Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

4-Traders Homepage  >  News

News

Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesHot NewsMost Read NewsRecomm.Business LeadersCalendar 

4Kids Entertainment Files for Bankruptcy Under Chapter 11

share with twitter share with LinkedIn share with facebook
share via e-mail
0
04/06/2011 | 08:30pm CET

4Kids Entertainment, Inc. (Pink Sheets: KIDE), the global children's entertainment and merchandise licensing company, announced today that it has filed a petition in bankruptcy for relief under Chapter 11 of the U.S. Bankruptcy Code. The bankruptcy filing in the U.S. Bankruptcy Court for the Southern District of New York also covers all of the domestic wholly-owned 4Kids subsidiaries. 4Kids Entertainment International, Ltd., the Company's subsidiary based in London England, is not part of the bankruptcy filing.

In conjunction with the Chapter 11 filing, 4Kids also filed a variety of first day motions that will allow the Company to continue to manage operations in the ordinary course.

"We want to assure our clients, business partners and licensees that during the pendency of the bankruptcy, 4Kids will continue to provide the same level of service and dedication that it has in the past," said Michael Goldstein, interim Chairman of 4Kids Entertainment, Inc. "The Company will also continue to explore its strategic alternatives, including, the possible sale of the business or reorganization as a stronger and more focused company,".

The 4Kids bankruptcy filing automatically "stays" the lawsuit filed by the licensors of the Yu-Gi-Oh! property, Asatsu-DK Inc ("ADK") and TV Tokyo Corporation, (collectively, the "Licensors") on March 24, 2011 against 4Kids, until such time as the Court may order otherwise.

"We have made every effort to reach agreement with the Licensors," said Goldstein. "When the Company did not receive a positive response from Licensors to its settlement proposal, the Board of Directors was left with little choice but to authorize the filing of a bankruptcy petition under Chapter 11 in order to best preserve the business and assets of 4Kids Entertainment. We continue to believe that the purported termination of the Yu-Gi-Oh! Agreement was wrongful and that 4Kids' assessment of the audit claims will be vindicated in court. If the Court rules in favor of the Company, 4Kids will pursue the full measure of damages for the significant injury the Licensors have caused to the business of 4Kids," concluded Goldstein.

4Kids is represented in its bankruptcy filing by its long standing outside counsel, Kaye Scholer LLP.

About 4Kids Entertainment, Inc.

With U.S. headquarters in New York City, and international offices in London, 4Kids Entertainment, Inc. (Pink Sheets: KIDE) is a global organization devoted to the creation, development, production, broadcasting, distribution, licensing and manufacturing of children's entertainment products.

Through its subsidiaries, 4Kids produces animated television series and films, distributes 4Kids' produced or licensed animated television series for the domestic and international television and home video markets, licenses merchandising rights worldwide to 4Kids' owned or represented properties, operates Websites to support 4Kids' owned or represented properties. Additionally, the Company programs and sells the national advertising time in "TheCW4Kids" five-hour Saturday morning block on The CW television network.

Additional information is available on the www.4KidsEntertainment.com corporate Website and at the www.4Kids.tv game station site.

The information contained in this press release, other than historical information, consists of forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements may involve risks and uncertainties that could cause actual results to differ materially from those described in such statements. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct. Important factors beyond the Company's control, including general economic conditions, consumer spending levels, competition from toy companies, motion picture studios and other licensing companies, the uncertainty of public response to the Company's properties and other factors could cause actual results to differ materially from the Company's expectations.

Investors:
4Kids Entertainment, Inc.
Bruce R. Foster, 646-822?4258
bfoster@4kidsent.com


© Business Wire 2011
share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news
Date Title
06:43aDJChina's Consumption Contributed Less to Economic Growth Last Year
06:38a FREUND : Consolidated Financial Results for the Third Quarter of the Fiscal Year Ending February 28, 2017(Nine Months Ended November 30, 2016)
06:37a ALTRIA : Acquires Sherman Group (Nat Sherman)
06:37a ACRODEA : Terminates Acquisition of EMICIA
06:37a CATHAY PACIFIC AIRWAYS : Enters Code-Share Partnership with Air Canada
06:37aDJChina's Economy Accelerates Slightly in Fourth Quarter -- 2nd Update
06:34a CFT : Improved activity level in Q4 & Stabilization of consolidated revenue in 2016
06:34a CONSOLIDATED ZINC : Change in Substantial Holding
06:29a FEDERAL BANK : Press Release - Q3 Results - FY 2016-17
06:29a ENGINEERS AUSTRALIA : New lab-made diamond at mining’s cutting-edge
Latest news
Advertisement
Hot News 
0.02%PETROLEO BRASILEIRO PETROBRAS : Brazil Judge in Charge of Car Wash Case Dies in Plane Crash -- Update
Most Read News
01/19 TESLA MOTORS : U.S. regulator finds no evidence of defects after Tesla death probe
01/19 TOSHIBA : Bain, Permira interested as Toshiba flags chip business stake sale - Kyodo
01/19 AMERICAN EXPRESS : AmEx profit misses estimates on higher marketing spend
01/19 PEABODY ENERGY : Bankruptcy judge denies request for Peabody equity committee
01/19 Wells Fargo to merge international business with wholesale banking
Most recommended articles
01/17DJS&P 500, Nasdaq Futures -- Technical Analysis
12:28aDJDollar Moderately Lower Before Trump Inauguration
12:18a U.S. exports fill Asia's LNG demand gap as market tightens
12:16aDJNEWS HIGHLIGHTS : Top Energy News of the Day
01/19 ORIX : agrees to buy $290 million of RBS shipping loans - sources