Chapter 230: Legendary
Michael Ovitz's statement reminded Don that this was indeed the case.
In fact, since 20 years ago, Wall Street has been involved in Hollywood, mainly through stock holdings or financing. Although it is the film industry, in the final analysis, it is still playing finance, and they are good at it.
In 2003, movie platter investment appeared for the first time, and Wall Street faced Hollywood studios for the first time.
When I came up, I ate a slap in the door.
This year, Merrill Lynch reached a partnership with Paramount to establish a private equity fund called "Melrose", planning to participate in Paramount's investment in 25 films in the next two years, with an investment share of 20%.
According to the agreement, Paramount Pictures will first take 10% of the total revenue as distribution expenses, and the rest will be distributed with private equity funds.
Everything was done according to the contract and looked flawless.
However, the Wall Street investment bank, which is deeply involved in the operation of Hollywood movies for the first time, obviously did not understand Hollywood's routine of killing foreign investors.
Through its operations in the industry, Paramount directly wiped out most of the profits from the series of films invested by the platter, which directly led to the return of Merrill Lynch.
Sue Paramount?
I'm sorry, but Hollywood has been killing investors through conventional means in the industry for more than a decade, and has accumulated enough experience to deal with it.
At least on the surface, Paramount's operation is reasonable, reasonable, and legal, and there is no deliberate false act of accounting.
With this experience, private equity funds and investment banks will find an "intermediary" as a guarantee when they make platter investments with Hollywood studios.
This intermediary must be able to communicate with Hollywood and Wall Street, especially to understand the operation mode of Hollywood, and supervise the flow and use of funds.
Therefore, Wall Street no longer cooperated directly with Hollywood, and a large number of "intermediary" companies were born, such as Relativity Media, Legendary Pictures, Dune Entertainment, Kingdom Pictures, and so on.
Michael Ovitz, as a veteran of Hollywood, can certainly see the inside story. Moreover, the agency is an intermediary service, and he is responsible for completing the "intermediary" of communication between Wall Street and Hollywood, which is also worthy of its name.
Don breathed a sigh of relief and said with a smile: "In this way, in order to make it easier for you to go to Wall Street to persuade those private equity funds and investment banks, Don Capital will invest 100 million US dollars, and we will cooperate to establish a company." ”
Michael Ovitz's eyes lit up.
Regardless of whether Donne's reputation on Wall Street is true or not, Donne's reputation in the film industry is absolutely thunderous. If you tell Wall Street investors that even Donn is excited to invest in this industry, wouldn't they be eager to invest in it?
"If you can do this, then you will get twice the result with half the effort!" Michael Ovitz paused for a moment and said very boldly, "In this way, I personally come up with another $80 million, and the AMG brokerage company will come up with $20 million, which is enough for Wall Street investors to see our sincerity!"
Since being kicked out of Disney, Michael Ovitz has been holding his breath and wants to regain his glory!
Just like Jeffrey Katzenberg, when he left Disney, he was determined to surpass Michael Eisner and prove his abilities, which is also the original intention of his DreamWorks.
Donn stood up, stepped forward and shook hands with Michael Ovitz, "Okay, then I'll wait for your good news!"
Michael Ovitz smiled: "Don't worry, compared with such a big business as Platter Investment, Disney's ban order is a kindergarten trick, a week, guaranteed to be solved!"
"I believe in you. Tang En paused for a moment, then suddenly smiled, "By the way, since it has become a new company, what is its name?"
Michael Ovitz looked at him quippedly, "It can't be called Donn Media, or Donn Money Management, right?"
Tang En laughed and groaned slightly, "Since you are dealing with Hollywood, and your main business is to invest in movies, you should still call it a film company." In my opinion...... Or call it Legendary Pictures!"
"Legendary Pictures?" Michael Ovitz hesitated slightly, then immediately nodded, "Good name, platter investment, it is indeed a precedent for Hollywood financing, we are creating a legend!"
……
With the help of Michael Ovitz, Donn's burden is a lot lighter, and he can concentrate on preparing the crew of "A Beautiful Mind" without worrying about messy things.
Jack Nicholson successfully entered the group and played the role of "William Packer" with a salary of $1.5 million.
Ed Harris, who was originally affected by Disney's ban order and opened his mouth, was directly cleared out.
Don hated this kind of person who fell into the well the most.
For many days, Donn did not respond to Disney's ban, and everything seemed to be as if he had confessed in front of Michael Eisner.
Michael Eisner was naturally proud, thinking that Don was a character. Unexpectedly, he just used a little trick to suppress him.
But Erl!
