MGM Creditors Push for Auction

Reject CEO Cooper’s proposed debt restructuring plan.

Last Updated: November 11, 2009 @ 5:47 PM

It may not be long before the troubled MGM studio is forced by its creditors to seek a buyer. That’s the word coming out of a Nov. 4 meeting between MGM CEO Stephen Cooper and the debt-hobbled film company’s 140-member creditor committee.

According to one source with knowledge of the meeting, the creditor group turned thumbs down on Cooper’s proposal to convert the studio’s $3.7 billion debt into equity as part of a restructuring plan to keep the studio out of bankruptcy.

Read more at BusinessWeek.