Disney expects changes at Miramax
Says it does not expect business at film branch to stay at the same level beyond next year.
December 13, 2004: 7:46 PM EST
LOS ANGELES (Reuters) - Walt Disney Co., which is locked in contentious contract talks with the chiefs of its Miramax Films unit, said Monday it expects a new direction from the art house filmmaker when the current deal with brothers Bob and Harvey Weinstein expires next year.
"The Company does not expect business at its subsidiary Miramax to continue at the same level beyond the September 30, 2005 date on which the current contractual relationship with the co-chairmen (Bob and Harvey Weinstein) will end," Disney said in its annual Securities and Exchange Commission filing.
"The Company is currently in negotiations with the Weinsteins regarding the future of our business relationship with them. At this time the Company is unable to determine whether projects currently in progress may be abandoned or otherwise impaired and whether there will be any material charges," it said.
Disney and the Weinsteins have been at odds for months as the brothers' goal of expanding movie productions and budgets has collided with Disney's cost conscious aim of returning Miramax, maker of movies like "The Aviator," to its low-budget and foreign film distribution roots.
A Miramax spokesman said there were "ongoing, amicable" discussions with Disney (Research).
But industry sources have long said the contract negotiations were difficult, and were made even more so last spring when Disney refused to allow Miramax to distribute the controversial anti-Bush documentary, "Fahrenheit 9/11."
Harvey Weinstein then bought the rights to the movie from Miramax and looked for other distributors.
Industry watchers and insiders have mulled a range of changes that could come in the relationship, with many expecting the brothers to start their own production company but Disney keeping the Miramax name, the company's library of films, and some or all of the projects under development.
I am hoping Disney keeps the vast library of films or if they do not I hope they keep the family oreinted movies.
Says it does not expect business at film branch to stay at the same level beyond next year.
December 13, 2004: 7:46 PM EST
LOS ANGELES (Reuters) - Walt Disney Co., which is locked in contentious contract talks with the chiefs of its Miramax Films unit, said Monday it expects a new direction from the art house filmmaker when the current deal with brothers Bob and Harvey Weinstein expires next year.
"The Company does not expect business at its subsidiary Miramax to continue at the same level beyond the September 30, 2005 date on which the current contractual relationship with the co-chairmen (Bob and Harvey Weinstein) will end," Disney said in its annual Securities and Exchange Commission filing.
"The Company is currently in negotiations with the Weinsteins regarding the future of our business relationship with them. At this time the Company is unable to determine whether projects currently in progress may be abandoned or otherwise impaired and whether there will be any material charges," it said.
Disney and the Weinsteins have been at odds for months as the brothers' goal of expanding movie productions and budgets has collided with Disney's cost conscious aim of returning Miramax, maker of movies like "The Aviator," to its low-budget and foreign film distribution roots.
A Miramax spokesman said there were "ongoing, amicable" discussions with Disney (Research).
But industry sources have long said the contract negotiations were difficult, and were made even more so last spring when Disney refused to allow Miramax to distribute the controversial anti-Bush documentary, "Fahrenheit 9/11."
Harvey Weinstein then bought the rights to the movie from Miramax and looked for other distributors.
Industry watchers and insiders have mulled a range of changes that could come in the relationship, with many expecting the brothers to start their own production company but Disney keeping the Miramax name, the company's library of films, and some or all of the projects under development.
I am hoping Disney keeps the vast library of films or if they do not I hope they keep the family oreinted movies.