reiher@ucla-cs.UUCP (08/09/85)
Ted Turner (also known as the Mad Georgian) has abandoned his attempt to
buy CBS. He's going to buy MGM/UA instead, according to the business
section of the LA Times. Well, maybe he's going to buy MGM/UA. The price
is approximately $1.5 billion in cash. It actually works out to a bit over
$1 billion, because Turner will simultaneously sell UA back to current owner
Kirk Kerkorian. Also, many people doubt that Turner will come up with the
cash.
At any rate, the studio, the MGM library, half the profits from productions
in preparation, and a bunch of other assets go with MGM. Very little goes
with UA, just a distribution network, a much smaller film library, and
half the upcoming releases' profits.
Kerkorian is fairly serious about unloading MGM, so if Turner doesn't come
up with the cash, someone else probably will. The effects on the film
industry are hard for me to guess (more films made in Atlanta?), but both
Turner and Kerkorian have stated their intentions to continue making films
with their half of the company.
--
Peter Reiher
reiher@LOCUS.UCLA.EDU
{...ihnp4,ucbvax,sdcrdcf}!ucla-cs!reiherlmv@houxa.UUCP (L.VANDERBILT) (08/20/85)
> Ted Turner (also known as the Mad Georgian) has abandoned his attempt to > buy CBS. He's going to buy MGM/UA instead, according to the business > section of the LA Times. Well, maybe he's going to buy MGM/UA. ... > > .... because Turner will simultaneously sell UA back to current owner > Kirk Kerkorian. By UA, I assume United Artists which I thought was owned by Transamerica Corp. in San Francisco... are you sure it is owned by Kirk??
reiher@ucla-cs.UUCP (08/28/85)
In article <765@houxa.UUCP> lmv@houxa.UUCP (L.VANDERBILT) writes: > >By UA, I assume United Artists which I thought was >owned by Transamerica Corp. in San Francisco... >are you sure it is owned by Kirk?? Yes, UA is United Artists. It used to be owned by Transamerican Corp., before "Heaven's Gate". That film wound up costing the studio over $40 million while taking in revenues in the neighborhood of $1 million. While not the sole reason Transamerican offloaded UA, "Heaven's Gate" was certainly one reason. -- Peter Reiher reiher@LOCUS.UCLA.EDU {...ihnp4,ucbvax,sdcrdcf}!ucla-cs!reiher