Digital Domain goes bankrupt

[dark_b]

http://www.variety.com/article/VR1118059067

http://digitaldomain.com/
http://en.wikipedia.org/wiki/Digital_Domain

 

[matrix_ghost]

http://www.variety.com/article/VR1118059067

http://digitaldomain.com/
http://en.wikipedia.org/wiki/Digital_Domain

The thread title is misleading.
It implies that the company is shutdown . But it isn't.
http://www.variety.com/article/VR1118059067

VFX in L.A., SF, Vancouver continue; Florida operations severed

Senior bondholders led by Hudson Bay Master Fund also agreed to provide $20 million in financing that will keep the company operating.

They wil return to what they are doing originally.
Which is making VFX for movies.

 

[dark_b]

i didnt writte that they will close down in the next week.and dont forget that they are now Digital Domain Media.

 

[matrix_ghost]

i didnt writte that they will close down in the next week.and dont forget that they are now Digital Domain Media.

Stuff like bankrumpcty imply that something is shutting down immediatly.
Which isn't the case. I didn't realise that DD had aquired other companies. I still thought that they were just a (big) VFX studio.
I wonder what the reason is for their financial troubles. After ILM and WETA , DD is also one of the big players out there. They have and are still working om some pretty huge projects.

 

[dark_b]

Stuff like bankrumpcty imply that something is shutting down immediatly.
Which isn't the case. I didn't realise that DD had aquired other companies. I still thought that they were just a (big) VFX studio.
I wonder what the reason is for their financial troubles. After ILM and WETA , DD is also one of the big players out there. They have and are still working om some pretty huge projects.

one man. John Textor. he is a bastard.

rumors are that in the last 2 years Digital Domain didnt make profits with movies but only with commercials. they say that to get jobs with movies they had to underbid smaller vfx houses who work in cheaper countries.

 

[dark_b]

http://www.variety.com/article/VR1118059106

DDMG's bottom line was also wrecked by a disastrous year from its visual effects business.
Almost all of DD's visual effects capacity was devoted to two movies. One was "Ender's Game," for which Digital Domain is doing the effects at cost in exchange for an equity stake in the picture. This is a proven method for vfx studios to improve their return on a movie, as long as the vfx company isn't counting on cash flow from the job to stay afloat.
Digital Domain's other big project was "Jack the Giant Killer," a project so catastrophic DD employees came to call it "Jack the Company Killer."
According to several insiders, DD underestimated the complexity of the vfx on "Jack," underbid for the work, tried new software and techniques that didn't entirely succeed, and found itself having to re-do scenes. The re-dos were unremarkable for a studio movie but they obliterated DD's already-low margins.
CEO Ed Ulbrich told Variety "Jack" was "a contributing factor" in the bankruptcy "but by no means is that the only reason."

 

[chaseter]

Bankruptcy does not imply that it is shutting down. All it means is a restructuring. There are certain types of bankruptcy where all the assets are sold off.

 

[Spider-Who?]

Yup. Bankruptcy isn't good, but it's not exactly a death sentence.