KEY POINTS:
The demise of one of New Zealand's oldest production companies has dragged under a subsidiary company specialising in special effects and animation.
Geoff Dixon, owner of Silver Screen Productions, in liquidation owing millions of dollars, said post-production company Oktobor, which worked on Lord of the Rings, would close its doors in eight weeks.
It was not known if all creditors would be paid until after the sale of assets.
Oktobor worked on post-production of the Lord of the Rings trilogy and is credited on a number of local and international ads - including the animation behind Fresh n' Fruity's "loving" pottle of yoghurt, two bulls driving a farmer's ute in a Toyota commercial, and the National Bank "green couch" campaign.
Mr Dixon would not discuss the collapse of his companies when contacted by the Herald. He engaged a public relations company to issue a statement about Oktobor.
Silver Screen Productions, which operated for 30 years producing television commercials, owes unsecured trade creditors $1.25 million, while shareholders advanced $3.23 million to the company. Mr Dixon and a trust own the company and appear to be first in line to receive any money from the liquidation.
It is not known how much Oktobor owes but the statement issued on behalf of Mr Dixon said he was "committed to completing all current work before we wind up business".
Staff would be paid in full and asset sales "should cover current creditors".
