http://www.deadline.com/hollywood/exclusive-details-mgm-makes-phone-plea-to-bondholders-for-millions-to-stay-alive-both-hobbit-and-james-bond-in-peril-bondholders-tell-studio-to-go-bankrupt-mgm-calls-that-worst-possible-outcom/
MGM NEEDS "Fame" it's only release on the slate for some time to be a success as a god faith sign to bondholders that there is at least a promise of potential money to be made. If "Fame" looks bad at the BO this weekend, MGM could be in more trouble then it can get out of.
Bob Evans, where are you now? :)
Quote:
The call was for the benefit of the lenders, and MGM management made the presentation along with Stephen F Cooper, that Zolfo Cooper restructure specialist. MGM made a desperate plea for money because the studio had missed its numbers and was going to be out of funds very soon. "The implication was that it's teetering on bankruptcy," one source told me. MGM said it needed $20M in short-term cash flow to cover overhead, and an additional $150 million to get through the end of year and continue funding its projects, and to start Peter Jackson's Hobbit.
MGM NEEDS "Fame" it's only release on the slate for some time to be a success as a god faith sign to bondholders that there is at least a promise of potential money to be made. If "Fame" looks bad at the BO this weekend, MGM could be in more trouble then it can get out of.
Bob Evans, where are you now? :)
