Walgreen’s film and television development arm is going into bankruptcy, according to reports.
The Wall Street Journal reported on Friday that Walgrew Industries will close the film and TV division and lay off 50 people, as the company restructures its business model.
The report cited people familiar with the matter, but Walgrown declined to comment.
A source close to Walgrex Industries said the company’s board of directors unanimously approved the restructuring plan and the layoffs are due to the collapse of its film and digital media business.
Walgreed said the layoffs would be part of a planned restructuring of the business that would include the end of some film production, distribution and other jobs, as well as the retirement of the company CEO, Gary Nester.
The Journal reported that the restructuring of Walgrosfilm was triggered by the collapse in sales, which the company had been expected to generate.
In October, the company posted a quarterly loss of $5.4 million.