Sony's Heartaches In Hollywood

Give 'em this much: The folks at Sony Pictures still know how to throw a party. On Nov. 16, the Japanese company's film executives gathered for the gala opening of their lavish Lincoln Square theater in New York City. Magic Johnson, Christie Brinkley, and other stars maneuvered past trays of caviar as they toured Sony's $40 million monument to the movies. A few hours later, Sony Corp. disclosed it was writing off $2.7 billion from its 1989 acquisition of Columbia Pictures.

With a bevy of new players heading for the coast, Sony's debacle is a case study in how not to break into show business. Here, from the School of Hollywood knocks, are the