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PhilipClark
10-16-2008, 11:17 AM
http://feeds.feedburner.com/~r/newsaramablog/~3/422779091/


In what seems like ominous news in the financial saga of Platinum Studios, its employees have agreed to be paid minimum wage “until further notice to reduce the company’s payroll obligations.”

The information comes from a form filed yesterday with the United States Securities and Exchange Commission:

The employees of Platinum Studios, Inc. (the “Company”) have agreed to accept minimum wage cash compensation until further notice to reduce the company’s payroll obligations. Each employee will also be receiving a bonus commensurate with their position in the Company, in common stock, for accepting this payroll reduction. This arrangement will be reviewed on a bi-weekly basis by the Company’s management.

Form 8-K, signed by Platinum CEO Scott Mitchell Rosenberg, is the “current report” companies must file with the SEC “to announce major events that shareholders should know about.”

On his blog, former Platinum creator/defender DJ Coffman puts the news in perspective.

“That last one is really sad to think about,” writes Coffman, creator of Hero By Night. “To think workers at Wal-Mart are making more than people inside Platinum right now? I mean … well, maybe that’s saying a lot on it’s own. At least they are being paid something, because the last I heard nobody was being paid anything at all.”

Add to that the company’s Wowio woes, and its tarnished public image, and things don’t look so … shiny … for Platinum.

ClintP
10-16-2008, 11:20 AM
Last time I took a pay cut for a job in a failing company, I got laid off a couple months later. But minimum wage? That blows.

Ryudo
10-16-2008, 11:24 AM
That's a pretty big pay cut.

And COMPANY stock? I'm sure it will soon be worth about as much as the paper it was printed on.

James Patrick
10-16-2008, 11:38 AM
that's minimum wage in LA too; i feel bad for them.

Doc Randy
10-16-2008, 11:39 AM
Kind of sad, really.

That being said, I was shocked to hear that some of the senior people like Rosenberg and Altounian were paying themselves $300k at one point.

I don't know the ins and outs of Platinum, but it sure seams like they have done everything wrong. For the life of me, I have no idea how to even begin running up the huge amount of debt they have.

James Patrick
10-16-2008, 11:44 AM
Kind of sad, really.

That being said, I was shocked to hear that some of the senior people like Rosenberg and Altounian were paying themselves $300k at one point.

DJ has been specific about how he feels they put money in the wrong places. Lavish dinners instead of booth space, etc. I only scripted DJ's book, so I can't comment too much, but the people I saw at cons were really good to me.

Doc Randy
10-16-2008, 11:55 AM
DJ has been specific about how he feels they put money in the wrong places. Lavish dinners instead of booth space, etc. I only scripted DJ's book, so I can't comment too much, but the people I saw at cons were really good to me.

They may be the sweetest people in the world, but just about everything I have read about Platinum either makes me roll my eyes or shout "WTF!"

I just don't get it. Everything about their business plan just seems so counter all of my experience.

Thommy Melanson
10-16-2008, 12:01 PM
You'd think CrossGen would have been a cautionary tale to anyone starting a comics company.

James Patrick
10-16-2008, 12:09 PM
They may be the sweetest people in the world, but just about everything I have read about Platinum either makes me roll my eyes or shout "WTF!"

i know, and i don't disagree.