September 12, 1990 |
Four MGM/UA Communications Co. insurance carriers have agreed to pay up to $20 million to settle a class-action suit against the studio, despite MGM/UA's objections. The agreement, which leaves MGM/UA majority shareholder Kirk Kerkorian and his Tracinda Corp. as the lone defendants in the case, will be presented to a Los Angeles Superior Court judge on Friday. J. Michael Hennigan, one of the attorneys for the plaintiffs, hailed the settlement as a significant victory for shareholders.
August 22, 1990 |
Giancarlo Parretti sank another $50 million into MGM/UA Communications Co. on Tuesday, clearing one more hurdle in his $1.3-billion bid for the film company. The payment raised Parretti's non-refundable deposit to $303 million, not counting about $75 million in securities that he has pledged in connection with the deal. Parretti, co-founder of Pathe Communications Corp., has about two more months to raise the remaining $1 billion.
July 21, 1990
Fred Claire entered the Twilight Zone in 1988 with a script even Hollywood would shun. The Dodgers, a fair team carried on the shoulders of an aging and injured American League reject, won the World Series. Who will ever forget Kirk Gibson's home run? Fred decided he had the secret: Raid the American League of its injured players and dump young future stars. Like all quick fixes, it didn't last. A look at today's Dodgers is enough to make a fan ill. Stolid, angry, unsmiling.
July 17, 1990 |
Despite held breadth among skeptical observers, Pathe Communications Corp. on Monday made an additional $53-million down payment toward its planned purchase of MGM/UA Communications Co. If Pathe had not met Monday's deadline for the payment, it would have forfeited $200 million already placed in an escrow account as partial payment in the $1.3-billion bid for the movie studio.
July 13, 1990 |
Pathe Communications Corp. sued Time Warner Inc. for $500 million in Los Angeles Superior Court late Thursday, charging that the New York media giant reneged on an agreement to loan Pathe $650 million toward the purchase of MGM/UA Communications Co. Pathe's suit accuses Time Warner of breach of contract, fraud, interference with contractual relationship and unfair competition.
June 30, 1990 |
Time Warner Inc. filed a $100-million lawsuit against Pathe Communications Corp. late Friday in a move that threatens to block any bid by Pathe to complete its proposed $1.3-billion acquisition of MGM/UA Communications Co. The suit, filed in Los Angeles Superior Court, accuses Pathe of violating an agreement under which Time Warner was to provide $650 million in financing for the MGM/UA purchase.
June 29, 1990 |
Pathe Communications Corp. confirmed Thursday that negotiations with Times Warner Inc., its chief financial backer in its planned $1.3-billion purchase of MGM/UA Communications Co., have collapsed. Pathe said it is seeking "alternative" sources of support for the deal. The disclosure, which had been expected for several weeks, leaves Pathe with less than half of the funding needed to complete the acquisition.
June 22, 1990 |
With chief backer Time Warner Inc. apparently on the verge of withdrawing its support for the deal, Pathe Communications Corp. on Thursday was forced to obtain a four-month extension on its bid to acquire MGM/UA Communications Co. Pathe's new agreement with MGM/UA raises the price of the deal by $100 million, to $1.3 billion. Pathe will increase its payment for all outstanding MGM/UA stock to $21.
June 20, 1990 |
In a stunning blow, Pathe Communications Corp. has been told it cannot rely on borrowed funds to complete its planned $1.2-billion acquisition of MGM/UA Communications Corp. Time Warner Inc., Pathe's chief financial backer, on Tuesday said that Pathe must abide by the terms of a financing agreement that requires the company to contribute $600 million in equity. "The agreement was . . . that there would be a minimum of $600 million in equity from Pathe," said a Time Warner spokeswoman.