Todd-Soundelux Files for Chapter 11

The postproduction company's recent credits include "Divergent" and "Lone Survivor," which was recently nominated for sound editing and sound mixing Oscars.

Todd-Soundelux -- the postproduction company that is home to leading sound professionals behind recent work such as Divergent, Game of Thrones and Oscar-nominated Lone Survivor -- has filed for Chapter 11 and is working on a restructuring plan while preparing for sale. It intends to remain open and fully operational during restructuring.

"This action has been necessitated by a significant decline in revenues, primarily in the feature film segment, which has impacted the independent postproduction sound business in the Los Angeles area," the company said in a statement provided to The Hollywood Reporter.

The company is home to many leading sound pros including seven-time Oscar nominee Wylie Stateman (Lone Survivor) and 20-time Oscar nominee Kevin O'Connell (Transformers).

Todd-Soundelux did, however, lose some key talent who went to startup Formosa Group during the last couple years, including Oscar winners Per Hallberg and Karen Baker Landers (Skyfall) and Soundelux founder Lon Bender, who won an Oscar for Braveheart.

Todd-Soundelux combines two longtime industry brands: Todd-AO, founded in 1953, and Soundelux, founded in 1982. After several ownership changes, today it is privately held. A year ago, the name was changed from CSS Studios.

Twitter: @CGinLA