On Thursday, October 30, 2003, U.S. Bankruptcy Judge John H. Squires approved Classic Medias purchase of Big Idea Productions for $19.3 million. In August, Classic Media made public its plans to purchase the VEGGIE TALES producer for $7.5 million as the troubled firm filed for bankruptcy. As part of U.S. bankruptcy law, assets of Big Idea had to be put up for auction to allow the companys creditors the best chance of recouping funds.
Classic Media will acquire all the companys assets, which are valued at $8 million along with more than $43 million in liabilities. However, due to a licensing and distribution dispute with Lyrick Studios Inc. some of those rights still need to be resolved. This row resulted in a court ruling that Big Idea was in breach of contract with Lyrick and owed the company $11 million.
Classic Media owns the rights to various characters including Rocky and Bullwinkle, Richie Rich and Casper. For more information on either company, visit www.bigideaproductions.com or www.classicmedia.com respectively.