Movies

Global Road Layoffs To Begin As Soon As Tuesday?

Global Road

Word from inside the beleaguered Global Road is that layoffs loom this week, as early as tomorrow, this after lenders led by Bank of America took control of the company last week. Sources said a bankruptcy filing is likely in the cards, but filing might take a little longer to materialize. Lead bank BOA and other lenders are the ones pushing for layoffs to stop the bleeding, this after the weekend opener A.X.L. grossed under $3 million for the weekend. The companys exposure to launch the film was in the $10 million range, sources said. The layoffs will be concentrated on the domestic theatrical production, distribution and marketing. This adds to the ongoing effort to sell off some of the unreleased films. It is a depressing development as the start of fall festival season, where independent distributors set up the competition for the coming awards season. But Donald Tangs venture — comprised of IMG Global and Open Road — never had a chance because numerous fundraising road shows failed to hook investors, making it impossible to live up to the billion dollar boasts at Berlin six months ago. Unclear how widespread the layoffs will be, but Im told it will be a serious cut. Stay tuned.

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