I have no sympathy:
Blockbuster appeared caught in an avalanche of fiscal problems Tuesday as it posted a quarterly loss of $57.2 million that amounted to twice what analysts had forecast. A year ago, it had posted a profit of $48.6 million. The company was also forced to admit that it would not be able to meet its 2005 financial forecast and that it had to negotiate an agreement with creditors to waive certain debt payments in order to avoid defaulting on the loans. Blockbuster also announced that it was raising the monthly subscription fee for its online service to $17.99 from $14.99. Analysts attributed Blockbuster's problems to its decision to eliminate late fees in an effort to compete more aggressively against Netflix, the leading online rental service, and to a slate of new releases that customers found unappealing. Blockbuster shares plunged on Wall Street Tuesday, dropping nearly 10 percent, then fell an additional 8 percent by mid-morning today (Wednesday).