Chapter 603: Loan

At the Marvel Comics headquarters in Manhattan, New York, Avi Allard is talking on the phone with Arthur Macomb in Los Angeles.
Since becoming the chairman and CEO of Marvel Comics, Avi-Allard’s hairline has been receding every quarter, and since last year, it has been receding every month, with fewer and fewer hairs on his head. The forehead is almost completely bald.
Avi-Allard hung up the phone and looked at Marvel Comics' financial statements for the first quarter of 2004. He was very sure about one thing. If Marvel continues to do this, it is estimated that at most two years, he will become bald.
The financial statements are nothing, losses, as always, although the loss amount is not high, and it is less than tens of millions of dollars in a single quarter, Marvel Comics cannot afford to lose.
In the current situation of Marvel Comics, the loss of tens of millions of dollars in a single quarter was directly lost.
Avi-Allard put down the financial statements and began to consider continuing to lay off staff. The comic creation department now mainly adopts the external creative mode, which does not require so many employees, leaving only a dozen people is enough.
In terms of external creative work, with the exception of "Spider-Man" and "X-Men", which have a collateral effect due to movies, other comics with poor sales can't bear to read it. The more you create, the more you print and distribute, the more you lose. .
You can cut off most of the comics created by the external contract, but you can't sell it anyway.
Correspondingly, the issuing department does not need so many people.
There is also the copyright department. Marvel Comics has thousands of comic characters. They can't even deal with copyright mortgages and the sale of adaptation rights. Except for a few elites, what is the use of others?
Avi Allard has long reached an agreement with the board of directors, and Marvel Comics layoffs are imperative.
Marvel comics must lose weight in order to last longer. Only through the cold winter of the comics industry can they be reborn.
Avi Allard sent two emails to the personnel director in succession, asking the personnel department to determine the scope of the layoffs and promote the layoffs as soon as possible.
It is really unstoppable.
Avi Allard had many hopes, but in the end they all turned into disappointments. There were many disappointments and there was no other way to go. I wanted to hold on to a little bit of hope.
He now very much hopes that Arthur Macomb can achieve a good result.
It is best to advance the 20th Century Fox’s payment period and make up a large sum of money for the copyright transaction of the Fantastic Four.
In that case, coupled with the copyright division of the upcoming "Spider-Man 2", Marvel Comics can at least survive this year.
As for the Citibank loan due next year, we can only talk about it next year.
People are poor and have short ambitions, and the same goes for companies.
Marvel comics now consider the most basic question of survival.
The knock on the door sounded softly, interrupting his thoughts, and Avi-Allard said with some irritation: "Come in."
A female secretary in a fitted skirt pushed in and said, "Chairman, Mr. Firnst from Citibank is here and wants to see you."
This is the lender. Avi-Allard didn't want to see him and waved his hand: "Let him go to the finance department."
The female secretary reminded as gently as possible: "He said it was about the loan, and he must talk to you."
Marvel Comics has always wanted to mortgage the remaining part of the comic character copyright to Citibank to raise more funds. Avi Allard thought that this matter had progressed and said, "Let him come over."
As soon as Fienster wearing gold glasses entered the office, Avi-Allard enthusiastically shook hands and said, "How come Mr. Fienster has time to come over today?"
At the warm invitation of Avi-Allard, Fienster sat on the sofa in the office and said with a serious face: "With regard to the loan business of Citibank and Marvel Comics, there are some things that I, as the direct person in charge, must ask Mr. Allard explained."
Seeing Feinster's expression, Avi-Allard's little hope and fantasy just disappeared without a trace in an instant. A mortgage loan is simply impossible.
"Please speak." Avi-Allard's heart sank.
Fiernst said slowly: "I'm here to inform Mr. Allard that the $40 million loan provided by Citibank to Marvel Comics will be recovered within this month."
Having said that, he took out an official document from his briefcase and handed it to Avi Allard: "This is a notice. You still have two weeks to repay."
When "Spider-Man" saw a big box office sales, Citibank thought that Marvel Comics would be running from time to time, so it provided loans.
Avi-Allard took it and looked at it, and his heart continued to sink. He touched the bright forehead and said with some luck, "No, according to the loan agreement, this loan will not be available until next year. It expires in June."
Firnst said: "There are supplementary clauses in the agreement. If Marvel Comics' operations exceed the warning line set by Citibank, Citibank has the right to require Marvel Comics to repay in advance."
Avi-Allard's fluke disappeared, and his heart sank to the bottom.
