Part 12/16:
The Inevitable Shutdown: A Studio’s Fall from Grace
By early 2008, New Line’s fortunes had turned bleak. Despite past triumphs, the studio was hemorrhaging money. In February 2008, Warner Bros. (which had absorbed New Line into its corporate structure) announced the studio’s closure as an independent entity. The subsequent layoffs were stark: 450 employees were let go, including Shea and Lynn—who had been instrumental in building the company.