By Greg Hernandez | Los Angeles Daily News
Posted June 3, 2004
BURBANK, Calif. -- Calling himself ``an eternal optimist,'' Walt Disney Co. CEO Michael D. Eisner expressed hope Wednesday that a new distribution deal could still be struck with Pixar Animation Studios, Disney's partner on ``Finding Nemo'' and other major hits.
``I will not believe it is over until it is over,'' Eisner said during an investors conference hosted by Sanford Bernstein & Co.
Disney and Pixar had stunned the entertainment industry in January by announcing an end to their spectacularly successful partnership, which has grossed a combined $2.5 billion at the box office. The two companies are set to part company after the release of ``Cars'' and ``The Incredibles'' over the next two years.
``I have always felt from day one that it is in Pixar's best interests to continue with the Disney company,'' said Eisner. It's in their interests but we can only make half the deal.''
A deal would also clearly be in Disney's best interests since the studio has not been able to match the success of Pixar product with its in-house animated films -- including the recent ``Home on the Range,'' which underperformed at the box office.
Eisner said that no matter what happens with Pixar, Disney would continue to focus on Pixar-style 3-D computer animation rather than traditional 2-D hand-drawn. Disney has not had a 2-D blockbuster since ``Lilo & Stich'' two years ago.
``The 2-D business is coming to an end, just like black and white came to an end,'' Eisner said. Eisner stressed that negotiations had not resumed between the two companies and Pixar declined to comment on Eisner's remarks Wednesday. But there has been speculation in recent weeks of a possible warming of relations since Pixar has not engaged in serious talks with any other major studios.
Under the terms of the current deal, which expires in 2006, Pixar is responsible for the content of each film while Disney handles distribution and marketing.
Pixar has felt that terms of the distribution deal weigh too heavily in Disney's favor. The two companies split the profits from each film with Disney receiving 10 percent to 15 percent of the box office revenue as a distribution fee.
Despite Eisner's optimism, Jobs had a tone of finality when he remarked on the split in January. ``We've had a great run together -- one of the most successful in Hollywood history -- and it's a shame that Disney won't be participating in Pixar's future successes,'' he had said.
Also Wednesday, Eisner expressed no regrets over Disney's refusal to allow its Miramax Films' company to release Michael Moore's controversial film ``Fahrenheit 9/11,'' which won the highest award at the Cannes Film Festival last month.
``We just didn't think our shareholders should be involved in it,'' Eisner said. ``I still think it was the right decision and I would make it again tomorrow.''
The film, said to be critical of President George W. Bush's handling of the Sept. 11, 2001, terrorist attacks and their aftermath, was championed by Miramax chiefs Bob and Harvey Weinstein, who bought the film back from Disney and have found independent distributors for it.
Eisner also sidestepped the opening question of the day which was whether Mel Karmazin, who resigned as president of Viacom Inc. on Tuesday, had a future with Disney since Disney's corporate succession plan has been a focal point this year among shareholders and critics.
``I think we should move on,'' Eisner said after making a brief joke.
Posted June 3, 2004
BURBANK, Calif. -- Calling himself ``an eternal optimist,'' Walt Disney Co. CEO Michael D. Eisner expressed hope Wednesday that a new distribution deal could still be struck with Pixar Animation Studios, Disney's partner on ``Finding Nemo'' and other major hits.
``I will not believe it is over until it is over,'' Eisner said during an investors conference hosted by Sanford Bernstein & Co.
Disney and Pixar had stunned the entertainment industry in January by announcing an end to their spectacularly successful partnership, which has grossed a combined $2.5 billion at the box office. The two companies are set to part company after the release of ``Cars'' and ``The Incredibles'' over the next two years.
``I have always felt from day one that it is in Pixar's best interests to continue with the Disney company,'' said Eisner. It's in their interests but we can only make half the deal.''
A deal would also clearly be in Disney's best interests since the studio has not been able to match the success of Pixar product with its in-house animated films -- including the recent ``Home on the Range,'' which underperformed at the box office.
Eisner said that no matter what happens with Pixar, Disney would continue to focus on Pixar-style 3-D computer animation rather than traditional 2-D hand-drawn. Disney has not had a 2-D blockbuster since ``Lilo & Stich'' two years ago.
``The 2-D business is coming to an end, just like black and white came to an end,'' Eisner said. Eisner stressed that negotiations had not resumed between the two companies and Pixar declined to comment on Eisner's remarks Wednesday. But there has been speculation in recent weeks of a possible warming of relations since Pixar has not engaged in serious talks with any other major studios.
Under the terms of the current deal, which expires in 2006, Pixar is responsible for the content of each film while Disney handles distribution and marketing.
Pixar has felt that terms of the distribution deal weigh too heavily in Disney's favor. The two companies split the profits from each film with Disney receiving 10 percent to 15 percent of the box office revenue as a distribution fee.
Despite Eisner's optimism, Jobs had a tone of finality when he remarked on the split in January. ``We've had a great run together -- one of the most successful in Hollywood history -- and it's a shame that Disney won't be participating in Pixar's future successes,'' he had said.
Also Wednesday, Eisner expressed no regrets over Disney's refusal to allow its Miramax Films' company to release Michael Moore's controversial film ``Fahrenheit 9/11,'' which won the highest award at the Cannes Film Festival last month.
``We just didn't think our shareholders should be involved in it,'' Eisner said. ``I still think it was the right decision and I would make it again tomorrow.''
The film, said to be critical of President George W. Bush's handling of the Sept. 11, 2001, terrorist attacks and their aftermath, was championed by Miramax chiefs Bob and Harvey Weinstein, who bought the film back from Disney and have found independent distributors for it.
Eisner also sidestepped the opening question of the day which was whether Mel Karmazin, who resigned as president of Viacom Inc. on Tuesday, had a future with Disney since Disney's corporate succession plan has been a focal point this year among shareholders and critics.
``I think we should move on,'' Eisner said after making a brief joke.