Friday, 13 March 2015

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Dreamworks Eyeing Up Options For Distribution Deals

Dreamworks are getting itchy feet as their distribution deal with Disney expires next year and apparently the Spielberg headed company is looking else where including Paramount and Universal.

THR tell us:

DreamWorks originally handled its own distribution when it was founded as a full-fledged studio in 1994. Then, after it was bought by Viacom for $1.6 billion in 2006 and downsized into a production company, it distributed its films through Paramount. That arrangement proved short-lived, though, and in 2009, DreamWorks struck a new distribution deal with Disney covering as many as 30 films. A lot has changed since then, however.

At the time, Disney needed the product DreamWorks promised to provide, but following its acquisition of Marvel in late 2009 and Lucasfilm in 2012, Disney now has no trouble filling its release slate with high-profile titles. And DreamWorks, having quickly burned through much of its initial backing from India's Reliance Group, had to scale back its output. To date, it's released just 11 films through Disney, with four more on the way.

Disney takes 10 percent of all revenues for handling the release of DreamWorks pictures, but it agreed to give up some foreign territories when DreamWorks struck a 2012 deal with sales agency Mr. Smith Entertainment to handle foreign presales in Europe, Africa and the Middle East as a way of bolstering DreamWorks' production funds.

A couple of sources have come forward.  One has said that Steven Spielberg would prefer a deal with Universal who still works from an office on the Universal lot and has had a huge success with the company previously.  But another source also claims not to rule out Dreamworks staying with Disney.

Dreamworks and Disney have both and unsurprisingly declined to comment.

Read more at THR

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