Internationalmedia acknowledges dire financial state
BERLIN — Grappling with losses and sinking revenue, producer-distrib Internationalmedia is strengthening its financial base with a E5 million ($6 million) credit line, a capital increase that could bring it an extra $12 million and a heightened focus on TV series and low-budget pics.
Martin Schuermann, who replaced Moritz Borman as CEO on May 1, has admitted that the company, parent of Intermedia, is in a precarious financial state, with liquidity between $2.5 million and $3.5 million.
Group is not in severe danger, Schuermann said in an interview with German daily Frankfurter Allgemeinen Zeitung on Thursday, but added that there was a “theoretical risk of insolvency.”
After risky big projects like “Alexander” and “Basic Instinct 2: Risk Addiction,” currently shooting in London, company wants to move into TV. It is developing a series with Jay Firestone based on its FBI profiler pic “Mindhunters,” and co-producing a low-budget action pic with German TV producer Action Concept.
Schuermann declined to provide a fiscal outlook for the company until its shareholders meeting in August but said annual figures could be roughly estimated based on first-quarter results: Net profit was $1.8 million on revenue of $9.6 million.
Last year, company posted sales of $225 million and a $27 million loss.