Schwartz action casts doubt on video deliveries

March 11, 1992|By Michael Dresser | Michael Dresser,Staff Writer

If the newly released video you've been looking forward to renting this weekend doesn't show up at your local store, the store owner is probably not to blame.

Schwartz Brothers Inc., a Lanham-based wholesaler, has told retailers it has shut down its SBI Video operations and has laid off most of the employees in that division, said Mike Puskar, manager of Picture Perfect Video in Glen Burnie. Several other Baltimore-area video store managers confirmed his account.

The store managers said Schwartz representatives had told them the company plans to concentrate on distributing audio products, its original line.

The shutdown raised concerns at some rental outlets that the flow of newly released movies could be disrupted.

Schwartz said Monday that it had arranged for Ingram Entertainment of Nashville to fill SBI customers' orders, but Ingram operators said yesterday they had no knowledge of such an arrangement. Ingram executives were not available for comment.

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