Munger, Tolles & Olson represented the historic Pasadena Playhouse State Theater of California Inc. in its Chapter 11 reorganization. The bankruptcy enabled the 85-year-old theater to successfully restructure millions in debts, raise new capital to fund the reorganized theater and implement operational and governance improvements that have returned the theater to a secure financial footing.
Through the efforts of the theater’s leaders and staff, as well as careful pre-bankruptcy planning, the Pasadena Playhouse emerged from bankruptcy in just over two months. The cornerstone of the restructuring was the generous, ongoing support of the community and the loyalty of the subscriber base, whose subscriptions the theater was able to honor in the reorganization.
“We are deeply grateful for the collective support that has allowed the playhouse to expeditiously move through this difficult but rewarding process,” Executive Director Stephen Eich wrote in a statement following the confirmation of the reorganization plan in July 2010.
By 2011, the playhouse returned to a full season of productions.