Metro-Goldwyn-Mayer is laying off between 45 to 50 people from its theatrical marketing, distribution, and post-production departments, TheWrap has confirmed.
As part of its bankruptcy filing, the studio had announced that it would be cutting staff, but Friday marked the day that pink slips actually arrived. Prior to this round of lay-offs, MGM had about 400 staffers on its payroll.
Production on films has stalled for the past year and a half as MGM struggled under some $4 billion in debt and tried to attract a buyer. An individual with knowledge of the negotiations said that staff in these departments had little to do as new films won't make their way through the production pipeline until 2012.
Last October, MGM's creditors approved a pre-packaged bankruptcy plan that will see Spyglass chiefs Gary Barber and Roger Birnbaum take over the company once it emerges from Chapter 11.
The studio is currently trying to tie up a $500 million credit facility that will be used to keep operations running and to fund MGM's portion of "The Hobbit."
