Looks like poor old MGM may need to find a Dragon hoard ......
Quote:
May 14 (Bloomberg) -- Metro-Goldwyn-Mayer Inc., the movie studio controlled by Providence Equity Partners Inc. and TPG, is in talks with lenders to restructure $3.7 billion in debt....
The company, with the debt coming due in 2012, said it intends to stay independent. A specific restructuring plan hasn’t been determined, according to a person with the knowledge of the situation. Possibilities include extending the maturity of the existing debt or a debt-for-equity swap, said the person, who asked not to be identified because the talks are private.
The maker of “James Bond” movies also has been trying to raise money to finance new films, including pictures based on J.R.R. Tolkien’s “The Hobbit.” The studio is in compliance with its loan covenants and cash flow for the fiscal year ended March 31 was within budget projections, the company said. http://www.bloomberg.com/apps/news?p...d=aAkQCXqtlHvg
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and as we all know from New Line's disastrous experience with the LotR movies there's simply no profit in Tolkien movies.......
05-15-2009, 02:42 PM
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