MGM has been relying on borrowing

Almost all creditors by the permission of MGM in New York, according to a pre-determined plan to apply bankruptcy reorganization. Including Credit Suisse and JP Morgan Chase, including the creditors have agreed to remove the MGM more than 4 billion U.S. dollars of debt, in exchange for 95% of the reorganized company shares, the remaining 5% owned by a less well-known American film and television production Company - "Telescope Entertainment" (Spyglass) to take over, Spyglass of the founder of Barber and Birnbaum, will act as co-CEO of the reorganized MGM.

Spyglass, founded in 1998, is "Star Trek" the latest remake, "to the Greek Theatre" and the recent film production company. Previously, one of MGM's creditors - and the famous billionaire investor Carl Icahn has proposed corporate acquisition premium in the hands of MGM claims of other creditors, the right to veto the transfer of the management program to Spyglass, but he did not get enough support, we were unable to block the program.

In addition, Icahn has also been the most influential to persuade MGM creditors, hoping that MGM and Lions Gate Entertainment competitors combined. Icahn is the largest shareholder of Lions Gate Entertainment, he managed to acquire throughout the year in the company. After the talks broke down, Icahn abandoned plans to merge.