The parent company of the Hastings entertainment store at Kemp and Southwest Parkway in Wichita Falls has filed for Chapter 11 bankruptcy. The company says if a buyer for the stores isn't found soon, the chain may close.

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By Lynn Walker of the Times Record News

The Hastings entertainment store in Wichita Falls could close if its parent company does not find a buyer.

The parent company, Draw Another Circle, has filed for Chapter 11 bankruptcy.

"As part of the Chapter 11 process, all potential buyers will have the opportunity to submit offers for the Hastings and SPImages business assets, and if more than one offer is received, an auction process will be held to ensure the highest or otherwise best sale is achieved for each business," the company said in an announcement released Monday. SPImages and MovieStop are sister companies to Hastings and are included in the bankruptcy sale. The company hopes to find a buyer within 30 days.

"... we were obligated to formally notify our associates that, if a sale agreement cannot be achieved in a timely manner, we may need to begin downsizing our corporate office and/or closing the entire Hastings chain due to our continuing financial challenges," Kevin Ball, vice president of marketing and advertising, said in a statement.

Hastings has operated a store at Kemp Boulevard and Southwest Parkway in Wichita Falls for many years.

Hastings and other entertainment retailers had their heydays during the boom of recorded music, movies on video, and with books sales. Online downloading services have decimated that market.

"Hastings has been working diligently to overcome challenges to our business, including the increasing number of competitors as well as declining demand for physical media properties such as music, movies, books, games and rentals, which once drove the majority of our sales," the company's statement said.

Hastings was begun as a family-owned retailer in Amarillo in 1968, became publicly traded, and eventually spread to 126 locations, mostly in mid-sized cities. The downturn in business prompted the family to sell to Draw Another Cirlce in 2014.

In its statement, the parent company said that game rentals will no longer be available, all gift cards will expire on July 13 and the stores' buyback program has been suspended.