I've confirmed that Disney is telling its on-the-lot producers that the film studio is out of development money right now. So no new script purchases and no filling open writing assignments openings until September at the earliest. That's because Disney will be tapped out until the funds are replenished in October because of the way its fiscal year works. Things are so bad that the film studio's line was "...except for Bruckheimer" for a while -- but apparently even mighty Jerry is going to have to use his own funds if he wants to continue developing material. It's not like this wasn't expected, but this time around it's more severe, I hear. When profits at the film studio sank a whopping 97% last quarter, because Disney's slate bombed in the midst of Hollywood's box office boom, boss Bob Iger forced the film studio to what he called "address costs at virtually every level" which meant cutting back even further the film studio's pic output, production budgets and marketing costs.
The rest of the 2009 studio development business is in piss-poor shape. "It's crazy how shitty the spec market has been this year, especially given what a debacle 2007 and 2008 were," a source tells me. MGM is fighting to survive. Universal and Warner Bros will develop a little right now. Paramount desperately wants to make money so, if anything, it wants to speed up development. But there are still those leftover DreamWorks projects there. Fox is proceeding normally for this time of year. By contrast, sources at production companies with deals on the Sony lot -- yes, there are still a few -- claim SPE is flush. (Also, its fiscal year just begun.) "They'd actually like to buy more spec scripts but just haven't found much that's gotten them excited," a tipster tells me. "There's no problem in Culver City. Sony's giving certain producers the greenlight to fill open writing assignments."
The thing about Jerry is that he loves the entertainment business and due to his past successes will be able to independently float his production company’s development slate until Disney restocks it’s funds.
Where’s Fox and the mini-majors in all of this? Fox is usually pretty cheap, and they’ve had a decent run of late. One would think they’re decently flush with funds in the right situations.
Doesn’t Pixar and the Disney Channel make Disney a ton of money? Or do you mean just no money at the film studio that bears Walt’s name?
Said it before and I’ll say it again. How can a studio such as Sony be among the big players yet be so ‘quiet’? Apart from yet another Spiderman film when was the last time they made some waves?
Their big ‘on lot’ development deal is with Original Films and yet Moritz makes all his hits for other studios.
Their big ticket slate is full of sequels that no one can get excited about (Charlie’s Angels 3?!) let alone actually go and see.
And even then most of Universal and Warners recent open writing assignments have been for remakes and licensed properties.
I’d like to think that the total debacle that is GI Joe will put studios off making films based off toys and board games…..alas, probably not.
Well, if the GI Joe movie was actually going to be based on the GI Joe doll, that might be the case. But since it’s not, I think we’re liable to see SLINKY: THE MUSICAL next year.
I apparently have no understanding of how Hollywood works because I would think that a business that tooted how well it did in 2008 is now saying that they have no money to develop new product? There’s something off there.
How can the “spec market” be anything but shitty when the studios’ obsession with remakes, sequels, and comic book properties make it next to impossible for any spec work to get even looked at, let alone put in development?
I’m afraid it’s a natural result of all that “synergy” and “consolidation” bullshit that dominates studio thinking. Movies rely on novelty to keep audiences interested and the industry going. Novelty comes from new ideas. However, when studios become big media conglomerates, new ideas scare the piss out of them, because they entail some element of risk.
So you get them doing, and redoing the already familiar. Costs go up, audiences get bored, and it affects the bottom line, and with it, the funds they need to develop the new ideas they need to keep their industry a going concern.
It’s okay—I like working a Starbucks. Maybe one of these days I can move up to head barista…that’s REALLY why I moved to LA.
No wonder Pixar is doing Toy Story 3 and Cars 2 (and allegedly Monsters, Inc. 2). Looks like Disney could really use the merchandising revenue from those movies.
Anyway, Up is a big hit, so that should please Disney.
Bruckheimer has his own development funds as dictated by his deal. So unless he’s run out of that dough, the development rules don’t apply to him. And aside from Pixar and the first Narnia film, Jerry’s the only one who’s had any recent blockbuster success at the studio. Disney needs Pirates 4 and National Treasure 3, make no mistake about it.
It’s bleak for other producers on that lot, but don’t worry about JB.
Hilariously dim witted analysis. Development money has nothing to do with how well a studio’s doing. Every studio has a different fiscal calendar. Disney’s calendar starts in October, so they are now in the last quarter of their year. That’s why they are low on development money. Paramount’s year starts in January, so they have money. Sony’s started last month, and therefore they are flush. Please, can someone do some actual reporting.
If the major studios don’t have development money and they have trouble getting financing and they want writers to write for free and they wouldn’t know a good original script if it bit them in the ass and they want to own all the rights and they don’t know how to market a film unless it’s based on something else and they blow $200 million on a single tentpole instead of keeping the economy going with twenty pup-tents and they keep two sets of books and they buy up and crush indies even though they can’t handle small films and there’s no reason theatres can’t go elsewhere for product just as audiences do and … why do we need studios again?
chelsea buns, you should start writing a blog!
“They’d actually like to buy more spec scripts but just haven’t found much that’s gotten them excited,”
————————–
My point exactly. 99.99% of it all is CRAP, period!
Good point, Chelsea Buns. It’s amazing how people can simultaneously be so quick to criticize yet so ignorant as to the actual facts and reality.
Welcome to the Internets.
DIsney runs out of money every year at this time — this is nothing new nor has anything to do with the current economic climate.
Warnerborg – Sony just released Angels and Demons which has grossed $375 million dollars to date. What planet are you on?
I think studios stopped buying specs when money got tight and they actually had to read them.
Santayana the problem is that writers in Hollywood are like those contestants trying out for American Idol. They think they can write and 99% are bad but believe that everyone else is wrong about their ‘gift’. Agents will tell you that they will read 1,000 scripts and usually find 1 or 2 that they like. Don’t blame the studios. It’s like actors who think they should act because they were voted prom King or Queen. Paul Walkers a good example, great looking guy…but an editors actor. Then you’ve got Tilda Swinton, who frankly has a face for radio, but she’s brilliant. Maybe the studios got smarter about paying a lot of money for bad writers.
Sadly, in all of this, Disney feature film exec Mac Torluccio was let go. Mac had been with Disney for over 7 years and given no notice. He was well respected and great to deal with. He will be missed.
Santayana,
Amen!
… hmmm… I thought that by passing the TV/Theatrical contract work would come flooding the city. Where are those people who wanted everybody to “GO BACK TO WORK” and that’s why actors should vote YES, which they did and now? WHERE’S THE WORK THEN? WHERE?