It looks like MGM’s uncertain future may be finally on the way to being resolved.
The studio confirmed (via Deadline) that they have issued a press release explaining the current plan which provides their secured lenders to exchange more than $4 billion in outstanding debt for approximately 95 percent of equity in the studio. A hefty price, but at least this means they are still able to function in the market.
There still seems to be a multitude of financial issues which need to be negotiated and resolved, and the new CEO’s, Roger Birnbaum and Gary Barber (formally of Spyglass Entertainment), can’t officially take office until MGM emerges from bankruptcy, which is expected to take a few more weeks.
It would appear that MGM can continue to do business during its restructuring period (as The Hobbit illustrates) but probably the biggest concern for most moviegoers above all the legal issues is what will become of the studio’s biggest money-spinner, the James Bond franchise?
