MGM headed for sale
Mr. Hole the Magnificent
By PETER BART
MGM may be the best known logo in the entertainment business, but the
company seems headed for another possible garage sale.
Several sources say they expect that MGM will essentially be auctioned
off within the next few weeks.
This would mean that a major, such as Time Warner, could buy the MGM-
UA library while another entity might acquire the logo, and yet
another deal could be made for United Artists. Sources speculated that
Kirk Kerkorian, who has already bought and sold MGM twice, might buy
the logo once again.
Last summer Harry Sloan was bounced as MGM's CEO and Stephen Cooper, a
specialist in restructuring companies (Krispy Kreme was one of his
projects) started meeting with bankers with the aim of restructuring
some $3.7 billion in debt. There was speculation that the combined
assets of MGM may now yield as little as $1.5 billion in the present
market.
The various equity owners of MGM, including several private equity
firms, have already written down their $5 billion acquisition, which
closed in 2004.
MGM's library contains 4.000 titles, but some specialists in film
libraries consider its list of titles to be geriatric.
Any sort of auction would need approval of a two-thirds majority of
the bondholders, and a coupld of the bondholders insist they have not
been contacted as yet. Some sources believe a pre-packaged bankruptcy
is still an option, and there is still an expectation that Time-Warner
might make a last eleventh hour bid.
Neither Cooper nor MGM would comment.
MGM's released only a remake of "Fame" this year. For 2010, it's
opening two comedies -- "Hot Tub Time Machine" in March and "The
Zookeeper" in October -- and a remake of "Red Dawn" in November.
http://www.variety.com/article/VR1118011199.html?categoryid=13&cs=1&ref=vertfilm
jessica_smith_nyc
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http://www.moviesitearchive.com
On Nov 11, 8:11 pm, "Mr. Hole the Magnificent"
> http://www.variety.com/article/VR1118011199.html?categoryid=13&cs=1&r...
Ted Nolan <tednolan>
Mr. Hole the Magnificent <classic...@gmail.com> wrote:
>Studio library, logo may be auctioned off soon
>
>By PETER BART
>
>MGM may be the best known logo in the entertainment business, but the
>company seems headed for another possible garage sale.
>
>Several sources say they expect that MGM will essentially be auctioned
>off within the next few weeks.
>
>This would mean that a major, such as Time Warner, could buy the MGM-
>UA library while another entity might acquire the logo, and yet
>another deal could be made for United Artists. Sources speculated that
>Kirk Kerkorian, who has already bought and sold MGM twice, might buy
>the logo once again.
How much of the library is left? I'm pretty sure that Turner got all the
cartoons (Tom & Jerry in particular) and that those ended up with Time Warner.
I seem to recall that he got more of it as well..
Ted
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columbiaclosings.com
What's not in Columbia anymore..
gerry
wrote:
> In article <76b0b5f1-5e02-4f0e-8934-117ca167d...@v37g2000vbb.googlegroups.com>,
MGM's library is mostly newer movies, from the 60s onward, including
the James Bond movies. Turner got the real gold. Warner Bros. will
probably try to buy most of the library. Sony could try to get the
James Bond movies by buying United Artists. Kerkorian has too many
problems with his Cityscape project in Las Vegas to risk any money on
this final dissolution of MGM. If this recession lasts another 9
months, Kerkorian will lose control over his gambling empire.
MGM is already dead, but a CPA has to drive a stake through its
corporate heart to certify its demise. Sic transit gloria mundi.