Supply: SOPA Photos / Getty / Redbox
Redbox and Crackle’s dad or mum firm, Rooster Soup For The Soul Leisure, filed for Chapter 11 chapter after failing to pay staff and distributors for the previous 4 weeks.
Noticed on Selection, the corporate filed a petition for chapter on June 28 within the U.S. Chapter Courtroom for the District of Delaware.
Within the submitting, Rooster Soup For The Soul Leisure listed whole money owed of $970 million and consolidated property of $414 million as of March 31, 2024.
The leisure firm reported $4.9 million in money and equivalents, together with $4.6 million of restricted money.
Per Selection:
Collectors listed on CSSE’s chapter embody Common Studios House Leisure (which is owed $16.7 million) in addition to Common Metropolis Studios Productions ($16.7 million), Sony Footage House Leisure ($9.1 million), BBC Studios Americas ($9 million), Walgreens ($5 million), Lionsgate ($4.6 million), Walmart ($4.1 million), Vizio ($2.75 million), Warner Bros. House Leisure ($2 million), and Paramount Footage ($1.96 million) and Paramount House Leisure ($1.2 million).
As of the date of the chapter submitting, Rooster Soup for the Soul stated it had about 836 full-time workers and 197 part-time workers (1,033 whole). In a court docket submitting, the corporate estimated that it owes workers roughly $3.52 million in unpaid wages and in addition is obligated to pay $2.24 million in well being and welfare advantages and $594,204 towards staff’ 401(okay) plans. Rooster Soup for the Soul Leisure disclosed that it was “unable to make payroll for the two-week interval ending on June 14, 2024.”
The web site additionally studies that CEO Invoice Rouhana Jr. (who owns 79% of the voting energy represented in its excellent widespread inventory) stated in a June 11, 2024, SEC submitting that the corporate had dissolved its board of administrators.
Rouhanan would step down on June 24, chapter paperwork revealed.
Proper now, Redbox remains to be working; it will likely be fascinating to see if the corporate shutters resulting from its dad or mum firm’s monetary woes.
