As reported yesterday by the San Francisco Chronicle, American Musical Theatre of San Jose has filed for Chapter 7 bankruptcy. Plagued by debt over the last number of years, AMTSJ has finally had to close it's doors because another theatre company (Atlanta's Theater of the Stars) backed out of a joint production of "Tarzan".
This is a very sad day for me as a Bay Area actor. AMTSJ has been a constant producer of high quality, big budget, Broadway style theatre for many years. Although they strayed for a few years, in recent years they have consistently hired local Equity and non-Equity actors. The production values are always very high and, in my experience, it has been a wonderful place to work.
I don't understand why some of the big companies in the South Bay didn't step in to help save AMTSJ, or why the City of San Jose doesn't do something to keep them afloat.
Isn't there an organization with deep pockets that can do something to save this vital institution?
Deep pockets are hard to come by right now, especially after a previous bail-out by the city. I agree it would be a great thing, but nobody is spending money right now - not consumers, and not businesses. It's hard to justify funding a failed company when you're laying off your own workers.
ReplyDeleteI agree, Kirsten, that companies like Google can't justify to shareholders, but these companies never seem to have a problem overpaying executives, going in on multi-million dollar junkets, and all the other types of things that they do to waste money.
ReplyDeleteIt appears that the Atlanta company was very poorly managed and did not disclose its own poor fiscal health to its partners before the agreed to take an investment.
ReplyDeleteProper following of GAAP rules call for segregating these investments just so something like this doesn't happen.
Cowardly that the Atlanta people didn't send a message to the San Jose subscribers apologizing for their incompetence.
They and their board must be help financially liable for this inexcusable action