Hollywood Hunter

Chapter 414 Time Warner's Additional Issuance Plan

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On May 31, the second week of the summer program, the number of new films in North American theaters was reduced to two, namely "Soap Platter" produced by Paramount and "Urban Hillbilly" released by Columbia Pictures.

"Soap Platter" tells the story of a series of intrigues between a group of soap opera actors around a soap opera called "The Sun Is Going Down".

As a group play, the lineup of "Soap Platter" is luxurious.

Oscar-winning actress Sally Field leads, Best Supporting Actor Oscar Kevin Kline and Best Supporting Actress Oscar Whoopi Goldberg join, as well as Robert Downey Jr., Carrie Fisher, Elizabeth Shue , Gary Marshall and a group of big coffee and small coffee participated.

The director is Michael Hoffman, who has won a good reputation with the two literary films "Dreamland" and "Sisters".

Those who are a little familiar with the inside story of Hollywood can probably tell at a glance that this is another caa packaged movie.

Therefore, although there are no superstars who are paid tens of millions to join, the production cost of the film is still as high as 35 million US dollars.

"Urban Hillbills," starring Billy Crystal, is roughly a follow-up to the 1980s box-office "Crocodile Dundee" series, which also had a budget of $27 million.

Three days after the opening of the film, the box office of "Soap Platter" was only US$6.73 million in its first weekend of release, and the box office is expected to be around US$9 million in the first week, far below Paramount's expectations.

Although it is a follower of "Crocodile Dundee", "Urban Hillbilly" has a good reputation and box office. It made 13.03 million US dollars in the first weekend, and the box office is expected to be between 18 million and 20 million in the first week.

Of the six new films that were launched intensively last week, except for "Frozen World", which saw an increase in the number of screens to 816, which achieved a reverse decline of about 10% over the next three days, the other five films all fell by more than 30%.

Among them, Bruce Willis' new film "Ultimate Condor" produced by Samsung, a subsidiary of Columbia Pictures, fell by 47%.

Columbia originally made "Ultimate Condor" the main theme of this summer, and "Urban Hillbilly" was just a comedy that had to get stuck before next week's "Batman: The Dark Knight".

Unexpectedly, the market performance of the two films was completely opposite to the management's expectations.

The "Ultimate Condor", which cost $65 million to make, has a cumulative box office of only $11.59 million in 10 days of release, which is not as good as "Urban Hillbills" in three days.

Entering June, the opening date of the second movie "Batman: The Dark Knight" in the DC Cinematic Universe is getting closer and closer.

In addition to a more intensive publicity campaign, "Batman: The Dark Knight" also started the media and fan test screenings half a month in advance. Some media have released testimonials of the film, and the North American media who participated in the test screening basically gave a score of 8 or more.

In the new week, Warner Bros. Pictures, which is responsible for the global distribution of the film, also officially announced the global box office of the opening film "Batman: War Hour" in the DC Cinematic Universe.

Starting from the end of the previous year, after a year and a half of release, "Batman: Time for War" has been released in 51 countries and regions around the world.

In the end, "Batman: War Hour" grossed $436 million in North America and $531 million overseas.

The total worldwide box office figure reached $967 million.

Although unfortunately failed to break the $1 billion mark, it also left the 1982 "Alien et" global box office data of $790 million far behind, becoming the highest-grossing film in Hollywood history until 1991.

This time, under the joint operation of Warner Bros. and Daenerys, "Batman: The Dark Knight" will be released simultaneously in 21 countries and regions around the world.

The simultaneous opening of paintings on a large scale around the world has become very common more than a decade later. But in the early 1990s, it was still a rare initiative, so it can be seen that the two companies have strong confidence in "Batman: The Dark Knight".

You know, the budget for the sequel to the DC movie universe was set at an unprecedented $80 million from the beginning, which is comparable to the huge production cost of the film.

This also means that the North American box office of "Batman: The Dark Knight" needs to reach about 300 million US dollars, and the two companies can rely on the domestic box office to recover the cost.

Of course, everyone knows that although the box office numbers of the "Batman" series are staggering, the peripheral revenue is actually even greater.

According to public figures, in just one year in 1990, the sales of peripheral derivatives of "Batman: Hour of War" reached a huge $2 billion.

According to the profit rate of about 15% of peripheral derivatives, the sales of derivatives of 2 billion US dollars is equivalent to a pre-tax profit of about 300 million US dollars.

