★★★★★ 0/5

Melbourne Studios underperforming

Victoria's Auditor-General says Melbourne's Dockland Studios cash flows were ''not sufficient to meet rental, loan interest and principal obligations."

3
Leave a comment

Melbourne_ccsMelbourne Central City Studios are again the subject of scrutiny after Victoria’s Auditor-General, Des Pearson, says their trading cash flows last financial year were ”not sufficient to meet rental, loan interest and principal obligations”.

In a report to the Victorian Parliament yesterday he said, ”The studios are assessed as having a high financial viability risk due to their current-year loses, while June 30, 2010, operating cash flow forecasts are also uncertain.

”An assessment of key indicators of financial health and business forecasts for the studios indicates high financial viability risk.

”The future plans and forecasts for the studios are sensitive to the global economy and therefore uncertain.”

But a Brumby Government spokesperson attributed losses to the global financial crisis.

The State Government recently announced it will invest $770,000 into an analysis in relation to local film and television studio facilities, including the viability of building new sound stages and/or production offices at Melbourne Central City Studios.

As well as feature films, MCCS has been home to TV productions including The Pacific, Nightmares and Dreamscapes, Satisfaction and Project Runway.

Source: The Age

3 Responses

  1. So their spending money to work out if they should expand a studio that is all-but empty?

    Is it not in their interest to lease it at cost just to have it functioning? Surely they could chuck some cheap rates at some local independent producers.

  3. I thought the reason was there are barely any movies being made in Australia at all, due to the Federal Government messing around with the tax incentives, and the local film industry being at its most pathetic state of producing unwatchable pretentious nonsense.

Leave a Reply