Posts Tagged ‘Miramax’

The agreement between Disney and Ron Tutor and Colony Capital (now dubbed Filmyard Holdings) to sell Miramax and its library has been made official. The latter will purchase the studio for $660 million, including the rights to its books, developing projects, and other assets. The deal is expected to close sometime between Sept. 10 and the end of the year.

“Although we are very proud of Miramax’s many accomplishments, our current strategy for Walt Disney Studios is to focus on the development of great motion pictures under the Disney, Pixar and Marvel brands,” said Robert Iger, Disney president and CEO. “We are delighted that we have found a home for the Miramax brand and Miramax’s very highly regarded motion picture library.”

Disney agreed to distribute Miramax films that have already been completed under its ownership.

Complications still persist, however, as The Weinstein Co. still owns the rights to a handful of coveted films that reside under the Miramax label. Filmyard Holdings would need Weinstein’s approval before any sequels or remakes of these films could be made.

Source: Variety

Quick Opinion: It’s still not a given that Filmyard will be able to pay the entire asking price for Miramax, but even if it did there hasn’t been much consideration for how well the company is going to be able to finance films in the near future. The Weinsteins had a strained relationship with Disney largely due to financing restrictions. It will be interesting to see how strongly Filmyard will be pinching their pennies, though at least they don’t have to worry about funding any smaller branches of Miramax, as The Weinstein Co. took Dimension Films with them in their 2005 exit agreement. The selling of Miramax might be in the books, but its future is still very much uncertain.

Metro Goldwyn-Mayer is drowning in debt, but its survival behooves its investors

In order to play catch-up with the latest news that has happened over the past few days, here are some of the more notable headlines aside from Despicable Me‘s opening weekend box-office numbers (which reportedly exceeded $60 million).

Metro Goldwyn-Mayer Requests 6th Debt Extention

The longstanding Hollywood studios is reportedly almost $4 billion in debt. More than 100 lenders who will assume control of the company soon (due to this debt) are in the process of phasing in new management, but in the meantime the company still owes the lenders a $250 million payment with a $200 million interest tag, which must be paid by July 15th. However, MGM will have more time to come up with these funds if the lenders grant the company a sixth extension, which they have until July 13th to do.

Disney to Finally Sell Miramax?

Disney has made an agreement (but not an official deal) with a group headed by construction executive Ronald Tutor and joined by Colony Capital that will sell the latter Miramax studios, along with its 611 film library, for $650 million. Only $300 million is available in equity to Disney at the moment with more to be raised in the near future, and so a $200 million debt is to be expected for Tudor and Colony Capitol if the deal goes through. Disney appears to have confidence that the buyers will be able to raise the money.

The Weinstein Co. still claims to have interest in buying Miramax, but their 2005 exit agreement happened because they felt Disney’s asking price of $650 million was too high. If the Tudor/Capitol talks fall through, Weinstein will reportedly consider making another bid. If the current deal does become official, it will raise questions about the rights to certain films that Weinstein still owns due to their exit agreement. Miramax will not be able to make sequels or remakes for any films Weinstein owns without their approval.

Academy Changes Rules for Animated Films

The Academy of Motion Picture Arts and Sciences’ board of governors has released new rules about which animated films can be nominated for the Best Animated Feature category. The original cutoff for animated shorts was a 40 minute maximum, and animated features had to be at least 70 minutes. The gap has been corrected to include animated films over 40 mins in the feature-length category.

Also, the board has decreed that motion-capture animation does not qualify as true animation, which is the traditional “frame-by-frame technique”. So, mo-cap animated films will not be eligible for Best Animated Short or Feature Oscar categories. The new rule regarding animated films is as follows: “An animated feature film is defined as a motion picture with a running time of greater than 40 minutes, in which movement and characters’ performances are created using a frame-by-frame technique. Motion capture by itself is not an animation technique. In addition, a significant number of the major characters must be animated, and animation must figure in no less than 75% of the picture’s running time.”

Miramax has long been considered a haven for independent financing and distribution, but with it being limited to only a few films per year who will pick up the slack?

Every few months or so, I get into this strange mood where I think the film industry has become all hype and no substance and I feel nostalgic for the movies I used to love.  Typically during these periods, every film I see only seems to confirm that sense and I grow increasingly disappointed until something finally snaps me out of it.

This time last year, I found myself in the midst of one of my film industry doldrums and I walked into Greg Mottola’s coming-of-age film Adventureland expecting yet another gross-out teen comedy like his previous film Superbad.  However, what I encountered was a film that restored my faith in the medium.

I remember the moment exactly.  Kristen Stewart’s character Em and Jesse Eisenberg’s character James are simply driving in a car as the Velvet Underground’s “Pale Blue Eyes” plays on the radio.  They have just left a bar after Em’s secret lover and his wife walk in and the couples share an awkward and loaded exchange.  Em is clearly thrown by the encounter and the scene that follows basically shows her reaction to it.  As she drives, Em’s face goes from sad to angry to disappointed to confused in a matter of seconds, displaying all of the complicated emotions she feels.  And it was during that scene that I remembered how much I love film and how powerful film could be.  It wasn’t just Stewart’s incredible performance or the music choice or the way Mottola filmed it, it was the combination of all those things.  It was the realization that I was seeing a truly extraordinary moment of creation happening on the screen and I had suddenly regained that passion for movies I had experienced as a child.

I’ve recently felt myself moving toward another bout of movie despondency so I popped in my Adventureland DVD and prepared to have my faith restored.  On a whim, I watched the previews before the film and one of them happened to be a roundup of Miramax films, the same company that distributed Adventureland.

