Ross Lincoln is a Deadline contributor

Nearly six months after filing for Chapter 11 bankruptcy protection, Inferno has dissolved its Inferno Distribution and Inferno International units. The former division was the sales agent behind such films as The Kids Are All Right and Killer Elite. Inferno Films and Inferno Features, separately incorporated companies with the same management, will remain in business, and ongoing film productions have not been affected, according to Inferno. Founded in 2002, Inferno executive produced, distributed and helped fund the Brad Pitt film Killing Them Softly, which was released in November but performed poorly at the box office. Its production credits also include The Grey, The Women, and Southland Tales.

Inferno filed for bankruptcy in August to protect portions of the company after a judge ruled against it in a lawsuit with Cinezeta Internationale over the 2005 romantic comedy Just Friends. Inferno originally guaranteed a payment $7,694,100 to Cinezeta in exchange for Cinezeta becoming the film’s exclusive distributor outside North America. This agreement included $3.6 million from Canadian tax credits, an amount that was never paid. In 2011, Inferno was ordered to pay $3.4 million to Cinezeta. The company has been appealing that verdict.

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