issued a court order on TV Tokyo and NAS for an automatic stay on the U.S. Yu-Gi-Oh! license and said that the trial will proceed in two phases. The first phase is whether the contractual termination was valid, and the second is how much money 4Kids would owe the companies. The first phase of the trial began on August 29, 2011. On October 27, 2011, 4Kids and the executives of former financial company Lehman Brothers reached a deal, after Lehman had improperly invested most of 4Kids funds in auction rate securities. 4Kids received $500,000 from the deal. Chapman later ruled that the Yu-Gi-Oh! license is still in effect due to TV Tokyo, NAS and ADK not terminating the agreement properly. On February 29, 2012, there was an amicable settlement of the lawsuit between 4Kids Entertainment and Asatsu-DK (ADK) and TV Tokyo over the license of the Yu-Gi-Oh! property. On May 1, 2012, Kidsco Media Ventures LLC, an affiliate of Saban Capital Group, placed a bid to acquire some of 4Kids' assets, including the US rights to the Yu-Gi-Oh! franchise and The CW4Kids block, for $10 million. On June 5, 2012, 4Kids commenced an auction between Kidsco and 4K Acquisition which was then adjourned so 4Kids, Kidsco, and 4K Acquisition could consider an alternative transaction. On June 15, 2012, 4Kids filed a notice outlining a proposed deal in which its assets would be divided between Kidsco and 4K Acquisition which was finalised on June 26, 2012. The deal saw 4K Acquisition acquire the US rights to the Yu-Gi-Oh! franchise and KidsCo acquire 4Kids' other assets including the agreements for Dragon Ball Z, Sonic X, Cubix and The CW Network's Toonzai Saturday morning programming block. On August 14, 2012, it was announced through a quarterly report that 4Kids Entertainment had discontinued operations of four operating divisions: 4Kids Ad Sales Inc., 4Kids Productions Inc., 4Kids Entertainment Music Inc., and 4Kids Entertainment Home Video, Inc. due to their continued lack of profitability. On September 13, 2012, it was revealed through a quarterly report that on August 16, 2012, the Board of Directors of 4Kids Entertainment determined to discontinue the operations of its UK subsidiary, 4Kids Entertainment International Ltd., which became effective on September 30, 2012. On December 5, 2012, 4Kids Entertainment announced that it had ended a dispute (over the so-called Pokémon agreement) with The Pokémon Company International under which TPCi will get a