Because of the original contract, most of the income went to Daenerys Entertainment.

Therefore, it is not difficult to see why Daenerys Entertainment can still achieve an astonishing annual net profit of 1.13 billion US dollars after a series of big moves in 1990.

Earlier in May, a month before the opening of "Batman: The Dark Knight", the videotape of "Batman: Time for War" was officially released worldwide.

In the first week on the shelves, sales in North America alone reached 5.6 million boxes.

As the release date of "Batman: The Dark Knight" is approaching, according to the latest statistics, in less than a month, "Batman: War Hour" has sold more than 13 million cassettes worldwide.

, with sales approaching $400 million.

According to this sales trend, the total global video tape sales of "Batman: War Hour" is very promising to set a sales record of more than 30 million boxes, and the sales are expected to exceed 900 million US dollars. Even, it is not impossible to hit the $1 billion mark.

Hollywood studios have signed agreements with major guilds to share only 20 percent of video tape sales as profits.

In fact, the gross profit margin of video tapes as high as $30 a box in this era is not much lower than the proportion of box office.

"Batman: War Hour" is expected to sell more than 30 million boxes of videotapes. In addition to the distribution share due to Warner Bros., most of the proceeds will still be owned by Daenerys Entertainment, and the profit scale is conservatively estimated to be 300 million US dollars.

According to statistics, only counting the global box office, video tape sales and derivative income, the profit brought by a "Batman: War Hour" within three years of the film's release will reach the level of 1 billion US dollars, and this does not count the subsequent TV broadcasts. Revenue and subsequent long-tail receipts across channels.

The dc movie universe has achieved such amazing commercial results at the beginning, which is the confidence of the two companies daring to invest a total of 160 million US dollars in the production and announcement of the total budget for "Batman: The Dark Knight".

The premiere of "Batman: The Dark Knight" is set for Wednesday, June 5.

Tomorrow is the premiere of Batman: The Dark Knight.

Simon has been at Warner Bros. Studios in Burbank all day today.

Or being forcibly dragged by Terry Semel to Warner Bros. Studios. These days, Semel calls Simon every day to make time for him to take care of the release of "Batman: The Dark Knight" and "Lightning". The latter part of "Man" and other cooperative films of the two parties.

Just looking at the profits created by "Batman: War Hour", the importance of the DC Cinematic Universe to Time Warner does not need to be repeated.

There are other reasons why Terry Semel is such a stalker.

After the merger between Time Inc. and Warner Bros. was completed early last year, Time Warner failed to meet the industry's expectations in terms of performance and stock.

However, in order to prevent Paramount Communications from sniping the acquisition of Time Company, the two parties changed the initial share-for-stock merger into a cash-and-stock transaction, which suddenly increased the total debt amount of the two companies, which originally only had more than $2 billion in debt. to the billion dollar level.

After a year of trying to pay off, as of now, Time Warner's total liabilities still amount to $10.6 billion.

Steve Ross is the kind of person who doesn’t like selling company assets very much. So, since last year, Ross has been preparing for an equity issuance, intending to issue an additional $3 billion in stock to repay the next one or two years. Warner's maturing debt.

Time Warner shareholders are naturally not reconciled to their shareholding ratio being arbitrarily diluted, nor do they want to spend money to subscribe for additional shares, and the outside world is not very optimistic about Time Warner's prospects.

Therefore, this stock issuance is full of resistance both inside and outside Time Warner.

Coupled with the continued decline in North American stock markets in the second half of last year, things almost came to an end.

Fortunately, the United States has won the Gulf War in the Middle East, which has caused the North American stock market to rise sharply in recent months, and Time Warner's share price has also benefited. Now the market value has finally returned to more than 10 billion US dollars. Coupled with investors' optimism about Warner Bros.' upcoming "Batman: The Dark Knight" and "The Flash" at the end of the year, the issue of additional stock issuance has ushered in a turning point.

The time is roughly determined in August.

So, even though he was confident in "Batman: The Dark Knight", and the release of "The Flash" must be after the stock issuance, Terry Semel pulled Simon to Burbank as much as possible, just to give The outside world creates an impression of close cooperation between the two parties.

In order to achieve this goal, the two sides recently negotiated another cooperation project outside the DC movie universe, which is one of the other two cooperation films that Daenerys owes Warner Bros.

