News has come out, and may not be surprising, that Diamond Comics Distributors, once the only comic distributor has filed for bankruptcy. Diamond has been on a downward slide since the COVID 19 pandemic, where comic books were not shipped out to stores for sale, and has lost numerous publishers to Penguin Random-House and Lunar Distributors.
The letter below was shared with their customers
Dear Valued Customer,
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.