockbuster's annual meeting on May 11.