Metro-Goldwyn-Mayer
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Metro-Goldwyn-Mayer Studios Inc. (also known as Metro-Goldwyn-Mayer Pictures, commonly shortened to MGM) is an American
MGM was formed by Marcus Loew by combining Metro Pictures, Goldwyn Pictures and Louis B. Mayer Pictures into one company.[2][3] It hired a number of well-known actors as contract players—its slogan was "more stars than there are in heaven"—and soon became Hollywood's most prestigious filmmaking company, producing popular musical films and winning many Academy Awards. MGM also owned film studios, movie lots, movie theaters and technical production facilities. Its most prosperous era, from 1926 to 1959, was bracketed by two productions of Ben Hur. It divested itself of the Loews movie theater chain and, in 1956, expanded into television production.
In 1969, businessman and investor
MGM was listed on the New York Stock Exchange until 1986 when it was sold to Turner. The company had its third IPO on the same exchange in 1997.[5]
In 2010, MGM filed for
As a subsidiary of Amazon MGM Studios, MGM is a member of the Motion Picture Association (MPA); it was a founding member before leaving in the 2005 acquisition.
Overview
MGM was the last studio to convert to sound pictures—nonetheless, from the end of the silent film era through the late 1950s, it was the dominant motion picture studio in Hollywood.[13][page needed][14][page needed] It was slow to respond to the changing legal, economic, and demographic nature of the motion picture industry during the 1950s and 1960s;[15][page needed][16][page needed][17][page needed] and although its films often did well at the box office, it lost significant amounts of money throughout the 1960s.[16][17] In 1966, MGM was sold to Canadian investor Edgar Bronfman Sr., whose son Edgar Jr. would later buy Universal Studios.[citation needed] Three years later, an increasingly unprofitable MGM was bought by Kirk Kerkorian, who slashed staff and production costs, forced the studio to produce low-quality, low-budget fare, and then ceased theatrical distribution in 1973.[17] The studio continued to produce five to six films a year that were distributed through other studios, usually United Artists (UA). Kerkorian did, however, commit to increased production and an expanded film library when he bought UA in 1981.[citation needed]
MGM ramped up internal production, and kept production going at UA, which was continuing to thrive, particularly with the lucrative
The debt load from these and subsequent business deals negatively affected MGM's ability to survive as an independent motion picture studio. After a bidding war which included
After its bankruptcy in 2010, MGM reorganized, with its creditors' $4 billion debt transferred to ownership. MGM's creditors controlled MGM through MGM Holdings, a private company. New management of its film and television production divisions was installed.
History
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Founding and early years
In 1924, movie theater magnate Marcus Loew had a problem. He had bought Metro Pictures Corporation in 1919 for $3 million, to provide a steady supply of films for his large Loew's Theatres chain.[25] However, he found that his new property only provided a lackluster assortment of films. Seeking to solve this problem, Loew purchased Goldwyn Pictures in 1924 for $5 million to improve the quality of the theaters' products.[25] However, these purchases created a need for someone to oversee his new Hollywood operations, since longtime assistant Nicholas Schenck was needed in New York headquarters to oversee the 150 theaters. A solution came in the person of Louis B. Mayer, head of Louis B. Mayer Pictures. Loew bought the Mayer studio for $75,000.[25] Loews Incorporated completed the merger of the Loews theater chain and the three studios on April 17, 1924, celebrated with a fete on April 26, 1924.[26] Mayer became head of the renamed Metro-Goldwyn-Mayer, with 24-year-old Irving Thalberg as head of production.[27] Final approval over budgets and contracts rested with New York City-based Loews Inc., while production decisions rested with the production headquarters in Culver City.[25]
MGM produced more than 100 feature films in its first two years. In 1925, MGM released the extravagant and successful
Marcus Loew died in 1927, and control of Loew's passed to Nicholas Schenck. In 1929,
1920s and 1930s
From the outset, MGM tapped into the audience's need for glamor and sophistication. Having inherited few big names from their predecessor companies, Mayer and Thalberg began at once to create and publicize a host of new stars, among them
MGM was one of the first studios to experiment with filming in Technicolor. Using the two-color Technicolor process then available, MGM filmed portions of The Uninvited Guest (1924), The Big Parade (1925), and Ben-Hur (1925), among others, in the process. MGM released The Viking (1928), the first complete Technicolor feature with a synchronized score and sound effects, but no spoken dialogue.
With the arrival of "
MGM was the last major studio to convert to sound. The studio's first all-color, "all-talking" sound feature with dialogue was the musical The Rogue Song in 1930. MGM included a sequence made in Technicolor's superior new three-color process, a musical number in the otherwise black-and-white The Cat and the Fiddle (1934), starring Jeanette MacDonald and Ramon Novarro. The studio then produced a number of three-color short subjects including the musical La Fiesta de Santa Barbara (1935); the first complete Technicolor feature was Sweethearts (1938) with MacDonald and Nelson Eddy, the earlier of the popular singing team's two films in color. From then on, MGM regularly produced several films a year in Technicolor with Northwest Passage (1939) being one of the most notable of this era.
In addition to a large short-subjects program of its own, MGM also distributed the shorts and features produced by Hal Roach Studios, including comedy shorts starring Laurel and Hardy, Our Gang and Charley Chase. The studio's distribution deal with Roach lasted from 1927 to 1938, and MGM benefited in particular from the success of the popular Laurel and Hardy films. In 1938, MGM purchased the rights to the Our Gang series from Roach and production of the successful series moved to the MGM studios, where it continued until 1944.[30] From 1929 to 1931, MGM produced a series of comedy shorts called All Barkie Dogville Comedies, in which trained dogs were dressed up to parody contemporary films and were voiced by actors. One of the shorts, The Dogway Melody (1930), spoofed MGM's hit 1929 musical The Broadway Melody.
