Close on the heels of the news that Gary Barber and Roger Birnbaum of Spyglass Entertainment had signed a non-binding letter of intent to take over the management of MGM, there’s news by Bloomberg hitting the interweb that points to more progress in that direction:
MGM creditors will be asked to approve a restructuring and pre-packaged bankruptcy plan for the studio within the next week or two, according to two people with knowledge of the situation.
Under the plan, MGM would file for Chapter 11 bankruptcy after obtaining creditor approval, with the goal of emerging from court protection by the end of the year, said one of the people, who asked not to be named because the details aren’t public.
Thanks to messageboard member Eruonen for the heads-up.
