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From: reiher@ucla-cs.UUCP
Newsgroups: net.movies,net.tv
Subject: Ted Turner Buys MGM/UA
Message-ID: <6545@ucla-cs.ARPA>
Date: Fri, 9-Aug-85 01:26:22 EDT
Article-I.D.: ucla-cs.6545
Posted: Fri Aug  9 01:26:22 1985
Date-Received: Wed, 14-Aug-85 02:45:57 EDT
Organization: UCLA Computer Science Department
Lines: 22
Xref: linus net.movies:5622 net.tv:2924

Ted Turner (also known as the Mad Georgian) has abandoned his attempt to
buy CBS.  He's going to buy MGM/UA instead, according to the business
section of the LA Times.  Well, maybe he's going to buy MGM/UA.  The price
is approximately $1.5 billion in cash.  It actually works out to a bit over
$1 billion, because Turner will simultaneously sell UA back to current owner
Kirk Kerkorian.  Also, many people doubt that Turner will come up with the
cash.  

At any rate, the studio, the MGM library, half the profits from productions
in preparation, and a bunch of other assets go with MGM.  Very little goes
with UA, just a distribution network, a much smaller film library, and
half the upcoming releases' profits.

Kerkorian is fairly serious about unloading MGM, so if Turner doesn't come
up with the cash, someone else probably will.  The effects on the film
industry are hard for me to guess (more films made in Atlanta?), but both
Turner and Kerkorian have stated their intentions to continue making films
with their half of the company.
-- 
        			Peter Reiher
				reiher@LOCUS.UCLA.EDU
        			{...ihnp4,ucbvax,sdcrdcf}!ucla-cs!reiher