Greetings from Dish Team Summit Day Two!

[TheKrell]

I don't disagree, but I do think they wanted more from the purchase than just the name. As mentioned earlier, the on-demand technology was also a target. We don't know what else might have been in the package.

Maybe that technology went into SlingTV. But I doubt it since they had lots of issues getting SlingTV to work right.

I no longer remember what their plans were for Blockbuster; that info is somewhere here in the archives. But it sounded great enough I still remember being impressed. All that stuff with the possible exception of on-demand tech was all pissed way.

 

[navychop]

I recall someone posting an analysis back then that showed that Dish got more than their money’s worth.

 

[lakebum431]

We don't fully know what they wanted out of it, but we know what they got (from the 2011 10-K):

Blockbuster Acquisition

On April 26, 2011, we completed the Blockbuster Acquisition. We acquired Blockbuster operations in the United States and in certain foreign countries. Our winning bid in the bankruptcy court auction was valued at $321 million. We paid $238 million, including $226 million in cash and $12 million in certain assumed liabilities. Of the $226 million paid in cash, $20 million was placed in escrow. Subsequent to this payment, we received a $4 million refund from escrow, resulting in a net purchase price of $234 million. Blockbuster primarily offers movies and video games for sale and rental through multiple distribution channels such as retail stores, by-mail, digital devices, the blockbuster.com website and the BLOCKBUSTER On Demand service. The Blockbuster Acquisition complements our core business of delivering high-quality video entertainment to consumers.

From the acquisition date of April 26, 2011 through December 31, 2011, Blockbuster operations contributed $975 million in revenue and $4 million in net income to our consolidated results of operations. As of December 31, 2011, Blockbuster operated over 1,500 retail stores in the United States. We expect to close over 500 domestic stores during the first half of 2012 as a result of weak store-level financial performance. Over 900 of our retail store leases, including the leases for the majority of the stores we expect to close, include favorable early termination rights for us. We continue to evaluate the impact of certain factors, including, among other things, competitive pressures, the scale of our Blockbuster retail operations and other issues impacting the store-level financial performance of our Blockbuster retail stores. These factors, or other reasons, could lead us to close additional Blockbuster retail stores.

This transaction was accounted for as a business combination using purchase price accounting. The allocation of the purchase consideration is in the table below.

	​	Purchase​	​
	​	Price​	​
	​	Allocation​	​
	​	(In thousands)​	​
Cash		$	107,061​
Current assets		153,258​
Property and equipment		28,663​
Acquisition intangibles		17,826​
Other noncurrent assets		12,856​
Current liabilities		(86,080​	)
Total purchase price		$	233,584​

 

[n0qcu]

Scott, question about the Hopper +
Does caller ID work with it?

 

[dweber]

Scott, question about the Hopper +
Does caller ID work with it?

Since the caller ID is part of the Hopper3 it should not be affected by the Hopper+. The Hopper+ adds Android to the Hopper3.