MGM entered the music industry by purchasing the "Big Three" starting with
During the 1930s, MGM produced approximately 50 pictures a year, though it never met its goal of releasing a new motion picture each and every week (it was only able to release one feature film every nine days). Loew's 153 theaters were mostly located in New York, the Northeast, and Deep South; Gone with the Wind (1939) had its world premiere at Loew's Grand Theatre in Atlanta, Georgia. A fine reputation was gained for lavish productions that were sophisticated and polished to cater to an urban audience. Still, as the Great Depression deepened, MGM began to economize by "recycling" existing sets, costumes, and furnishings from previous projects. This recycling practice never let up once started. In addition, MGM saved money because it was the only one of the big five studios that did not own an off-site movie ranch. Until the mid-1950s, MGM could make a claim its rivals could not: the studio never lost money, although it did produce an occasional disaster such as Parnell (1937), Clark Gable's biggest flop. MGM was the only Hollywood studio that continued to pay dividends during the 1930s.
MGM stars dominated the box office during the 1930s, and the studio was credited for inventing the Hollywood stable-of-stars system as well. MGM contracted with the American Musical Academy of Arts Association to handle all of their press and artist development. The AMAAA's main function was to develop the budding stars and to make them appealing to the public. Stars such as Joan Crawford, Greta Garbo, Myrna Loy, Jeanette MacDonald and Norma Shearer, reigned as the top-paid figures at the studio. Another MGM actress of the era, Jean Harlow, who had previously appeared in the Howard Hughes film Hell's Angels (1930), now had a big break and became a Hollywood sex symbol and one of MGM's most admired stars. Despite Harlow's gain, Garbo arguably remained the biggest star at MGM. Shearer was still a money maker despite her screen appearances becoming scarce, and Crawford continued her box-office popularity until 1937. MGM also received a boost through the man who would become known as "King of Hollywood", Clark Gable. Gable's career took off to new heights after he won an Oscar for the Columbia film It Happened One Night (1934).
Mayer and Irving Thalberg's association began warmly, but eventually relations between the two became strained; Thalberg preferred literary works and expensive costume pictures over the lower-budget, family-oriented crowd pleasers Mayer wanted. Thalberg, always physically frail, was removed as head of production in 1932. Mayer encouraged other staff producers, among them his son-in-law David O. Selznick, but no one seemed to have the sure touch of Thalberg. As Thalberg's health deteriorated in 1936, Mayer could now serve as his temporary replacement. Rumors had begun circulating for some time that Thalberg was leaving MGM to set up his own independent company;[citation needed] his premature death at age 37 in September 1936 cost MGM dearly.[27]
After Thalberg's untimely death, Mayer became head of production, as well as studio chief, becoming the first million-dollar executive in American history. The company remained profitable, and an increase in MGM's "series" pictures (
In 1937, Mayer hired Mervyn LeRoy, a former Warner Bros. producer/director as MGM's top producer and Thalberg's replacement.[34] LeRoy convinced Mayer to acquire the film rights to the popular children's book The Wonderful Wizard of Oz; MGM purchased the rights from Samuel Goldwyn for $75,000 in 1938.[35]
MGM's hits in 1939 included The Wizard of Oz; Ninotchka, starring Greta Garbo; The Women, starring Joan Crawford and Norma Shearer; and Gone with the Wind, starring Vivien Leigh as Scarlett O'Hara and Clark Gable as Rhett Butler. Although Gone With the Wind was produced by Selznick International Pictures, the film was distributed by MGM as part of a deal for producer David O. Selznick, Mayer's son-in-law, to obtain the services of Gable as well as financial assistance necessary for Selznick to complete the film. After Selznick International foundered in 1944, MGM acquired the full rights to Gone With the Wind.[27] While The Wizard of Oz was a critical hit, the production costs for the film were so expensive it took 20 years before it turned a profit.[36]
1940s
Within one year, beginning in 1942, Mayer released his five highest-paid actresses from their MGM contracts: Joan Crawford, Greta Garbo, Myrna Loy, Jeanette MacDonald and Norma Shearer. After being labeled "box office poison", Crawford's MGM contract was terminated and she moved to Warner Brothers, where her career took a dramatic upturn. Garbo and Shearer never made another film after leaving the lot. Of the five stars, Loy and MacDonald were the only two whom Mayer later rehired, in 1947 and 1948 respectively; Crawford returned to MGM after Mayer's departure for the musical drama Torch Song in 1953.
Increasingly, before and during World War II, Mayer came to rely on his "College of Cardinals"—senior producers who controlled the studio's output. This management-by-committee resulted in MGM losing its momentum, developing few new stars, and relying on the safety of sequels and bland material. (Dorothy Parker memorably referred to the studio as "Metro-Goldwyn-Merde".[37][page needed]) Production values remained high, and even "B" pictures carried a polish and gloss that made them expensive to mount. After 1940, production was cut from 50 pictures a year to a more manageable 25 features per year. During this period, MGM released several very successful musicals with stars such as Fred Astaire, Judy Garland, Gene Kelly, and Frank Sinatra.
1950s
Audiences began drifting to television in the late 1940s, and MGM and the other studios were finding it increasingly difficult to attract them to theaters. With its high overhead expenses, MGM's profit margins continued to decrease. Word came from Nicholas Schenck in New York to find "a new Thalberg" who could improve quality while paring costs. Mayer thought he had found this savior in Dore Schary, a writer and producer who had found success at running RKO Pictures. Lavish musicals were Schary's focus, and hits like Easter Parade (1948), Annie Get Your Gun (1950) and the popular musical films of tenor Mario Lanza, including That Midnight Kiss (1949) and The Great Caruso (1951), helped to keep MGM profitable during this period.[27]
In August 1951, Louis B. Mayer was fired by MGM's East Coast executives[38] and he was replaced by Schary. Gradually cutting loose expensive contract players (including $6,000-a-week Judy Garland in 1950 and "King of Hollywood" Clark Gable in 1954), saving money by recycling existing movie sets instead of building costly new scenery, and reworking expensive old costumes, Schary managed to keep the studio running much as it had through the early 1940s, though his sensibilities for hard-edged, message movies would never bear much fruit. One bright spot continued to be MGM's musical pictures, under the aegis of producer Arthur Freed, who was operating what amounted to an independent unit within the studio. During the 1950's, MGM produced some well-regarded and profitable musicals that would later be acknowledged as classics, among them An American in Paris (1951), Singin' in the Rain (1952), and Seven Brides for Seven Brothers (1954). However, Brigadoon (1954), Deep in My Heart (1954), It's Always Fair Weather (1955), Invitation to the Dance (1956), and Les Girls (1957) were extravagant song and dance flops, and even The Band Wagon (1953) and Silk Stockings (1957), two musicals that are now considered classics and among the studio's best, lost money upon their initial releases.
