MGM has completed their restructuring, exited bankruptcy protection and has some cash in their coffers to hit the ground running. Does this mean there should be no financial trouble for The Hobbit: Part 1 and The Hobbit: Part 2? Does this mean that the shelved, Dan Bradley directed reboot of Red Dawn with Chris Hemsworth, or Joss Whedon‘s Cabin in the Woods, directed by Drew Goddard that are already complete, will finally make it to theaters? Will they finally get underway on Bond 23, or the long-awaited RoboCop reboot?
Only time will tell if those projects see your local cineplex but, it would’ve been a sad day to see the iconic MGM collapse entirely. Hopefully the new powers-that-be can keep it afloat and return the legendary studio to its former glory.
Check out the press release below for all the details.
Press Release:
Metro-Goldwyn-Mayer Inc. announced that the company’s restructuring has become effective, with exit financing of $500 million in place. The company’s “pre-packaged” plan of reorganization (the “Plan”) was confirmed on December 2, 2010, by the U.S. Bankruptcy Court for the Southern District of New York.
“MGM is emerging from one of the most challenging periods of its storied history. We are honored and inspired at the opportunity of leading one of Hollywood’s most iconic studios into its next generation of unforgettable filmmaking, global television production and distribution, and aggressively pursuing, developing and exploiting new digital entertainment platforms,” said Gary Barber and Roger Birnbaum, Co-Chairmen and Chief Executive Officers of MGM. “Beginning today, MGM is a stronger, more competitive company, with a solid financial foundation and a bright future. We look forward to working with MGM’s dedicated employees to build upon this company’s legacy.”
MGM has a significantly improved financial position with secured lenders exchanging approximately $5 billion, including accrued interest and fees, for most of the equity in the company. As part of its exit financing, MGM raised $500 million to fund operations, including production of a new slate of films and television series. JPMorgan arranged MGM exit financing.
The Hobbit: Part 1 is currently slated to hit theaters December 2012.
The Hobbit: Part 2 is currently slated to hit theaters December 2013.
RoboCop is slated to hit theaters in 2013.
