Posted in: Comics, Current News | Tagged: bankruptcy, diamond

Comics Folk React To… The Latest Diamond Bankruptcy Madnesses

Comics folk react to... the latest in the Diamond Comics bankruptcy madnesses

The Diamond Comic Distributors bankruptcy situation hit the courts again today. And while we are waiting to find out what, if anything, happened, here's some reaction from comic book retailers, publishers, creators, collectors, readers, and Diamond employees themselves of events over recent days… You can use these Diamond and bankruptcy tags to keep up with the latest on Bleeding Cool.

Cliff Biggers writes "For those of you keeping up with the whole Diamond Comics Distributors bankruptcy: this afternoon, Alliance Entertainment (the company that won the bankruptcy auction) withdrew their bid. Presuming that Universal Distribution/Ad Populum still feel that their bid is viable, they will most likely become the new owners of Diamond Comics Distribution. I'm actually happier if it does work out like this–but I also know that nothing is certain until the payment is made the papers are filed…. Five things we're gonna miss when Diamond is gone:"

1. Previews catalog. Even if Diamond continues, I suspect there will not longer be one master print catalog for the industry. (One might argue that there hasn't been a true master print catalog since DC abandoned Diamond almost a half-decade ago…)
2. A consistent master data file. One of the reasons I remained with Diamond until the bankruptcy for every book they carried was because of this data file–it was worth the extra cost, I thought. Alas, Diamond began to break their own data file when they started using 7000 codes for some of their solicitation items that duplicated codes Lunar was using for DC and other publishers.
3. A master reorder source. I spent about three more hours per week sorting reorders so that I'm getting the right product from the right publisher.
4. Small startup indy publishers. Diamond has been the incubator for some great comics talents who got their start working for the smaller back-of-the-catalog publishers. Now a lot of those publishers will have no way of getting their books into comic shops.
5. Affordable PVC statues. Diamond Select statues were good quality for an affordable price, making it possible for customers to get Marvel, Star Wars, and other statues without taking a bank loan to afford them.

Ben Dunn: "As the chaos envelopes the direct comic industry with Diamond being in the center of it all I ponder the future direction of it all. On the surface this seems like a careless error but I am not so sure. Things like this seem to me highly suspect. What is the end game in all this? Who benefits from actions like this? There's a old saying "follow the money". Meanwhile Diamond declared "business as usual". This kind of statement with the actions being taken causes doubt and confusion. Two things that are not good for business. What is needed now is clarity and predictability and we do not have that at the present. What does this mean for AP? Well, we need our readers, fans, supporters and creators now more than ever. We cannot rely on the direct market only anymore. We must expand into other areas in order to get our product out and into the hands of our customers. We are attempting to find other distributors but it is becoming more and more obvious direct to consumer and digital are becoming the new norm. As we navigate to the new dynamic we hope that you will continue to support our endeavors and we will do everything we can to maintain your faith in us."

Jill: "Diamond was supposed to have an all-hands town hall yesterday afternoon. Chuck Parker cancelled it about an hour before it was to begin. "Thank you for your continued patience," his email concluded. [Chuck Parker is the Exec VP and COO at Diamond, and the man who announced the bankruptcy in the first place – Rich] Patience has worn thin, Chuck. This is a company full of anxious, nervous, terrified employees who are finding out through the comics media what's happening with their company and their futures and not from you and the company. The news about the filing to convert to Chapter 7 and liquidate the company broke before the workday ended yesterday. It wasn't addressed officially until an email at 11:22 last night. The clock is running on an official acknowledgement of this new Alliance lawsuit. I am not holding my breath. The first time anything official was said about the purchase after the auction was a vague email that went out when Diamond made the move to go with the backup bidders. There's a lack of leadership. There's a lack of communication. There's a lack of candor. It's appalling and it's disrespectful. Were I a cynic, I would think that all the positive and hopeful vibes we've had since January, especially from Robert Gorin, were aimed at one thing and one thing only–to keep valuable, irreplacable employees from jumping ship as Diamond sinks beneath the waves. Give them a morsel of hope, paint a rosy picture of the bankruptcy process, keep them distracted, run out the clock. Anyone at Diamond who has vacation or sick leave banked at this point should burn it. Just call out sick every day until this stupid drama ends. Prioritize your mental health. So what if the work doesn't get done? It's not our problem. This is the way Diamond ends–playing stupid games."