In 1952, as a settlement of the government's restraint-of-trade action, United States v. Paramount Pictures, Inc. 334 US 131 (1948), Loews, Inc. gave up control of MGM.[27] It would take another five years before the interlocking arrangements were completely undone, by which time both Loews and MGM were losing money. In 1956, Schary was ousted from MGM in another power struggle against the New York-based executives.[39] Cost overruns and the failure of the big-budget epic Raintree County (1957) prompted the studio to terminate Schary's contract.
Schary's reign at MGM had been marked with few legitimate hits, but his departure (along with the retirement of Schenck in 1955) left a power vacuum that would prove difficult to fill. Initially
In 1958, MGM released what is generally considered its last great musical, Arthur Freed's Cinemascope color production of
MGM enters television
MGM's first television program,
The year 1957 also marked the end of MGM's animation department, as the studio determined it could generate the same amount of revenue by reissuing older cartoons as it could by producing and releasing new ones.[42] William Hanna and Joseph Barbera, by then the heads of the MGM cartoon studio, took most of their unit and made their own company, Hanna-Barbera Productions, a successful producer of television animation.
In 1956, MGM sold the television rights for The Wizard of Oz to CBS, which scheduled it to be shown in November of that year. In a landmark event, the film became the first American theatrical fiction film to be shown complete in one evening on prime time television over a major American commercial network. (Laurence Olivier's version of Hamlet was shown on prime time network TV a month later, but split in half over two weeks, and the 1950 film, The Titan: Story of Michelangelo was telecast by ABC in 1952, but that was a documentary.) Beginning in 1959, and lasting until 1991, telecasts of The Wizard of Oz became an annual tradition, drawing huge audiences in homes all over the U.S. and earning additional profits for MGM. The studio was all too happy to see Oz become, through television, one of the two or three most famous films MGM has ever made, and one of the few films that nearly everybody in the U.S. has seen at least once. Today The Wizard of Oz is regularly shown on the Turner-owned channels, no longer just once a year.
MGM cartoons
In animation, MGM purchased the rights in 1930 to distribute a series of cartoons that starred a character named Flip the Frog, produced by Ub Iwerks. The first cartoon in this series (titled Fiddlesticks) was the first sound cartoon to be produced in two-color Technicolor. In 1933, Ub Iwerks canceled the unsuccessful Flip the Frog series and MGM began to distribute its second series of cartoons, starring a character named Willie Whopper, that was also produced by Iwerks.[citation needed]
In 1934, after Iwerks' distribution contract expired, MGM contracted with animation producers/directors Hugh Harman and Rudolph Ising to produce a new series of color cartoons. Harman and Ising came to MGM after breaking ties with Leon Schlesinger and Warner Bros. and brought with them their popular Looney Tunes character, Bosko. These were known as Happy Harmonies, and in many ways resembled the Looney Tunes' sister series, Merrie Melodies. The Happy Harmonies regularly ran over budget, and MGM dismissed Harman and Ising in 1937 to start its own animation studio.[43]
After initial struggles with a poorly received series of
Avery left the studio in 1953, leaving Hanna and Barbera to focus on the popular Tom and Jerry and Droopy series. After 1955, all cartoons were filmed in CinemaScope until MGM closed its cartoon division in 1957.[44]
In 1961, MGM resumed the release of new Tom and Jerry shorts, and production moved to Rembrandt Films in
Metro-Goldwyn-Mayer Inc.
MGM in the 1960s
In 1959, MGM enjoyed what is quite probably its greatest financial success of later years, with the release of its nearly four-hour Technicolor epic Ben–Hur, a remake of its 1925 silent film hit, loosely based on a true story—despite being adapted from the novel by General Lew Wallace. Starring Charlton Heston in the title role, the film was critically acclaimed, and won 11 Academy Awards, including Best Picture, a record that held until Titanic matched it in 1997 and The Lord of the Rings: The Return of the King also did in 2003.
During this period, MGM fell into a questionable practice that eventually nearly doomed the studio: an entire year's production schedule relied on the success of one big-budget epic film each year.[
The combination of O'Brien and Weitman seemed to temporarily revive the studio. MGM released
In the mid-1960s, MGM began to diversify by investing in real estate.[27] Edgar Bronfman Sr. purchased a controlling interest in MGM in 1966 (and was briefly chairman of the board in 1969),[48][page needed][49][page needed] and in 1967 Time Inc. became the company's second-largest shareholder.[50][page needed][51]
Kirk Kerkorian investment
In 1969,
Through the 1970s, studio output slowed considerably as Aubrey preferred four or five medium-budget pictures each year along with a smattering of low-budget fare.[27] In October 1973 and in decline in output, MGM closed its distribution offices then outsourced distribution for its films for a ten-year period to United Artists (UA). UA also purchased MGM's music publishing arm, Robbins, Feist & Miller plus half of Canadian record label Quality Records.[27][54]
Kerkorian had largely distanced himself from the operations of the studio, focusing on the
That's Entertainment! was authorized by
The MGM Recording Studios were sold in 1975. In 1979, Kerkorian issued a press statement that MGM was now primarily a hotel company. In 1980, MGM hit a symbolic low point when David Begelman, earlier fired by Columbia following the discovery of his acts of forgery and embezzlement, was installed as MGM's president and CEO.
In 1980, Metro-Goldwyn-Mayer, Inc. split its production and casino units into separate companies: Metro-Goldwyn-Mayer Film Co. and MGM Grand Hotels, Inc.[55] The rise of ancillary markets was enough to allow MGM to increase production to 10-15 films a year compared to three to six in the previous decade, but first it needed to revive its distribution unit.
