Company behind 'American Idol' files for bankruptcy

[mvcg66b3r]

The production company behind American Idol and So You Think You Can Dance, Core Media Group, has filed for bankruptcy protection, citing Idol’s falling ratings and money it owes show creator Simon Fuller, among other factors.

Fuller, the company’s top unsecured creditor, is owed $3.37 million, according to the Hollywood Reporter. In the Chapter 11 filing, Core says it owes $398 million to third parties, including Tennenbaum Capital Partners and Crestview Media Investors.

“Despite its long-running success, however, the company has recently experienced deterioration in its financial performance, primarily attributable to the decline in ratings for American Idol and the corresponding decline in revenues from IDOLS- related broadcast fees, international tape sales for rebroadcasts, touring fees, sponsorships and IDOLS- related merchandise sales,” according to a court filing cited by the Reporter.

http://www.usatoday.com/story/money...hind-american-idol-files-bankruptcy/83639056/

 

[landtuna]

Somehow I am not surprised. They spent a ton of money on each presentation but over time they all began to look the same. I haven't watched 'Icon' since season 1 but saw snippets each week on the local Fox morning show. To me the only measurable difference was how funny each contestant could make their hair look. Pretty much emulated current pop performers.

 

[umfan]

$398 million?!? I think some fraud was going on. Fox most definitely was paying its bills so there must have been some skimming going on instead of paying creditors.