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Gallery exhibits improvements.

By Cindy Spielvogel

Hollywood drags same-store rentals down 1.9%

Movie Gallery reported higher than expected revenue for the third quarter but said it would delay its analyst conference call and reporting of full results, including earnings, due to a lease accounting issue.

Investors generally reacted positively, despite the accounting uncertainty, sending the stock price up from $2.37 to above $2.60 on Nov. 14.

Total revenue for the third quarter was $583 million, up 1.8% for the same quarter of 2005.

The company reported gross profit for the third quarter of $363.2 million, down a hair from $366.1 million in last year's third quarter, but did not ...

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