MGM/UA Entertainment
MGM proceeded to return to theatrical distribution in 1981 with its purchase of
After the purchase of UA, David Begelman's duties were transferred to that unit. Under Begelman, MGM/UA produced a number of unsuccessful films, and he was fired in July 1982. Out of the 11 films he put into production, only one film, Poltergeist (1982), proved to be a clear hit during his tenure with the studio.[57] WarGames (1983) and Octopussy (1983) were both hits for MGM/UA, but did not push MGM into the profit range that Kerkorian wanted.[citation needed]
Not even MGM's greatest asset – its library – was enough to keep the studio afloat.[55] After 1982, the studio relied more on distribution, picking up independent productions, rather than financing its own projects.[55] The first of these deals was with Fred Silverman's InterMedia.[58][59] In 1982, the company entered into a relationship with mini-major studio and film distributor The Cannon Group, Inc. for theatrical and home video distribution; this would not be the last time Cannon and MGM would be involved with each other.[60] Other producers and companies, such as Dino De Laurentiis and PSM Entertainment, also made deals with MGM/UA.[61][62]
MGM Entertainment
On August 7, 1985,
How much of MGM's back catalog Turner actually obtained was a point of conflict for a time; eventually, it was determined that Turner owned all of the pre-May 1986 MGM library, as well as the pre-1950 Warner Bros. catalog,
MGM/UA Communications
After Kerkorian reclaimed MGM in August 1986, the MGM/UA name continued to be used, but the company changed its name, this time to MGM/UA Communications Co., which was renamed from United Artists Corporation, now using MGM and UA as separate brands.[72][73] The change became official on September 10, 1986, and at that time, the New York Stock Exchange (NYSE) ticker symbol was changed from UA, yet again, to MGM.[74] In 1987, MGM/UA Communications Co., Paramount Pictures and Universal Pictures teamed up in order to market feature film and television product to China.[75]
Kerkorian, however, continued to try to sell portions of MGM/UA. In July 1988, Kerkorian announced plans to split MGM and UA into separate studios. Under this deal, Kerkorian, who owned 82% of MGM/UA Communications, would have sold 25% of MGM to Barris Industries (controlled by producers Burt Sugarman, Jon Peters, and Peter Guber).[76] The proposition to spin off MGM was called off a few weeks later.[77] In 1989, two Australian-based media entities attempted to gain control of MGM/UA. The first was Rupert Murdoch's News Corporation, which had purchased 20th Century Fox in 1985, making a $1.35 billion bid; rival Australian media company Qintex attempted to buy MGM from Kerkorian—topping Murdoch's bid with a $1.5 billion offer—but the deal collapsed as Qintex was plagued by financial issues.[78] Ted Turner also attempted to buy MGM/UA again, but these efforts also failed.[79]
MGM-Pathé Communications
In 1990, Italian financier
The well-respected executive, Alan Ladd Jr., a former president of MGM/UA, was brought on board as CEO of MGM in 1991. However, a year later, Parretti's ownership of MGM–Pathé dissolved in a flurry of lawsuits and a default by Crédit Lyonnais, and Parretti faced securities-fraud charges in the United States and Europe. It was later revealed that Parretti's deal to buy MGM/UA was largely based on fraudulent and/or highly leveraged loans; upon taking over MGM, he had fired almost all of the financial staff, resulting in chaos at MGM amid complaints from actors, directors and others who were not being paid.[84] Danjaq, LLC also began litigation against MGM during this time after Parretti attempted to sell the international television rights to the James Bond franchise without their knowledge or approval, as a method of financing his buyout of MGM; this in turn caused the planned production of the seventeenth Bond film, Property of a Lady, to grind to a halt (the length of the lawsuit ultimately led to Timothy Dalton's departure from the role and Pierce Brosnan taking over for the seventeenth installment, 1995's GoldenEye).[85][86][87]
On the verge of bankruptcy, Crédit Lyonnais took full control of MGM–Pathé via loan default in mid-1992 and reverted its name back to Metro-Goldwyn-Mayer. The bank fired Ladd and replaced him with former Paramount executive Frank Mancuso Sr. Mancuso then hired Michael Marcus as chairman, MGM Pictures and former Warner Bros. executive John Calley as United Artists head. A television production division was started up.[88] As part of his exit package, Ladd took some of the top properties, including Braveheart.
On December 21, 1992, MGM's 15% investment ($30 million in cash) in Carolco Pictures plus a $30 million convertible note was approved by Carolco's board. MGM also started distributing Carolco's films in January 1994 after its deal with TriStar Pictures ended. While MGM had to convince parent Credit Lyonnais to allow the deal, Lyonnais was Carolco's main lender thus allowing the bank to collect outstanding debts and extend a new line of credit.[89]
MGM Holdings, Inc. was formed to take on about $1 billion in MGM's liabilities off MGM's balance sheet in the third quarter of 1993. Credit Lyonnais extended a $400 million line of credit allowing a Chemical Bank lead bank group to extend a $350 million line of credit in 1994. In 1994, MGM had a hit in Stargate.[88] Deals made during this era included one with Sega of America to create television shows and films based on Sega's video games (including an ultimately-unmade film based on Sonic the Hedgehog, titled Sonic: Wonders of the World)[90][91][92] and another deal with Rysher Entertainment.[93]
Metro-Goldwyn-Mayer Pictures
Crédit Lyonnais soon put MGM up for sale. Bidders included
1997 proved to be an eventful year for MGM. On April 11, 1997, MGM bought
In December 1997, MGM attempted to purchase 1,000 films (referred to as the
By 1998, MGM had started a specialty film unit using The Samuel Goldwyn Company under the Goldwyn Films name. Samuel Goldwyn Jr. sued Metromedia over salary and damages when he worked at Goldwyn Company under Metromedia and sued MGM over the use of the Goldwyn name claiming trademark infringement and unfair competition. MGM and Metromedia settled on January 10, 1999, with MGM's Goldwyn Films changing its name to G2 Films.[116] In the middle of that year, MGM and Sony settled in an out-of-court lawsuit that saw MGM trading its Spider-Man film rights (itself obtained by MGM through a messy legal process involving Cannon and Carolco) to Sony in exchange for gaining the rights to Casino Royale.[107][117][118][119]
In March 1999, MGM announced that it had paid $225 million to end its home video distribution contract with Warner Home Video and re-acquired the home video rights to their post-1986 catalog while Warner took over home video distribution of the pre-1986 catalogue.
