A new report reveals that the loans taken out by MGM to make No Time To Die will cost them $ 1 million in interest each month until the film’s release.
New report reveals loans MGM has taken out for No time to die will cost them $ 1 million in interest each month until the film is released. The 25th film in the franchise, and Daniel Craig’s finale as 007, No time to die will apparently tie up all of the loose plot threads of Craig’s five Bond films, which began in the 2006s Casino Royale. No time to die also stars Rami Malek as villainous Safin, Lashana Lynch as Nomi and Ana de Armas as Paloma. Lea Seydoux, Christoph Waltz, Naomie Harris, Ben Whishaw, Ralph Fiennes and Jeffrey Wright also appear, reprising their roles from previous Bond films.
Originally slated for a theatrical release in April, No time to die was delayed by the coronavirus pandemic, first in November and then again in April 2021. Directed by Cary Fukunaga, the film has an announced budget of over $ 250 million. Recently, it was reported that the delays had become so costly for MGM, that the studio was trying to to sell No time to die to a streaming service like Netflix for a figure of around $ 600 million.
A new report reveals why MGM was so desperate to sell. THR reveals that for every month of delay, MGM incurs $ 1 million in interest charges. The funded workshop No time to die with a large loan, which is typical of many films, but the delay means that interest is due and cannot be repaid until the film is released. The report quotes Hal Vogel, CEO of Vogel Capital Research, as saying “MGM suffers” and the repayment of the loan was one of the main reasons the studio explored a continuous sale. You can read his full comments below:
MGM is suffering. Every major distributor at this point has a stack of expensive unreleased films. The heap grows bigger day by day. These films are in inventory. They are sitting there with no return on their investment. Even with low interest rates, interest costs add up. So going the streaming route isn’t that crazy. You spent the money. And you won’t be getting it back anytime soon.
MGM’s financial problems are of course not unique. Warner Bros. took a huge risk releasing Christopher Nolan’s movie Principle in theaters in September and that ended up being a failure At the box office. Disney also had to realign its priorities, deciding to exit Mulan and Soul on Disney + rather than in theaters. These two studios, however, benefit from their own streaming services. For MGM, the problem is compounded by the fact that they should have sold No time to die to another company for a huge price in order to make money on the project.
The problem with No time to die‘s release deadlines further exposes the fundamental problem at the heart of today’s cinema. Namely, how can movie studios justify big budget movies at a time when audiences don’t want to leave the house, let alone go and watch movies indoors. If a long-running franchise like Bond is in the fight, it looks like no studio is safe at the moment. Whether cinemas will survive to the end That’s a question for another time, but this situation is further proof that the pandemic has thrown the movie industry into complete disarray.
- No Time to Die / James Bond 25 (2021)Release Date: 08 Oct 2021
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