Yoomi Lee | Bloomberg Law FINRA Investor Alert, Companies in Bankruptcy Rarely Make Blockbuster Investments (Oct. 10, 2011) The Financial Industry Regulatory Authority (FINRA) issued an alert to address investor confusion regarding trading shares of Blockbuster, Inc. (Blockbuster), which filed for Chapter 11 bankruptcy on September 23, 2010. FINRA warned that some stock promoters may be exploiting the confusion resulting from the lack of current and accurate information concerning the company’s securities. Further, FINRA noted that bankrupt companies can be targets of online stock tips that can be confusing and misleading. According to FINRA, DISH Network Corp. (DISH Network) acquired almost all of Blockbuster's assets and the remaining entity changed its name to BB Liquidating, Inc. (BB Liquidating). Although BB Liquidating has no further business operations or assets, its shares continue to trade under the BLOAQ and BLOBQ symbols. The SEC, however, has temporarily suspended trading in BLOAQ as a result of inaccurate third-party assertions regarding BB Liquidating's current financial condition and business prospects. For instance, stock promoters have been telling investors that Blockbuster has exited Chapter 11 protection and "is now becoming a promising comeback story." FINRA stated that Blockbuster has not exited bankruptcy and that the company stated in a recent filing that there are no further business operations or assets to liquidate. Moreover, the filing also disclosed that the financial success of DISH Network would have no impact on the value of BLOAQ and BLOBQ shares. Accordingly, FINRA advised investors that buying or holding shares in bankrupt companies in the hope that those shares will increase in value is extremely risky and can lead to financial loss.
All Bloomberg BNA treatises are available on standing order, which ensures you will always receive the most current edition of the book or supplement of the title you have ordered from Bloomberg BNA’s book division. As soon as a new supplement or edition is published (usually annually) for a title you’ve previously purchased and requested to be placed on standing order, we’ll ship it to you to review for 30 days without any obligation. During this period, you can either (a) honor the invoice and receive a 5% discount (in addition to any other discounts you may qualify for) off the then-current price of the update, plus shipping and handling or (b) return the book(s), in which case, your invoice will be cancelled upon receipt of the book(s). Call us for a prepaid UPS label for your return. It’s as simple and easy as that. Most importantly, standing orders mean you will never have to worry about the timeliness of the information you’re relying on. And, you may discontinue standing orders at any time by contacting us at 1.800.960.1220 or by sending an email to email@example.com.
Put me on standing order at a 5% discount off list price of all future updates, in addition to any other discounts I may quality for. (Returnable within 30 days.)
Notify me when updates are available (No standing order will be created).