Diamond Distributors Bankruptcy | Why This is a *BIG DEAL* for CGA / AFA

[@ActionFigureGrader]

Alex Winter, the President of Hake's Auctions, reached out to me and said that Hake's is a subsidiary of Geppi Family Enterprises and is NOT a division of Diamond. It is business as usual for Hake's, and the Diamond bankruptcy has zero effects on Hake's business.

[@jebrenn72]

Great video! I always enjoy your videos where you simply discuss a subject. I'm an AFA guy so it's tough to hear. Hopefully it gets resolved quickly.

[@ActionFigureGrader]

Thanks so much for watching!

[@MattsCollection]

Interesting times. I'm not much into grading so I am unaffected. Thanks for the summary of events...very educational.

[@ActionFigureGrader]

My pleasure!

[@jasonwoods6534]

Thanks for the video and analysis John, great info ❤

[@OG_LongShot]

Sometimes the bigger you are, the harder you fall if you aren't careful. Execs taking too much salary, too much debt, etc. It can go bad fast in business. Never know.

[@ActionFigureGrader]

Thanks for watching, and well said

[@scotthildebrand3148]

😳 All this is making me nervous hearing about it 😬 Mostly because I have a lot of high premium items already sent in to them. I'm not sending anything more in until this situated. Let us know more on a follow-up video when you hear more 👌 thanks so much for the updates 👍

[@ActionFigureGrader]

Honestly, I wouldn't worry too much, but I would recommend waiting until the dust settles before sending anything else in. Just my personal opinion. AFA/CGA will be fine long-term. They are the market leader and someone will want them or Geppi will potentially just spin them off and out of Diamond if no good buyer emerges for buying CGA.

[@ciscodeer9094]

Wel that sucks, thanks AFG.

[@Barada73]

If I remember correctly, Diamond shut down the distribution of all new comics in 2020 for COVID, causing DC Comics to break with the distributor and look for someone else to ship their books out. I remember that being very controversial for DC to do at the time and I don't know if they ever went back to Diamond. However, I wonder if this bankruptcy for Diamond Distributors was set in motion by those decisions made almost 5 years ago. Anyway, I remember Marvel Comics filing for bankruptcy in 1996 and they're still around, so this isn't necessarily the end for Diamond Distributors.

[@dominicrondini5980]

Great video, maybe next time you do one of these financial videos throw on a suit and tie 😁 so with this bankruptcy is CAS about to get really busy? Also if say UKG buys AFA would they want to keep AFA in the USA? If CAS was able to buy AFA they would be the only game in town! 🤔

[@eric22361]

I could see Collectors Holdings making a bid for CGA/AFA. They already own PSA, PCGS, and most recently SGC and Wata Games. Or even Ebay. They just bought Goldin from Collectors Holdings and have been having a very profitable year. I have a figure at AFA right now... wish me luck.

[@ActionFigureGrader]

Collectors Holdings is an interesting thought.

[@gmtuttle]

Thanks for posting this informative breakdown. Do you have any insights/thoughts about potential buyers for Diamond Select Toys and Gentle Giant Studio? I believe both of those subsidiaries are up for auction. I really hope both are able to continue operations for the foreseeable future.

[@ActionFigureGrader]

Thanks for watching. I did forget to mention those two companies in the video. I don't have a good sense of who would be interested in either of those, but I imagine someone will want to make a bid if they are at all profitable.

[@gmtuttle]

@ActionFigureGrader Thanks for replying. My understanding is that the purchasing company could completely gut the two Diamond companies or leave them pretty much intact. I assume the level of change will depend on how profitable the two companies are. For the sake of the employees and the dozens of additional figures I want them to make in the future, I hope neither company is completely gutted.

[@darthwizzywizard]

If they ends of chapter 11. Everything gets seized right. 😮

[@ActionFigureGrader]

Chapter 7 ends everything, not Chapter 11. I doubt it ever gets to that, at least for CGA Grading.

[@woncarlos7494]

Thanks for actually breaking this down and explaining this thoroughly 🫡

[@ActionFigureGrader]

Glad it was helpful!