MGM purchased 20 percent of Rainbow Media Group from Cablevision Systems for $825 million in 2001.[126] MGM attempted to take over Universal Studios in 2003, but failed, and was forced to sell several of its cable channel investments (taking a $75-million loss on the deal).[127][128]
In January 2002, MGM formed the MGM Entertainment Business Group with lawyer Darcie Denkert as president. This placed her in charge of MGM on Stage, the company's theatrical arm. Her friend Dean Stolber joined her as co-president of the theatrical unit.[129]
On May 27, 2003, MGM re-acquired full home video distribution rights to its films internationally, while Fox would continue to distribute on behalf of MGM in select developing regions.[130]
MGM Holdings
Bidding war and corporate reorganization
In 2002, Kerkorian again put MGM up for sale, with a suggested sale price of $7 billion.
However, problems quickly arose between MGM and Sony. The largest issue was Sony failing to meet sales projections for MGM's catalog on DVD; when this occurred, Providence Equity brought in Harry Sloan as chairman of MGM. Sloan began to champion MGM's future as being independent of Sony as opposed to a label under Sony control; other issues both between MGM and Sony as well as inside both companies began to manifest, resulting in MGM reestablishing itself as an independent studio.[134]
In February 2006, MGM announced it would return as a theatrical distribution company. MGM struck deals with The Weinstein Company (TWC), Lakeshore Entertainment, Bauer Martinez, and many other independent studios, and then announced its plans to release 14 feature films for 2006 and early 2007. MGM also hoped to increase the amount to over 20 by 2007. Lucky Number Slevin, released April 7, was the first film released under the new MGM era.[135] The TWC distribution agreement covered three years, but ended three months early.[136]
On May 31, 2006, MGM announced it would transfer the majority of
A
On November 2, 2006, producer/actor Tom Cruise and his production partner, Paula Wagner, signed an agreement with MGM to run United Artists. Wagner served as United Artists' chief executive.[143][144]
MGM in the digital age
Over the next several years, MGM launched a number of initiatives in distribution and the use of new technology and media, as well as joint ventures to promote and sell its products. In April 2007, it was announced that MGM movies would be able to be downloaded through Apple's
On April 14, 2008, a South Korea government agency announced that MGM and Incheon International Airport Corporation agreed to build MGM Studio Theme Park. The selected site was a 1.5 million square meter Yeongjongdo island property near the Incheon International Airport.[151] Ultimately, the park was designed but never built.[152]
MGM files for bankruptcy
As of mid-2009, MGM had US$3.7 billion in debt, and interest payments alone totaled $250 million a year.
Whether MGM could avoid voluntary or involuntary bankruptcy had been a topic of much discussion in the film industry. MGM had to repay a $250-million line of credit in April 2010, a $1-billion loan in June 2011, and its remaining US$2.7 billion in loans in 2012.[156] In May 2009, MGM's auditor gave the company a clean bill of health, concluding it was still on track to meet its debt obligations.[154] At that time, the company was negotiating with its creditors to either extend the debt repayment deadlines or engage in a debt-for-equity swap.[154] Industry observers, however, questioned whether MGM could avoid a Chapter-11 bankruptcy filing under any circumstances, and concluded that any failure to conclude the negotiations must trigger a filing.[158] MGM and its United Artists subsidiary were now producing very few films each year, and it was widely believed that MGM's solvency would depend on the box-office performance of these films (especially Skyfall).[156][159] There was some indication that Relativity Media and its financial backer, Elliott Associates (a hedge fund based in New York), had been acquiring MGM debt in an attempt to force the company into involuntary bankruptcy.[153][160]
On August 17, 2009, chief executive officer Harry E. Sloan stepped down and MGM hired Stephen F. Cooper as its new CEO,[6][161][162] a corporate executive who guided Enron through its post-2001 bankruptcy and oversaw the restructuring and growth of Krispy Kreme in 2005.[156][163][164] Expectations were that Cooper was hired to act quickly on MGM's debt problems.[156][163] On October 1, 2009, the studio's new leadership negotiated a forbearance agreement with its creditors under which interest payments due from September to November 2009 did not have to be paid until December 15, 2009.[165]
MGM stated in February 2010 that the studio would likely be sold in the next four months, and that its latest film, Hot Tub Time Machine, might be one of the last four films to bear the MGM name. However, some stated that the company might continue as a label for new James Bond productions, as well as other movie properties culled from the MGM library.[166]
MGM Holdings, Metro-Goldwyn-Mayer and 160 affiliates filed for Chapter 11 bankruptcy on November 3, 2010, with a prepackaged plan for exiting bankruptcy which led to MGM's creditors taking over the company.
Post-bankruptcy era
On January 4, 2011, MGM and Weigel Broadcasting announced plans to distribute MeTV nationwide.[170][171] On February 2, 2011, MGM named Jonathan Glickman to be the film president of MGM. Six days later, MGM was finalizing a distribution deal with Sony Pictures Entertainment to handle distribution of its films worldwide, including the two upcoming Bond films Skyfall and Spectre, and MGM having the right to be co-financier on selected Sony films, such as The Girl with the Dragon Tattoo. The deal was finalized on April 13, 2011.[172] 20th Century Fox's deal with MGM handling its library distribution worldwide was set to expire in September 2011.[173][174] However, the deal was renewed and extended on April 14, 2011[175] and, after five years, was renewed and extended again on June 27, 2016. It was expired in June 2020[176] due to Disney's acquisition of 21st Century Fox's properties (including 20th Century Fox) in 2019.
