Rainmaker studios posts $3m loss, appoints new CEO
Vancouver animation studio Rainmaker Entertainment Inc. (TSX:RNK) has appointed a new CEO, following a $3 million loss.
In its third-quarter financials, the digital animation studio reported a $1.1 million loss for the most recent quarter and a nine-month loss of $3 million for the period ending September 30.
Last year, the company posted earnings of $426,972 for the third quarter and $1.2 million for the nine months ending September 30, 2011.
“It was a challenging quarter for Rainmaker,” Rainmaker board chairman Tim McElvaine said.
“The proposed sale of the animation studio to Xing Xing Digital Corporation was not completed in September as expected. The Rainmaker board of directors and management are now focused on expanding its existing operations.”
In August, Rainmaker Entertainment announced shareholders had approved the sale of the company to Rainmaker Studios Inc., a wholly owned subsidiary of China-based Xing Xing Digital Corp.
The company has announced the appointment of a new CEO as part of an upper management shuffle.
Craig Graham has been appointed CEO and executive chairman, effective today. Michael Hefferon has been appointed president and executive producer, and Shawn Turkington has been appointed CFO.
“Despite the challenges and uncertainty, it was also an exciting quarter for Rainmaker as we approach the completion of production on the 3D animated family comedy feature film Escape from Planet Earth,” McElvaine said. “The film is planned to be distributed by The Weinstein Company in February 2013.”
The film will be the studio’s first feature-length animated film. The studio has produced a number of short animated films.