MGM | Principles & Practices

By Jillian Davis

[1]

MGM Studios Inc.
245 N Beverly Dr.
Beverly Hills, CA 90210 [16]

Overview [2]

Metro-Goldwyn-Mayer is an American film production and distribution company. It also makes and distributes content for television. MGM has long been considered one of the most glamorous film production companies, winning over 200 Oscars since it was founded, and contributing to the Golden Age of Hollywood bragging that it had, “more stars than there are in the heavens.” As of April 2014, MGM has been celebrating its 90th year as a company with DVD and digital release promotions of its most popular film releases. The company has taken on a major role in the global market for making and distributing films and television.

Brief History [3]

MGM began in 1924 as the consolidation of Metro Pictures Corporation, Goldwyn Pictures, and Louis B. Mayer Productions at the hands of Marcus Loew; who never lived to see the glittering company of stars that later unfolded. Over the past ninety years, MGM has roped in hundreds of Oscars, including Best Picture awards like Gone With the Wind, Midnight Cowboy, West Side Story, and The Silence of the Lambs.
MGM was one of the first film companies formed in Hollywood when motion pictures became a lucrative business, and for about thirty straight years, it was the most dominating, dazzling force in Tinsel Town. The famous Leo the Lion logo has always been the face of MGM, and the emblem received its roaring sound in August of 1928 [8].

Executives

Gary Barber– Chairman and Chief Executive Officer [4]

Ken Schapiro– Chief Strategic Officer [5]

Jonathan Glickman– President, Motion Picture Group [6]

Dene B. Stratton– Chief Financial Officer [7]

Financials [9] [13] [25]

Poster of Skyfall, the most financially successful Bond film, helped bring MGM out of debt. [10]

MGM is a privately owned company. Although the company’s numbers are stable at the moment, MGM has suffered during the transition of the Digital Age in film distribution. It had to declare Chapter 11 bankruptcy in 2010 after digitalizing many of its most popular films, and putting them on iTunes. The company acquired too much debt to pay off, so companies like Spyglass Entertainment and Lions Gate stepped in to alleviate the financial burden. MGM’s debt was also a result of its lack of DVD sales. MGM had a revenue of $464 million last quarter, which is down from $903 million the previous year (a 49% drop). The company is currently making its way out of debt, trying to mirror the successes of films like Skyfall, The Girl with the Dragon Tattoo, Red Dawn, and Cabin in the Woods. While MGM is currently a privately owned company, it intends to be publicly traded once it buys up Investor Carl Icahn’s $590 million shares of the company.

Current Projects…

Fargo airs on FX every Tuesday at 10pm. [12]

…in television

Fargo (television series): the premier of Fargo on FX this year marked a prosperous project for MGM Television. The series is based off of the Coen Brothers’ classic 1996 dark comedy film about a no-good drifter that rolls into a small town in Minnesota and negatively influences the innocent town. The first season is so far very successful, earning a positive rating of 9.4 out of 10 on IMDb [11]. Starring Billy Bob Thornton, Allison Tolman, Colin Hanks, and Martin Freeman, this series began on April 15, 2014 and is keeping the original creators (the Coen Brothers) on as executive producers. The series is being produced alongside FX Productions.

RoboCop is a remake of the 1987 film that eventually became a successful franchise. [14]

…in Film

Robocop: this remake of the 1987 science fiction action film stars Joel Kinnaman, Gary Oldman, Michael Keaton, and Samuel L. Jackson. The film is set in 2028 Detroit, and is about a top-notch cop, husband, and father who is brutally injured in a car bombing incident. The only way he can survive is by fusing his body with a computer-generated robot body suit that makes him an efficient investigating and killing machine for the corporation that built the suit. He must find a balance between the computer that he’s become, and the human soul deep inside of himself. The film has so far exceeded its budget, but is proving to be a bust for film ratings, receiving a 48% on Rotten Tomatoes [15]. The film is being produced alongside Columbia Pictures.

The Hobbit: The Desolation of Smaug became a successful blockbuster release, and is now out on blu ray. [17]

…in digital release

The Hobbit: The Desolation of Smaug was a blockbuster success during the holiday season of 2013. Starring Ian McKellen, Martin Freeman, and Richard Armitage, this film is the second in a three part trilogy for the franchise of The Lord of the Rings.
Hobbit Bilbo Baggins and his team of other magical friends from Middle Kingdom go on an adventure to save the land from Smaug, while discovering the power of a mysterious yet magical ring. The film franchise has proved to be a major success since it began, and continues the financial prosperity on high-tech mediums such as blu ray, 3D, and digital quality [18] [19]. The film was distributed alongside Warner Brothers Entertainment.

What’s Next

22 Jump Street is the sequel to the popular film from 2012 “21 Jump Street” [20]

22 Jump Street is set to be released on June 13, 2014. Starring Channing Tatum and Jonah Hill, this will be the sequel to the smash hit 21 Jump Street, which was based off of the 1987-1991 television show. The film will be about sending two low level cops undercover at a local college to find the source of a major drug deal. This film is not yet rated. [21][22] This film will be distributed alongside Columbia Pictures.

If I Stay comes out August 22, 2014 and is based off of the book by Gayl Forman. [23]

If I Stay is an upcoming drama film about a gifted young cellist who has to make the most difficult decision of her life: attend Julliard and follow her dreams, or stay with the love of her life. Her decision gets even more difficult when she and hew family are in a car accident and her very life hangs in the balance, and she must decide whether to live a difficult life, or not live at all. The film stars Chloe Grace Moretz, Mireille Enos, and Jamie Blackley, and is set to be released August 22, 2014. [24] This film will be distributed alongside Warner Brothers Entertainment.

Sources

[1] MGM logo http://movies.wikia.com/wiki/Leo_the_Lion_%28MGM%29– accessed 4/14/14

[2] MGM overview http://mgm.com/#/about/mgm-history– accessed 4/14/14

[3] MGM brief history http://mgm.com/#/about/mgm-history– accessed 4/15/14

[4] Gary Barber Image http://www3.pictures.zimbio.com/gi/Gary+Barber+National+Multiple+Sclerosis+Society+-tV_OXFJT_il.jpg– accessed 4/15/14

[5] Ken Schapiro image http://latimesblogs.latimes.com/entertainmentnewsbuzz/2011/02/new-mgm-taps-ken-schapiro-as-chief-operating-officer.html– accessed 4/15/14

[6] Jonathan Glickman image http://voices.washingtonpost.com/reliable-source/2011/02/dc_native_jonathan_glickman_da.html– accessed 4/15/14

[7] Dene B. Stratton image http://www.hollywoodreporter.com/news/mgm-names-dene-b-stratton-237849– accessed 4/15/14

[8] Leo the Lion sound http://movies.wikia.com/wiki/Leo_the_Lion_%28MGM%29– accessed 4/15/14

[9] MGM financial information http://en.wikipedia.org/wiki/Metro-Goldwyn-Mayer#Consortium_ownership_and_financial_troubles– accessed 4/15/14

[10] Skyfall image http://insidepulse.com/2012/09/17/daniel-craig-stars-in-new-skyfall-poster/– accessed 4/15/14

[11] Fargo information http://www.imdb.com/title/tt2802850/– accessed 4/19/14