All day today, Simon happens to be busy with these three things in Burbank.

In the morning, I was personally accompanied by Terry Semel in the post-production center of Warner Studios for a busy morning of "The Flash", and the afternoon was two consecutive sessions.

Because of work, Simon has not been able to find time to meet Anthony Johnston, who will be here today.

These days, the Johnston family officially took over 30% of MGM shares from other MGM Australian shareholders who exchanged bonds for equity, becoming MGM's largest shareholder.

Although it has not achieved absolute control, as the largest shareholder, coupled with the support of other Australian shareholders, the control of MGM is basically in the hands of the Johnston family, or in other words, in the hands of Simon.

Anthony came here this time to discuss the next development of MGM.

Warner Studios here, two meetings in the afternoon.

From 2 to 4 o'clock, it is the release meeting of "Batman: The Dark Knight".

From 4 o'clock to 5 o'clock, it is the production meeting of the cooperative film determined by both parties.

The newly confirmed film is called "The Last of the Mohicans".

This is an adaptation of an American novel written in 1826 by James Cooper.

The content tells the story of the last three warriors of a native Indian tribe called the Mohicans during the colonial war between Britain and France for control of the Americas in the late 1750s, to rescue a pair of British colonel's daughters who were held hostage and escort the two Back to the story of the British army base.

Like The Prince's Revenge, The Last of the Mohicans is a Hollywood favorite because it's very similar to a knight rescuing a princess.

Since 1920, "The Last of the Mohicans" has been continuously adapted into movies, TV series and even cartoons, and the last time was in 1987.

This time, the reason why I chose to restart the filming of "The Last of the Mohicans" was actually influenced by the double harvest of "Dancing With Wolves" in terms of box office and awards.

The subject matter of both films is related to the colonial war in North America, and also involves the entanglement between Native Indians and white colonists.

To put it bluntly, this is a follow-up.

In Simon's memory, "The Last of the Mohicans" released in 1992 was directed by Hollywood director Michael Mann and starred Oscar winner Daniel Day-Lewis.

Although I don't remember the box office very well, Simon can be sure that this is a very popular work.

Michael Mann was the director of the later famous "Theft of Fire". He had previously collaborated with New World Entertainment on a police and bandit TV series "Ultimate Police Network". After confirming this project, Daenerys Entertainment approached Michael Mann. , the other party quickly gave a positive response, and also hopes to complete the script in person.

As for the male lead, the first thing that Warner Bros. thought of was still Mel Gibson.

No way, from the original "Mad Max" to the ongoing "Lethal Weapon" series, Mel Gibson has become almost as much as Clint Eastwood as a Warner Bros. actor.

Even in "Lethal Weapon 3", which will be released next year, Mel Gibson relies on a high pay-sharing clause to take most of the profits, because of the box office guarantee, Warners are used to using each other.

Simon actually agreed with Warner's suggestion.

In memory, Mel Gibson's "Braveheart", which also had a double harvest of box office awards, is enough to prove that the other party is fully capable of supporting such a costume action movie.

And, since it's not a sequel to a blockbuster like "Lethal Weapon 3," Mel Gibson won't be paid too much for the first original.

However, in addition to the "Lethal Weapon 3" that is being filmed, Mel Gibson has already taken over two other film appointments, and the schedule is scheduled to 1993.

Simon does not lack the patience to wait until two years later, but Warner Bros. is impossible.

In the end, the original Daniel Day Lewis was contacted according to Simon's memory, and the two sides are still negotiating.

After a busy day, Simon returned to Dumei Cape Manor in the evening, and the Shell Villa seemed very lively.

Anthony Johnston also brought his family here this time.

Because Anthony's eldest son, Brandon Johnston, who is the same age as Simon, is actually a loyal fan of the "Batman" series. Last time, he asked Simon for a Batmobile through his cousin's mouth. Since tomorrow is the premiere of Batman: The Dark Knight, Brandon naturally wants a sneak peek.

In addition, Anthony's wife Betty Johnston, two daughters, 19-year-old Sylvia Johnston and 11-year-old Chloe Johnston.

Brandon had just entered the family business, and this time it was a desertion.

Sylvia and Chloe both went to school in the UK, and it was summer vacation in the northern hemisphere, so they were able to find time to come to Los Angeles.

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