MGM moved forward with several upcoming projects, including remakes of
On October 3, 2012, Birnbaum announced his intention to exit his role as an MGM executive and return to "hands-on" producing. He will remain with the studio to produce films on "an exclusive basis".[182] In December 2012, Denkert retired as co-president of MGM on Stage after producing five Broadway and West End plays.[129] In May 2014, MGM introduced The Works, a channel available in 31 percent of the country, including stations owned by Titan Broadcast Management.[183]
In 2013, the Orion brand was revived as a television production label for a syndicated court show. The Orion Pictures name was extended in fourth quarter 2014 for smaller domestic and international video on demand and limited theatrical releases.[184]
In March 2017, MGM announced a multi-year distribution deal with Annapurna Pictures for some international markets and including home entertainment, theatrical and television rights.[185] Later on October 31, 2017, the two companies formed a US distribution joint venture called Mirror Releasing. However, this partnership will not be exclusive to all MGM films, as several of them will continue to be released through existing studio partners, such as Warner Bros. and Paramount. It also does not include newly relaunched Orion Pictures.[186] On February 5, 2019, Annapurna and MGM rebranded and expanded their US distribution joint venture as United Artists Releasing, marking another revival of the United Artists brand, with the Orion Pictures distribution team and films joining the venture. The decision was made to coincide with the United Artists brand's 100th anniversary.[187]
Following the
In April 2019, MGM signed a two-year, first-look deal for films with Smokehouse Pictures, owned by George Clooney and Grant Heslov. The deal's first film is a yet-to-be-named John DeLorean film based on journalist Alex Pappademas' Epic magazine article "Saint John", written by Keith Bunin and Clooney as director with a possibility of starring.[190]
In April 2019, MGM made a multi-film non-exclusive creative partnership with
MGM agreed to a $100 million co-financing slate deal with Bron Creative in June 2019. The slate consisted of at least nine films including three Orion Pictures films.[192]
MGM was one of the first studios to delay the films, including No Time to Die, due to the COVID-19 pandemic. This was followed by an April 2020 layoff of 7% of employees.[193]
A shuffle of top executives occurred in the first four months. Glickman left in January 2020 and replaced by Michael De Luca as chairman of the motion picture group. A motion picture group president, veteran executive and producer Pamela Abdy, was named in early April. Co-presidents of production Cassidy Lange, Adam Rosenberg left by May 1, 2020.[194]
In May 2020, MGM made an investment, facilitated by its television group, in Audio Up podcast production studio, platform and network. Audio Up would also produce 5 podcasts per year for MGM and agreed to an exclusive first look for its works.[195] Later that month, MGM agreed to a two-year film and television first-look development deal with Killer Films.[196]
In 2013 and 2015,
Amazon subsidiary
In December 2020, MGM began to explore a potential sale of the studio, with the
On February 8, 2022,
In May 2023, Amazon Studios created Amazon MGM Studios Distribution, an international film and television distribution unit for both MGM and Amazon projects. The first MGM films from the new distributor were Saltburn, which premiered at the Telluride Film Festival on August 30, 2023, and Sitting in Bars with Cake, which was released on Prime Video on September 8, 2023.[214] On October 4, 2023, Pablo Iacoviello, Amazon's director of monetization for local originals, announced at the TV forum Iberseries & Platino Industria in Madrid that Amazon Studios would be renamed to Amazon MGM Studios itself to reflect this.[12] On September 17, 2023, Orion Pictures' American Fiction earned the studio its first win for the People's Choice Award at that year's Toronto International Film Festival.[215] In January 2024, Amazon announced hundreds of layoffs across Amazon MGM Studios, Prime Video and Twitch in order to "prioritize our investments for the long-term success of our business, while relentlessly focusing on what we know matters most to our customers," according to Mike Hopkins.[216]
In March 2024, beginning with the Prime Video release of the remake of Road House, the studio kicked off the centennial anniversary celebration of its founding, with a "100 Years" logo variant appearing on titles produced by MGM throughout the year. In April 2024, the studio, in collaboration with Fandango at Home, Rotten Tomatoes and iTunes, offered customers a "100 Essential Movies" bundle of 100 films from its library as part of their centennial for a limited time.[217] In September 2024, Amazon MGM Studios and Prime Video became the seventh member of the MPA, marking MGM's return to membership for the first time since 2005.[218]
Headquarters
Since August 22, 2011, MGM's headquarters have been in Beverly Hills, California,[219] where it rents space in a six-story office building. The 144,000-square-foot (13,400 m2) facility was originally built for the William Morris talent agency, but had remained all but unoccupied because of the agency's merger with Endeavor Talent Agency in April 2009. MGM planned to house a private theater and a private outdoor patio in the building.[220]
Prior to 2003, MGM's headquarters were in the Colorado Center in
Architect Scott Johnson designed the bottom third of the tower with extra-large floors so MGM executives could have outdoor decks. No expense seemed to be spared—from imported Italian marble for MGM's offices, to the company's exclusive use of a private garage, security checkpoint, and elevator bank, all to enable visiting celebrities discreet entry and exit. One of the tower's three screening rooms was a 100-seat theater on the ground floor (later taken over by
Emerging from bankruptcy protection in 2010, MGM announced that it planned to move its headquarters to Beverly Hills as part of an effort to resolve almost $5 billion in debt, since the lease in Century City was not scheduled to expire until 2018. Vincent and Eller said that MGM's per-square-foot monthly rent would be far lower in the Beverly Hills building than in MGM Tower. Larry Kozmont, a real estate consultant not involved in the process, said, "It's a prudent move for them. Downsizing and relocating to a space that is still prominent but not overly ostentatious and burdened by expenses is fundamental for their survival."[220] MGM vacated its namesake tower on August 19, 2011.[219]
Leo logo and mottos
The studio's official motto, "Ars Gratia Artis", is a Latin phrase meaning "Art for art's sake".[224][225][226][227] It was chosen by Howard Dietz, the studio's chief publicist.[228][229][230] The studio's logo is a roaring lion surrounded by a ring of film inscribed with the studio's motto. The logo, which features Leo the Lion, was created by Dietz in 1916 for Goldwyn Pictures and updated in 1924 for MGM's use.[228][231][232] Dietz based the logo on his alma mater's mascot, the Columbia University lion.[228][230][233][234] Originally silent, the sound of Leo the Lion's roar was added to films for the first time in August 1928.[227]
In the 1930s and 1940s, the studio billed itself as having "more stars than there are in heaven", a reference to the large number of A-list movie stars under its contract.[232][235][236] This second motto was also coined by Dietz[237][238][239][240] and was first used in 1932.[241]
On March 8, 2021, the studio unveiled a rebrand, centered on the "Ars Gratia Artis" motto, across its social media and marketing platforms, including a photorealistic CGI version of its Leo the Lion emblem and logo, also introducing a new print logo for television, digital, and film posters, phasing out the static MGM logo in favor of simply the company's initials, done in the company's longtime typeface. This was to make the studio's name more recognizable when viewed at a small size.
