Paying $10 to see a new movie is a great deal, almost too good to be true. This is probably why the principal owners are washing their hands of it.

Helios and Matheson operate MOVIEPASS which, for $10 a month, gets its subscribers into three new movies per month. The subscription service has been in the red from day one, according to WIFR.

... a single movie can put the service in the red. At one point Helios and Matheson had to take out a $5 million emergency loan to pay its payment processors after missed payments resulted in service outages.

Helios and Matheson announced their spinning off MOVIEPASS into its own company but one has to wonder how it'll make money since they're typically paying theaters full cost of tickets. Only time will tell.

[H/T wifr.com, fastcompany.com]