MGM Movie Studio Seeks Buyer
Struggling movie studio Metro-Goldwyn-Mayer Inc. is looking for a buyer.
The recession is affecting so many, including movie studios. Metro-Goldwyn-Mayer movie studios, home of classic franchises "James Bond" and "Pink Panther," is currently seeking a buyer as part of a strategic plan .
According to ABC.com, MGM released a statement saying its lenders have granted another respite from interest payments until Jan. 31 for nearly $4 million worth of debt.
MGM decided to reverse its initial refusal to sell the company Friday, according to ABC.com, after conference calls between MGM's vice president Steven Cooper and the 140 lenders owed the $3.7 million dollars.
Potential buyers include Time Warner Inc., the parent of the Warner Bros. studio, and News Corp., home of 20th Century Fox.
The company has had some triumphs in its past, with a valuable library with over 4,000 movie and TV shows, including "Rocky" and "Dances with Wolves" and the subsidiary United Artist (headed by Tom Cruise) brought in $200 million worldwide for "Valkyrie" after its 2008 release.
Despite previous achievements, MGM's latest release, a remake of the 1980 musical "Fame," was panned by critics and quickly vanished from most theaters after its Sept. 25 release, making $42 million worldwide to date.