As of September 2023, this version of the logo is also being used to represent Amazon MGM Studios at the start of films produced and/or distributed by the parent company without MGM's involvement after retiring their own 2016–2023 on-screen logo as a result of their rebrand.[242]
Film library
Turner Entertainment Co.
Following his brief ownership of the company in 1986, Ted Turner formed
Film series
| Title | Release date | No. Films | Notes |
|---|---|---|---|
| Ben-Hur | 1925–2016 | 5 | Turner Entertainment
|
| The Broadway Melody | 1929–1940 | 4 | |
| Tarzan | 1932–1942 | 6 | |
| The Thin Man | 1934–1947 | 6 | |
| Andy Hardy | 1937–1958 | 16 | |
| Dr. Kildare | 1938–1942 | 9 | |
| Maisie | 1939–1947 | 10 | |
| Nick Carter | 1939–1940 | 3 | |
| Dr. Gillespie | 1942–1947 | 6 | |
| Lassie | 1943–1949 | 6 | |
| Father of the Bride | 1950–1951 | 2 | |
| The Magnificent Seven | 1960–2016 | Acquired from United Artists | |
| James Bond | 1962–present | 25 | |
| The Pink Panther | 1963–present | 11 | |
| Flipper | 1963–1996 | 3 | |
| Space Odyssey | 1968–1984 | 2 | |
| That's Entertainment! | 1974–1994 | 4 | Co-production with Turner Entertainment Co.; owned by Warner Bros. |
| Rocky | 1976–present | 9 | Acquired from United Artists |
| Fame | 1980–2009 | 2 | Ownership of the original film by Turner Entertainment Co. |
| Poltergeist | 1982–2015 | 3 | |
| The Secret of NIMH | 1982–2009 | 2 | |
| WarGames | 1983–2008 | ||
| Teen Wolf | 1985–2023 | 3 | Acquired from PolyGram Filmed Entertainment; co-production with Paramount Pictures and MTV Entertainment Studios |
| RoboCop | 1987–2014 | 4 | Acquired from Orion Pictures |
| Child's Play | 1988; 2019 | 2 | |
| All Dogs Go to Heaven | 1989–1996 | ||
| Bill & Ted | 1989–2020 | 3 | Acquired from Orion Pictures |
| Hannibal Lecter | 1991–2007 | 2 | Acquired from Orion Pictures; distribution only |
| Species | 1995–2007 | 4 | |
| Carrie | 1976–2013 | Acquired from United Artists; co-production with Screen Gems | |
| Legally Blonde | 2001–present | 5 | |
| Jeepers Creepers | 2001–2003 | 2 | |
| Barbershop | 2002–2016 | 4 | |
| Agent Cody Banks | 2003–2004 | 2 | |
| Spud | 2010–2014 | 3 | |
| Hot Tub Time Machine | 2010–2015 | 2 | |
| The Girl with the Dragon Tattoo | 2011–2018 | ||
| 21 Jump Street | 2012–2014 | Co-production with Columbia Pictures | |
| The Hobbit | 2012–2014 | 3 | Co-production with New Line Cinema; co-owned with Warner Bros. |
| G.I. Joe | 2013–2021 | 2 | Distribution by Paramount Pictures |
| Max | 2015–2017 | ||
| The Addams Family | 2019–present | Co-production with Universal Pictures |
Highest-grossing films
| Rank | Title | Year | Box office gross | Studio labels |
|---|---|---|---|---|
| 1 | Skyfall | 2012 | $304,360,277 | Sony |
| 2 | The Hobbit: An Unexpected Journey | $303,030,651 | Warner Bros. | |
| 3 | The Hobbit: The Desolation of Smaug | 2013 | $258,387,334 | |
| 4 | The Hobbit: The Battle of the Five Armies | 2014 | $255,138,261 | |
| 5 | A Star is Born | 2018 | $215,333,122 | |
| 6 | Gone with the Wind | 1939 | $200,882,193 | MGM |
| 7 | Spectre | 2015 | $200,074,609 | Sony |
| 8 | 22 Jump Street | 2014 | $191,719,337 | |
| 9 | Dances with Wolves
|
1990 | $184,208,848 | Orion |
| 10 | Rain Man | 1988 | $172,825,435 | UA |
| 11 | Quantum of Solace | 2008 | $168,368,427 | Sony |
| 12 | Casino Royale | 2006 | $167,445,960 | |
| 13 | Hannibal | 2001 | $165,092,268 | MGM / Universal |
| 14 | Die Another Day | 2002 | $160,942,139 | MGM / 20th Century Fox
|
| 15 | No Time to Die | 2021 | $160,869,031 | UAR / Universal |
| 16 | Creed III | 2023 | $156,248,615 | MGM / Warner Bros. |
| 17 | Platoon | 1986 | $138,530,565 | Orion |
| 18 | 21 Jump Street | 2012 | $138,447,667 | Sony |
| 19 | The Silence of the Lambs | 1991 | $130,742,922 | Orion |
| 20 | Rocky IV | 1985 | $127,873,716 | UA |
| 21 | The World Is Not Enough | 1999 | $126,943,684 | MGM |
| 22 | Tomorrow Never Dies | 1997 | $125,304,276 | UA |
| 23 | Rocky III | 1982 | $125,049,125 | |
| 24 | G.I. Joe: Retaliation | 2013 | $122,523,060 | Paramount |
| 25 | Rocky
|
1976 | $117,235,147 | UA |
| Rank | Title | Year | Box office gross | Studio labels |
|---|---|---|---|---|
| 1 | Skyfall | 2012 | $1,108,569,499 | Sony |
| 2 | The Hobbit: An Unexpected Journey | $1,017,106,749 | Warner Bros. | |
| 3 | The Hobbit: The Battle of the Five Armies | 2014 | $962,253,946 | |
| 4 | The Hobbit: The Desolation of Smaug | 2013 | $959,079,095 | |
| 5 | Spectre | 2015 | $880,707,597 | Sony |
| 6 | No Time to Die | 2021 | $774,153,007 | UAR / Universal |
| 7 | Casino Royale | 2006 | $616,577,552 | Sony |
| 8 | Quantum of Solace | 2008 | $589,593,688 | |
| 9 | A Star is Born | 2018 | $436,433,122 | Warner Bros. |
| 10 | Die Another Day | 2002 | $431,971,116 | MGM / 20th Century Fox
|
| 11 | Dances with Wolves
|
1990 | $424,208,848 | Orion |
| 12 | Gone with the Wind | 1939 | $402,382,193 | MGM |