As the preview rolled, I realized how many Miramax films I’ve enjoyed throughout the years.  I mean, this is the production/distribution company that first sparked my love for movies all the way back in 1996 with the release of Anthony Minghella’s The English Patient.  I may not have fully understood all the film’s themes at eight years old, but I certainly appreciated the beauty.  The passionate yet tragic love story of the central characters and the gorgeous cinematography are the reasons the film remains one of my favorites even today.  Miramax was the company that sparked my love of musicals too.  Sitting in a half-empty theater in the middle of the day watching Chicago was a positively transformative experience.  The sex appeal and the combination of stage performance and cinema that only film could supply was positively incredible.  Miramax was even the company that taught me about post-modernist referencing: I delighted in the way Wes Craven’s Scream deconstructed the horror genre and was positively astounded by the endless layers of pop culture reference Quentin Tarantino used in the Kill Bill films.  So I began to wonder, what happened to Miramax?

Miramax began some thirty years ago in New York as an independent production and distribution company founded by Bob and Harvey Weinstein.  The goal of the company—named for the Weinsteins’ parents Miriam and Max—was to produce and distribute independent films which were often more notable for their artistic value than their potential box office earnings.  Between their opening in 1979 and 1993, Miramax distributed such films as Sex, Lies and Videotape and Reservoir Dogs.  However, it really began to flourish after the Walt Disney Company bought it in 1993.  After the sale, with more financial backing at their disposal, the Weinsteins were able to run the company fairly independently of the rest of the Disney family.

The Weinsteins had always been fairly aggressive in their business practices, from acquiring films to acquiring promising filmmaking talent, and that same style carried over in their Disney period.  Nowhere was this aggressive business style more apparent than the company’s Oscar campaigns.  Perhaps the best example of a successful Miramax campaign came in 1998 when Shakespeare in Love beat Saving Private Ryan for a Best Picture Oscar.  According to a New York Magazine article from 1995, Miramax spent an estimated $5 million campaigning for the film and its arguable whether it would have been so fortunate without such significant backing.  Miramax carried on in this manner with one successful Oscar-winning film after another.  And then 2005 rolled around.

The Weinsteins had a tenuous relationship with former Disney CEO Michael Eisner over issues like financing and creative matters and when it came time to renew the brothers’ contracts in 2005, the negotiations went so poorly they ultimately decided to leave to create The Weinstein Company.  Miramax continued relatively unchanged under the direction of Daniel Battsek until this past January when Disney closed the its New York and Los Angeles offices and made it a part of the larger Disney infrastructure, thereby reducing the production output to only a handful of films per year.  Though companies like Summit Entertainment and even The Weinstein Company have showed interest in purchasing Miramax from Disney, it’s likely the $700 million asking price, as reported by The Deal Magazine, will mean the company will stay in Disney’s possession for years to come.  However, the real question in all this madness is what company can audiences expect to take up the creative slack?

Miramax’s most obvious heir is The Weinstein Company.  In it’s few short years, it has already made some impressive films like quite a few of this year’s Oscar nominees including Inglourious Basterds, Nine and A Single Man.  And it has quite a few promising films in the pipeline including two Sundance Favorites, The Company Men starring Ben Affleck and Chris Cooper and Blue Valentine starring Ryan Gosling and Michelle Williams.  However, another independent company that might give the Weinsteins a run for their money is Summit Entertainment.  Former Paramount Vice Chairman Robert G. Friedman and Patrick Wachsberger established Summit in April 2007, but it’s already shown some promise.  It produced and distributed this year’s Best Picture winner The Hurt Locker and with the cash cow that is The Twilight Saga as one of its properties, Summit shows no signs of disappearing anytime soon.

Regardless of what the future may hold, I’m sure there will always be films to help remind me why I fell in love with the medium in the firs place.  And if not, I can always pick something from the Miramax library for a little reminder.

Oscar winner Anthony Hopkins

Thor, set to begin production in January, will now star Anthony Hopkins as Oden, father on Thor and Loki. The rest of the cast includes Chris Hemsworth (as Thor), Tom Hiddleston (as Loki), and Natalie Portman as Jane Foster, Thor’s romantic interest.

Thor is set to release May 20th, 2010.

Source: Variety

In Other News…

Disney continues to trim down Miramax studios. Miramax president Daniel Battsek has been asked to step down as head of Disney’s specialty film division. Disney plans to cut 50 more jobs at Miramax by January, leaving only around 20.

The figurative trimming of the fat is a continuation of Disney’s plans to cut costs, which it said it planned to do months ago. Miramax, which usually releases 6 to 8 films per year, will now only release 3 annually.

Under Battsek’s guidance over the last 18 years, Miramax has released such acclaimed films as The Queen, Gone Baby Gone, Gangs of New York, The Aviator, The Diving Bell and the Butterfly, No Country for Old Men, and Doubt. Miramax’s last film this year will be Everything’s Fine starring Robert De Niro, set to release December 4th.

Source: Hollywood Reporter

Miramax pre-reorganization

Miramax films will restructure their operations, by the authority of parent company Disney, consolidating various business and development branches in order to raise company efficiency. This will reportedly result in fewer movies being produced year to year. It was not said how many films the company will now release annually (they released 8 films per year the last 2 years).

Disney itself will also now handle certain marketing, distribution, and administrative functions to help with the process.

“Disney has a first-rate marketing and distribution team operating globally,” said Walt Disney Studios president Alan Bergman in a statement. “This restructuring maximizes operating efficiencies and provides significant cost savings while allowing Miramax to focus on its greatest strength; the creation of high-quality entertainment.” -Variety

Source: Variety