Donn's uncharacteristically admitted, naturally caused a lot of repercussions in the core of Hollywood, and the prestige that Donn had accumulated in the past six months seemed to be gradually shedding his divine aura under the strong suppression of Michael Eisner.
However, there is an undercurrent that is quietly surging, and the driving force behind it is Michael Ovitz.
It's just that people don't know it.
Donn sat on Tarzan, several of his best friends were anxious, and Mel Gibson even scolded the Jews on the phone as a bunch of bastards who were dominating Hollywood and ruining movies.
Don unceremoniously scolded back, his tone very cold, "Mel, you are racist! Do you know that if it gets out, you will never come out?"
Mel Gibson disagreed, and said angrily, "Spread it? Are you going to spread my word?"
Don said angrily: "It's not a question of whether I will spread it, your basic idea is completely wrong! Spielberg and Katzenberg are all Jews, as well as Bill McNick and Michael Ovitz, they are all my helpers, and they are also Jews! Mel, you must pay more attention in the future, this is very important to you!"
Mel Gibson said coldly, "Are you still in the mood to care about me? You're about to be knocked out by Michael Eisner's Jewish bastard right now!"
Don said angrily: "Mel, calm down! I warn you again, don't show any more racist feelings, it's about your career, your life! Don't forget, Nath is also Jewish!"
Mel Gibson's tone softened a little at the mention of Natalie Portman, "You know, I'm not targeting Natalie. ”
Don En sighed, "Mel, when people are subconscious, they always subconsciously say something, you must control yourself. If you lose your temper and say something anti-Semitic on some occasion, your days in Hollywood are really over. ”
Mel Gibson was silent for a while, and then suddenly laughed wildly, "I know in my heart, as long as you don't tell the truth, no one knows!"
Tang En said in a deep voice: "Anyway, you have to pay more attention. Also, I've heard...... Have you ever had domestic violence?"
"Who said that?"
Mel Gibson's voice tightened.
"Don't care who said it, I ask you if you have it!"
"Nope!"
Don snorted coldly, "There is no best! You should know that the revelation is not much better than the end of anti-Semitism!"
Mel Gibson scolded and said, "You kid, you are really boring, I have good intentions to give you a grievance, but I have taught me a lesson." Okay, I'm not going to tell you, long-winded!"
After saying that, he hung up the phone directly.
Don sighed helplessly, Mel Gibson's character ...... It may be that the tough guy plays too much, and his temper is too hard.
I hope he can reflect on today's dialogue and not repeat the mistakes of his previous life.
……
By mid-August, the global box office of "Spider-Man" broke through another hurdle, with a North American box office of $470 million, an overseas box office of $650 million, and the global box office successfully broke through the $1.1 billion mark, reaching $1.12 billion!
Judging from the current box office trend, it is impossible for "Spider-Man" to exceed the $580 million of "Star Wars Prequel 1" in North America.
But the data exceeding the global box office of "Star Wars Prequel 1" of 1.18 billion is definitely a certainty!
Universal Pictures has turned over all the previous box office splits.
Among them, the North American share was 249 million US dollars, the overseas share was 266 million US dollars, and the total share was 515 million US dollars.
Universal Pictures took a $112 million distribution commission, and the $60 million in publicity and various expenses paid at Universal were included in the 10% distribution cost, so Towne Pictures earned a total of $400 million!
"Spider-Man" is still in theaters, and it is expected to earn $1.2-150 million at the box office in the future, but Don Pictures doesn't get much of it.
Because of the account sharing of theaters in the United States, usually with the extension of the release time, the share to the distributor will decrease layer by layer.
For the first two weeks, it is around 55%-58%, then gradually decreases, and after 10 weeks, the split ratio becomes 45%.
Many commercial blockbusters in later generations rely on the first week or two to make crazy box office money, and then the box office income will be released in a waterfall style, and it will be released 3 months later and enter window sales, which is also partly for this reason.
When talking to Michael Ovitz, Don checked the data, and the average return rate of movies in Hollywood's big studios reached 20%, which was already a surprise.
But what about Spider-Man?
As soon as the data came out, it was shocking!
Not counting family entertainment, not counting peripheral copyrights, even before "Spider-Man" was released, Down Pictures was already in the box office market and recovered $400 million!
What is the rate of return?
The budget for "Spider-Man" is $150 million, and Down Pictures paid an additional $40 million for promotion, but there are also $42 million in tax rebates in Germany and the United Kingdom.
After all, for now, the rate of return of "Spider-Man" has reached an astonishing ...... 170%!
That's the power of Down Pictures!
Can a mere blocking order sanction Donn Pictures and crush Donn?
Dream!
Tang En is bound to write a legend that belongs to him in this era!