'Terminator' producers file for bankruptcy [updated]

FOR THE RECORD (Aug. 20, 1:15 PM): An earlier version of this post incorrectly identified some creditors of the Halcyon Co. In fact, some of the companies and individuals listed on the “master mailing list of creditors” in a bankruptcy filing are not creditors.

According to a spokesperson for the Halcyon Co., the following are not amongst its creditors: Christian Bale, Franchise Tax Board, GRIN, Paul Haggis, Internal Revenue Service, Latham & Watkins, Dan Lin, McG, Mario Kassar Productions, Metro-Goldwyn-Mayer Studios, Motion Picture Assn. of America, Bahman Naraghi, Randy Paul, Arnold Schwarzenegger, Sony Pictures Entertainment, Sitrick and Co., Universal Studios, Warner Bros. Pictures, and Ziffren, Brittenham, Branca and Fischer

---

Three companies belonging to Derek Anderson and Victor Kubicek, owners of the "Terminator" franchise rights and producers of May's "Terminator Salvation," have filed for bankruptcy just a day after the duo sued their investors for allegedly pushing them into a series of bad business decisions and  placing what they claim is an illegal lien on their property.

Even though the movie has sold a healthy $370 million worth of tickets around the world and has yet to be released on DVD and in other post-theatrical markets, Anderson and Kubicek were unable to make a payment demanded by Santa Barbara hedge fund Pacificor, which financed their $30-million purchase of the "Terminator" rights and loaned $9 million for other operating expenses.

Anderson and Kubicek have had several legal disputes with former business associates in their short careers as film producers, as reported by the Times in May.

Those owed the most money include a number of top industry law firms such as Greenberg Traurig ($437,618.61); Glaser, Weil, Fink, Jacobs, Howard, & Shapiro ($120,672.89) and O'Melveny & Myers ($96,565.86). They also owe $25,000 to C2 Pictures, the production company controlled by previous "Terminator" owners Mario Kassar and Andrew Vajna.

In addition, one British individual is owed $3.5 million. There is no reason given for any of the debts.

The three companies each list estimated assets and liabilities totaling between $10 million and $50 million.

--Ben Fritz

Update (Aug. 20, 1:15 PM): For more, see the story in today's Times.

Related:

"Terminator Salvation" producers sue investors, could lose franchise rights

On the way to "Terminator Salvation," legal sparks fly

Photo: A scene from "Terminator Salvation." Credit: Warner Bros.

Comments

[charlie]

How is this news? Movies never make money. Not ever. Just ask Mario Puzo who rather foolishly agreed to take a percentage of the profits for "The Godfather" film.

He's dead, but still waiting for that first payment.

[Mat]

Hi,

ch.11 is a powerfull tool... One can get out of this with a light, successfull new company.

Let's hope the new owners see what could bring the most out the Terminator franchise... I bet on Terminator: the Sarah Connor Chronicle.

Regards,
Mat.

[Merle]

Studio rule: "If they don't ask, don't pay them!"

[Bernard Romanycia]

Term up for the Terminator or should we say, "Terminator terminated."?

[SEO Services UK]

It's all looking a bit convoluted but I suspect the real significance is that you have a hedge fund involved, and not in a good way. What are hedge funds doing backing movies? I can't see that anyone involved will be coming out of this ahead except industry lawyers. It's obvious money will be coming because of the ongoing popularity of the franchise, so why can't anybody be reasonable and wait for their money? These are the economic of desperation and panic, not rationality.

BB

[Justin B]

Let's see. Orion made the first Terminator. It went under.
Carolco(Sp?) made T2, it went under. Unsettling trend presented.

[James]

There are plenty of great ideas out there for bringing back the Sarah Connor Chronicles. http://www.fmqinc.com/terminator-season-3-possible/

[Mike]

Well, the script for Terminator Salvation was bankrupt so go figure. This movie was an example of lots of hype and nothing to show for it.

[T5 Fan (and there better be one or I want my money back)]

Can't wait for T5, because this one was a total loss, loss of money, loss of interest in consumers, bad story, bad plot, bad acting, just about anything that shouldn't be wrong such a fantastic blockbuster franchise can offer.

Of all the monies spent, they didn't spend a meager $100k, at most, to fix the story, character, and plot problem. There was no moral premise, no archtypes, no inner-value conflict built in to this story. All of this could have been avoided, by just fixing the story.

Tunnel vision of riding a named brand, instead of injecting a viable, relatable set of values and archtypes, killed this last instalment.

As Rod Serling would say, file that under inept, in the Twilight Zone.

[Razirp]

Maybe they could go back into the future and prevent themselves from ever buying into the Terminator rights.

[Alfred]

Judgement Day is coming for those guys.

[Carlos]

TSCC4EVER

[Final Fantasy]

Hmmm...doesn't make sense. Damn people are greedy these days. I thought the movie was great.

[Rob]

The TV series and movie was a schlock anyway.
Rather than actually try to grow the idea and maintain a narrow focus on story arc and content they mash the ending of the previous 3 other movies instead of sticking to basics and a gritty ending...
They probably figured they only had one shot at it anyway so why not repeat all the elements of the previous movies into one...
Hasta La Vista, Baby!

[news]

http://tvnewsinap.blogspot.com/

[how to file bankruptcy]

I think it's totally inexcusable for people to mis-handle such great opportunities (as Terminator rights), and then Blame Someone Else. Come on! You woosies - take some responsibility. How can you take a tried and true winner, and run it aground? Worthless... Totally Worthless.