MGM Lays Off 85 in Metromedia Film, TV Units

Some 85 employees of Metromedia International Group’s film and TV units were fired Thursday as Metro-Goldwyn-Mayer formally took control of the operations in a $573-million acquisition.

MGM said an additional 111 employees will work through a transition period, losing their jobs in nine months or less. About 25 will get new jobs at MGM.

The future of 35 other workers at Metromedia’s Samuel Goldwyn Co.--which releases specialty films--is still being evaluated, including the status of company head Samuel Goldwyn Jr., son of the legendary Hollywood mogul. Negotiations are also continuing with executives and film producers Brad Krevoy and Steve Stabler, whose Motion Picture Corp. of America is part of what MGM acquired.

Workers affected received six months of severance pay and health benefits, the company said.

MGM is buying the operation largely for its library of 2,200 films and TV shows from Orion Pictures Corp., Goldwyn Entertainment Co. and Motion Picture Corp. of America. Also included are 10 completed films and five direct-to-video features.

The assets were controlled by billionaire John Kluge. MGM was bought last year for $1.3 billion by a group led by billionaire Kirk Kerkorian.

MGM’s library, which now comprises more than 4,000 titles, is the largest collection of films made over the last 50 years. Titles include the Oscar-winning films “Dances With Wolves,” “Silence of the Lambs” and “The Best Years of Our Lives.”

Kluge built his fortune in radio and television and more recently has been a major telecommunications investor. Orion went through bankruptcy proceedings for a brief period in 1992 while its finances were reorganized.