OH NO: Hollywood Braces for Budget Cuts: “The average cost of producing and marketing a studio movie has risen more than 6 per cent since 2007, according to The Motion Picture Association of America, while in the past 12 months profitable revenue streams, such as DVD sales, have sharply declined. This has left the film industry facing some difficult choices. At Universal Pictures and Walt Disney, where several costly films have flopped recently, new strategies are being drawn up and senior executives have been replaced.”
Related: Harvey Weinstein’s Cash Squeeze. “The four-year-old film company has burned through most of the roughly $1.2 billion in debt and equity financing raised for its launch in 2005, these people said. Now, these people said, the company likely has to do one of two challenging feats: either raise at least $50 million or turn its upcoming slate of films into a series of hits that build on the success of ‘Inglourious Basterds.'”
Or they could just keep defending Roman Polanski. That’s sure bottom-line salvation.