Another indie bites the dust – or very nearly.
In the wake of the departure of Bob Berney, Apparition announced cutbacks and restructuring plans on Wednesday, laying off more than half the staff at the indie studio.
The year-old studio had been struggling, and struggled further since the sudden departure of company head Berney on the eve of the Cannes Film Festival.
“Over the last few weeks, circumstances have forced us to rethink the direction and operations of the company, and regrettably this has resulted in layoffs impacting our staff and changes for our colleagues,” said studio owner BIll Pohlad (pictured left).
Pohlad has hired indie veteran Tom Ortenberg (pictured below) to help restructure the company, and assist in the release of Apparition's one remaining title, Terrence Malick's "Tree of Life."
A total of 15 people in New York and Los Angeles were laid off on Wednesday, leaving a bare-bones staff of 12. A spokeswoman for the company said the New York office would likely close.
The studio lost money on two of its major releases, "Bright Star" and "The Runaways." Berney had complained that Pohlad did not provide enough financial support to buy or release films in the way he believed was necessary.
But another executive at the company said Pohlad had been supportive, and in fact was on the verge of bringing in new capital from another investor when Berney suddenly resigned.
Regardless, Apparition is clearly living the reality of most indies – which is, an extremely challenging financial model.
A spokeswoman for Pohlad said the financier would like to find a way to continue. "Bill never wavered in his commitment to the company. He continues to try to be committed to the company, but he needs to reorganize it," she said.
Here's the full press release:
LOS ANGELES, CA – June 30, 2010 – Bill Pohlad announced today the film distribution company Apparition is in the process of restructuring, beginning with the consolidation and shifting of its operations from New York to Los Angeles. In addition, Apparition significantly reduced its work force, with a number of executives and support staff from both New York and Los Angeles receiving severance packages.
Pohlad has enlisted former Lionsgate President Tom Ortenberg as a consultant to help plan the independent distribution company’s immediate future. Ortenberg is also serving as a consultant on the marketing and distribution strategy for Terrence Malick’s highly-anticipated mystical epic, The Tree of Life.
“Over the last few weeks, circumstances have forced us to rethink the direction and operations of the company, and regrettably this has resulted in layoffs impacting our staff and changes for our colleagues,” said Pohlad. “Still, we very much believe in the mission set forth with Apparition, and welcome Tom Ortenberg’s expertise and consultation in the coming weeks and months. In addition, he will be a valuable asset for us on preparing to bring The Tree of Life to audiences.”
“I very much respect Bill’s thoughtful approach to Apparition, and look forward to being helpful in its success,” said Ortenberg. “I am thrilled to work with Bill and the rest of the team on Terry Malick’s profound film The Tree of Life.
Written and directed by Academy Award nominee Terrence Malick, The Tree of Life is a mystical epic starring Academy Award nominated actor Brad Pitt and two-time Academy Award winner Sean Penn, and introduces Jessica Chastain. The film tells the story of a family who must come to terms with a devastating loss. In doing so, they discover life’s most important lessons of unselfish love and forgiveness. The film, a River Road Entertainment production, is produced by Pohlad, Sarah Green, Brad Pitt, Dede Gardner, and Grant Hill.
