Information:

Blockbuster Inc.

Income Statement for year-ended Dec 31 ($000's)

	Year 1	Year 2
Sales	4,969,100	5,157,600
COGS	2,036,000	2,420,700
SG&A	2,390,600	2,532,400
Depreciation	279,000	246,600
Amortization of Intangibles	180,100	176,100
Operating Income (Loss)	83,400	-218,200
Interest Expense	116,500	78,200
Income Before Tax	-33,100	-296,400
Income Tax Expense	45,400	-56,100
Net Income	-78,500	-240,300

QUESTION:

Referring to the Blockbuster financial statements, what is the change in Gross Margin from Year 1 to Year 2? (Delta GM = GM2 - GM1)