I’m writing to share one of the most challenging messages of my career.
Earlier today, Diamond made the difficult but necessary decision to file for Chapter 11 bankruptcy. This step is intended to stabilize our financial foundation and protect the most vital aspects of our business.
This decision was not made lightly, and I understand that this news may be as difficult to hear as it is for me to share. The Diamond leadership team and I have worked tirelessly to avoid this outcome but the financial challenges we face have left us with no other viable option.
Chapter 11 will provide us with the opportunity to restructure and address our financial obligations. This process will likely include the sale of key assets of Diamond Comic Distributors.
We have already received a commitment from Universal Distribution to purchase Alliance Game Distributors coupled with a signed Letter of Intent to purchase Diamond UK, and we remain committed to pursuing offers for all Diamond lines of business.
I wonder if the pandemic was the sole reason for Diamond’s downfall. Wonder if they could’ve worked something out with marvel before taking the worst option possible. It gave marvel an out with Diamond breaching their contact.
During the pandemic I was home all day watching comic book youtube shows covering the industry. Steve Gesppi was on every show assuring their publishers they will be fine. Steve tagline was " our comeback with be bigger than our setback" oof
Honestly some of their failure can be attributed to self inflicted damages. Having worked with PRH, Lunar, and Diamond. Diamond is my least favorite to have to deal with and I have the most shipping issues. They should have set the standard for PRH and Lunar instead of trailing behind them. Diamond just refused to adapt and get better.
I mean, for the last few months you knew something t was up when they consistently could not get orders to ships on time, while other distributors else was up to a week ahead…same freakin books many of the time…
Diamond has said business as usual… which means same delays and shipping damages. Orders will be fulfilled, they are still committed to Free Comic Book Day.
Oh I absolutely believe a lot of their issues were self inflicted. I have never talked to an LCS owner who was happy with Diamond. You would think that so much of their business were comic books they’d do a better job with shipping and packaging. Feels like the pandemic issues were the last straw for Marvel. Had they had a better relationship things would’ve probably been different.
On the side note, those Diamond sales were awesome.
It’s funny the article mentions Collectible Grading Authority, a while ago I mentioned a rumor I had heard that Diamond was looking to go into comic grading and had purchased a large amount of supplies and grading equipment for comics.