Dennis L Barger Jr: "Holy fuqballs some muthafuqqas are always trying to ice skate uphill. Fire the entire head office now!!!… they're doing what diamond upper management always does… snatch defeat from the jaws of victory"

Louis Bright-Raven: "According to Matthew Cheney, the trustee overseeing the Diamond Bankruptcy hearing, Diamond has not filed any Monthly Operating Reports since the case began. "Monthly Operating Reports for January, February and March (2025) are now outstanding and overdue." This alone could have been just cause for Alliance to withdraw their purchase bid, because legally, Diamond is required to release that information to them via the court prior to purchase. Cheney also has also filed to change this to a Chapter 7 ("Final Death" / Unprotected Bankruptcy), or to dismiss the bankruptcy entirely. Simply put, this is BAD, folks.
"Does that mean Alliance is back in the mix?" Possibly, dependent upon what the court wants to allow. Switching over to Chapter 7 technically resets the game board to a level of degree, and that could theoretically allow Alliance a reset of their own.
"What about the Universal / Ad Populum deal?" Allegedly still on the table, but it seems to me that Cheney has reservations about it, otherwise he would not have filed for the switch to Chapter 7. I am getting the sense that Cheney is getting fed up with Diamond's antics and wanted this finalized with Alliance weeks ago. "Is he abusing his authority as Trustee?" I don't think so. .
"Well what if they go ahead the UAP Bid?" I personally do not see a healthy path of acquisition through Universal / Ad Populum. I don't see where they have the assets or external means to expand the distribution net beyond the so called "Comics Specialty Store" market. And IMO, this is what is needed both for Diamond's financial stability as a distributor moving forward AND more importantly for the publishers they serve. The Direct Comics Retail Market has proven to be greatly diminished in scale over the past three decades and there are known to be a considerable percentage of the group who are in dire debt back to Diamond / the Publishers themselves. Alliance has those resources and retailer connections outside of the DM, and could have, given the time to properly assess things, work with the right people built a proper model to get comics back into the "mainstream", which in turn would then be used as a level of marketing to direct customers back to the specialty stores. It is foolish to try to keep things "business as usual". We need to course correct the market. But it cannot be done overnight. We can't just come in with a Death Ray and rid ourselves of the problems this industry is currently facing."

Shane Chebsey: "Oh bloody hell. What are they doing?? They had a buyer that could have saved all those jobs. This is a disaster. Especially for indy publishers who have no where else to go"

 

Ryan Beauchamp: "is it out of bounds for me to be kinda ticked that Nick Barrucci sticks with them this long after all this with little thought of retailers or customers. Half the Dynamite stuff I order arrives damaged. The rest not a problem because they left for other distros(obviously not perfect either) At least my stuff comes on time, undamaged and I get actual credits or replacements for the few damages I get"

David Harper: This Diamond bankruptcy saga is the drunkest thing that has happened in my 16 years of writing about comics and it is not close.

‪Erik C. Jones‬: "Again. As a retailer, I would love ANY sort of contact from Diamond. We got an email about the initial bankruptcy and an email about tariffs this week. EVERY thing I know about this situation is via news sites and fucking social media."

‪Jack Norris‬: "Pondered doing a legal analysis of the stated issues in this Diamond Distribution bankruptcy fiasco but not sure I've got a good mind to dive into rich people entitled trying to fail upward terrible at the moment. But its bad, y'all. This is not a good way to even bankrupt a company."

Skye Kilaen‬: "I doubt anyone following me is following the Diamond Comics bankruptcy saga and even if you are, that you will see this, but OH MY GOD WHAT THE HELL why is this such a MESS? Books I preordered as far back as July 2024 that were pubbed in October 2024 are still not at my LCS! & I don't blame Viz!"

‪Nic Anstett‬: "Every bit of news about the Diamond Comic Distributors collapse gives me so much schadenfreude. They should honestly be studied for not only knee-capping the comics industry for decades but also being an exemplar for the consequences of lazy, exploitative capitalism."

Erik Missio: "For years, but maybe not much longer, it's been a monthly pleasure to painstakingly go through the Diamond Previews catalogue and figure out what I'd like my local comics shop (all hail the Beguiling) to bring in just for lil' ol'me. And also rubberneck at the wreckage."

Johanna Taylor: "Why are things always going so weird over at diamond, we just wanna print comics."

Enjoyed this? Please share on social media!

Stay up-to-date and support the site by following Bleeding Cool on Google News today!