| 13 | G.I. Joe: Retaliation | 2013 | $375,740,705 | Paramount |
| 14 | The World Is Not Enough | 1999 | $361,832,400 | UA |
| 15 | Rain Man | 1988 | $354,825,435 | |
| 16 | Hannibal | 2001 | $351,692,268 | MGM / Universal |
| 17 | Tomorrow Never Dies | 1997 | $333,011,068 | UA |
| 18 | 22 Jump Street | 2014 | $331,333,876 | Sony |
| 19 | Rocky IV | 1985 | $300,473,716 | UA |
| 20 | Creed III | 2023 | $276,148,615 | MGM / Warner Bros. |
| 21 | Tomb Raider | 2018 | $274,950,803 | Warner Bros. |
| 22 | The Silence of the Lambs | 1991 | $272,742,922 | Orion |
| 23 | Rocky III | 1982 | $270,000,000 | UA |
| 24 | Hercules | 2014 | $244,819,862 | Paramount |
| 25 | RoboCop | $242,688,965 | Sony |
Distribution
Domestically, MGM currently distributes its own films and others it acquires from third parties through Amazon MGM Studios Distribution, as well as films produced by the relaunches of Orion Pictures and American International Pictures, and the 2024 iteration of United Artists. They were previously distributed by United Artists Releasing, the former Mirror Releasing, from 2019 to 2023.[187] Internationally, MGM's films are currently distributed by Warner Bros. Pictures, following a four-year deal with Universal Pictures mostly through United International Pictures (UIP), of which MGM is a former member (see below).
From 1924 to 1973 (worldwide) and 1981 to 2010 (domestically), MGM has theatrically distributed most of its movies entirely in-house, as well as those of United Artists after July 1981 and Orion Pictures after April 1997. In October 2017, seven years after shutting down their major distribution operations, MGM re-entered US theatrical distribution by launching an American joint venture with Annapurna Pictures that will share distribution financing between the two companies and release certain MGM and Annapurna films, beginning with the 2018 remake of Death Wish.
There were also periods when MGM outsourced distribution to other companies. From 1973 to 1981, United Artists distributed MGM's films in North America while
MGM also distributed films from Carolco Pictures (1994–1995, in North America),[89] Rysher Entertainment (1996–1997),[93] and The Weinstein Company/Dimension Films (2006–2008, in the United States),[136] as well as currently handling select international distribution of Annapurna Pictures' releases.
From 2006 to September 2008, MGM distributed films produced or acquired by The Weinstein Company (TWC). Weinstein preferred the deal brought carriage on Showtime. Prints and marketing were paid for by TWC, while MGM was paid for booking theaters. With TWC agreeing to a direct deal with Showtime and MGM not intending to renew the distribution deal, TWC and MGM agreed to end the distribution deal three months early in September 2008.[136]
Other international arrangements
In 2012, MGM signed a deal with
In 2018, for select films, MGM arranged international distribution with
See also
Notes
- ^ WB retained a pair of features from 1949 that they merely distributed, and all short subjects released on or after September 1, 1948, in addition to all cartoons released on or after August 1, 1948.
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Bibliography
- ISBN 9781878685049.
- Rempel, William C. (2018). The gambler : how penniless dropout Kirk Kerkorian became the greatest deal maker in capitalist history. New York, NY, USA: HarperCollins. ISBN 9780062456779.
Further reading
- Altman, Diana (1992). Hollywood East: Louis B. Mayer and the Origins of the Studio System. Carol Publishing.
- Bart, Peter (1990). Fade Out: The Calamitous Final Days of MGM. Morrow.
- Crowther, Bosley (1957). The Lion's Share: The Story of an Entertainment Empire. E. P. Dutton and Company.
- Dixon, Wheeler Winston (2012). Death of the Moguls: The End of Classical Hollywood. New Brunswick, New Jersey: Rutgers University Press. ISBN 978-0-8135-5377-1.
- Eames, John Douglas (1975). The MGM Story. Octopus.
- Vieira, Mark A. (2008). Hollywood Dreams Made Real: Irving Thalberg and the Rise of M-G-M. Abrams.
- International Directory of Company Histories, Volume 25. Detroit: St. James Press. 1999. ISBN 9781558623675.
- Rudolph, Kalie (June 28, 2011). "The Golden Era of Hollywood: The Making of The Wizard of Oz and Gone with the Wind". Voces Novae: Chapman University Historical Review. 3 (1). Archived from the original on May 2, 2017. Retrieved May 12, 2017.
External links
- Official website
- mgmstudios.com at the Wayback Machine (archived 2023-07-26)
- "Metro-Goldwyn-Mayer films and personalities scrapbooks". archives.nypl.org. New York Public Library for the Performing Arts. Retrieved May 26, 2021., held by the Billy Rose Theatre Division,
- John N. Gillespie (2013). "Collection of Metro-Goldwyn-Mayer scripts". Prepared for the L. Tom Perry Special Collections, Provo, UT. Retrieved May 16, 2016.