Fienster solemnly said: "Mr. Allard, Marvel Comics is a listed company. According to your first quarter financial report, Marvel Comics has been losing money continuously. We seriously doubt Marvel Comics’ repayment ability. In order to guarantee Citibank We have activated Article 7 and Article 8 of the additional clauses of the loan agreement, requiring comics and comics to repay the loan two weeks after receiving the notice."
Avi-Allard quickly said: "Two weeks are too tight..."
Marvel has some other small loans, but the main debt is this 40 million.
"Sorry, Mr. Allard." Finnster didn't give Avi-Allard any bargaining opportunities at all: "I just serve the notice and don't have any right to decide."
He stood up: "The company is still going, I will leave first."
There was no need for Avi-Allard to get up to see him off, and Fienster walked out of the office quickly and left Marvel Comics directly.
This comic company cannot find investors with sufficient strength. It will not be long before it will become history.
Maybe someone will jump out to pick up the movie because of the copyright division of movies such as "X-Men" and "Spider-Man".
That would be the best, and avoid the banks from taking coercive measures, after all, that is the last option.
In the office, Avi-Allard had a gloomy face, called the female secretary, and said coldly: "Notify the directors and board members of the various departments for a meeting. I don't care where they are. I must come back tomorrow. Those who don't come hand in their resignation!"
The female secretary was terrified, and she should have done her job quickly.
Avi Allard knows very well that the Marvel comics have reached the point of life and death.
After calming down a little bit, he held the last hope and called Arthur Macomb again. Twentieth Century Fox is still talking, and there is no definite news for the time being.
In just two weeks, Marvel Comics may not be able to wait for Twentieth Century Fox to compromise.
The method Marvel Comics used to limit the 20th Century Fox took several months or even more than half a year to really produce results.
There is not so much time.
Funding, it was just a loan of 40 million US dollars, which put the once-popular comic giant into a desperate situation.
Avi Allard closes his eyes, is Marvel Comics going to take the last step? Sell ​​hard assets? Marvel also owns a peripheral toy and doll manufacturer, which should raise 20 million US dollars if it is sold.
But this is not enough, and this is the same as Marvel Comics’ headquarters in Manhattan. It is the most important fixed asset. If you sell it, you will lose the production capacity of peripheral products, which means that it will be difficult for Marvel Comics to stand up in the future.
There is also the headquarters office building.
Selling the toy factory and headquarters office building can raise 40 million US dollars. How is Marvel comics different from the end?
Avi-Allard picked up the phone, dialed, and contacted several senior Citibank executives, but there was no good news. Citibank had only one attitude-loan collection!
In Century City, Los Angeles, Jim Burrows once again sent Arthur Macomb out of the reception room and then returned to the office.
The assistant followed into the office: "BOSS, there was just a call from New York, and Citibank officially issued a notice to Marvel Comics to draw a loan!"
Jim Bross nodded and said, "Don't relax in the public relations work over there. This is related to the revenue of the two series of movies." He thought about it, and said: "Also, next time Arthur Macomb will come back. You are responsible for the reception, think of a way to delay it for a while, and then do whatever you want."
The assistant said, "I understand."
Although everything is under control, Jim Prolos said: "Remind them not to take it lightly."
What Marvel will face next is not ordinary troubles. When the time comes, it will be overwhelming. Where else can it be trouble with Twentieth Century Fox.
When Marvel is in chaos, maybe 20th Century Fox can take the opportunity to change the cooperation of "X-Men" to similar terms in "Fantastic Four".
Someone suggested that Wolverine and Magneto should be filmed independently, so that 20th Century Fox would no longer have to consider Marvel's constraints and share.
Also in Century City, not far from the newly renamed Relativity Entertainment, the office of the Pacific Investment Foundation has occupied half a floor of a building.
Ronan just walked into the Pacific Investment Foundation~EbookFREE.me~Scott Swift greeted him.
The two walked into Scott's office and Ronan asked directly, "Is it okay for the foundation to allocate about 400 million US dollars? It will not affect the investment of Shahai Entertainment's film projects?"
Scott immediately said: "There is no problem." He simply explained: "In the past few months, the Pacific Investment Fund has invested in the Philippines and Thailand. Our cooperation with companies and investment institutions in many countries has become the most A good sign, the return on investment of the foundation is attractive and very stable, attracting a large number of investors."
Ronan said, "Scott, good job."
Scott smiled and said: "In fact, the most difficult thing is to get started. Once the foundation opens up, it can give investors a stable return, and then attract latecomers is much easier." He asked: "When will the funds be used? It's so mobilized."
Ronan thought about it briefly: "This month will not exceed the next month at the fastest."
Marvel Comics has never been out of the sight of Relativity Entertainment, which is definitely the company that knows Marvel best after entering the new century.