Renowned French media company Technicolor SA has issued documents to declare near-bankruptcy state as the COVID-19 pandemic has left a significant impact. The company already had initiated a downward trajectory, mainly due to reduction in demand for DVD media, as online services started to flourish.

Over the last couple of months, multiple business losses have been reported, such as merging of MR.X and Mill Film VFX companies, which was again forced by the pandemic impact. The controversial event when Frederic Rose (former CEO of the company) was accused of breach of trust and fraud by the French government. This will most likely be a subject of bankruptcy discussions to review just how much of a relation there is in between those events and the current status of the company.

As stated in the documents filed to U.S. bankruptcy court, there is  €660 million in debt, which is to be partially covered by the agreed amount which would be provided for the restructuring plan of €420 million. Some of the facilities were also closed for business, such as MPC’s facility in Vancouver, which was a decision which alone left 300 artists without a job.

Source: AWN.com


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