Marvel Entertainment

Marvel filed Chapter 11 bankruptcy in December 1996 with $700 million in debt after the comic book market collapsed. Investor Ike Perlmutter provided clarity: 'We're not dying. We're hibernating. Protect Spider-Man, protect X-Men, cut everything else. We'll emerge when the market is ready.' Marvel used bankruptcy as forced hibernation - halting unprofitable publishing, cutting staff, but critically protecting core IP.

The regeneration is one of business history's most dramatic stories. From selling character rights for pennies (Spider-Man for $7 million, X-Men for $2.6 million) to building the highest-grossing film franchise ever. The 2005 bet-the-company decision to self-finance films using a $525 million credit facility collateralized by character rights was transformational. Iron Man (2008) proved second-tier characters could succeed with good storytelling. Disney acquired Marvel for $4 billion in 2009.

By 2024, the MCU had generated $30+ billion in box office revenue. Marvel's regeneration succeeded because its root system (brand equity, character IP) survived bankruptcy, it had energy reserves (70+ years of character development), and superhero films were an emerging market niche. The lesson: hibernation works when you protect the irreplaceable assets, recognize when winter will end, and emerge with strategic pivot ready.