It’s a fashion week miracle! Today Annie Leibovitz reached an agreement with her creditors to secure $24 million in loans, which will allow the iconic photographer to keep both her photo archive and her homes.
Annie Leibovitz is one of the most important photographers of her generation. If we are to believe the late Earnest Hemingway, there are two ways that people grow bankrupt: “Gradually and then suddenly.”
Leibovitz’ troubles began in February when she began taking out large loans from a group, Art Capital. At the time it was just a stop gap loan to cover the costs she never received from several unpaid vendors.
Her troubles mounted in July when Art Capital filed a lawsuit in state supreme court over hundreds of thousands of dollars in past-due fees.
A joint statement released by Art Capital today says:
The agreement will result in the withdrawal of the suit that Art Capital filed against Ms. Leibovitz on July 29, 2009 and extends the maturity date for the $24 million loan Art Capital provided Ms. Leibovitz, which was originally due on September 8, 2009. Ms. Leibovitz has also purchased from Art Capital its rights to act as exclusive agent in the sale of her real property and copyrights. Ms. Leibovitz will therefore retain control of those assets within the context of the loan agreement which shall prevail until satisfied.
The terms of this agreement make it possible for Leibovitz to sell part of her copyrights or a portion of her real estate in Manhattan and Rhinebeck, NY to cover the costs of repaying the loans.
Art Capital estimates her collateral holdings to be worth as much as $50 million.