Chapter 897 Negotiations blocked
"So anxious?" Fang Minghua was surprised when he heard this: "January 24th is the third day of the Lunar New Year, and the New Year is not over yet."
“In the United States, we only have one day off during the Spring Festival, so we go to work early on the third day of the new year!”
Hearing Song Tangtang's words, Fang Minghua could only sigh: "Okay."
Back at Feroli Manor, Song Tangtang came here for the first time. He looked at the surrounding scenery and said with a smile: "This manor is nice, the environment is elegant and much better than our small courtyard in Xijing."
"Then you should stay a little longer and have a good rest." Fang Minghua said.
"I want to, but I don't have as much free time as you." Song Tangtang sighed: "I hope we can reach an agreement with Warner Bros. as soon as possible. The company still has a lot of things waiting for me."
At noon, Li Li and her daughter Li Xin went home. In the afternoon, Fang Rui also came back from school for vacation, and the villa suddenly became lively.
Today is New Year's Eve. According to the custom in Xijing, the whole family hangs red lanterns in the manor, puts up Spring Festival couplets on the door, sets off fireworks in the evening and has New Year's Eve dinner, but they can't watch the Spring Festival Gala anymore.
On the first day of the Lunar New Year, the whole family drove to Chinatown to watch the dragon and lion dance performances. On the early morning of the Lunar New Year, Song Tangtang left San Francisco alone and flew to Los Angeles. She would join Wu Tianmin's team and then negotiate with Warner Brothers.
In the morning, Fang Minghua personally drove his wife to the airport.
Song Tangtang sat in the passenger seat and said:
"Yesterday Wu Tianmin called me to wish me a happy new year. He also talked about his contact with senior executives of Hollywood film companies to discuss cooperation. 20th Century Fox and MGM were very interested and suggested that I go to Los Angeles to talk to the senior executives of these companies. But”
"But what?" Fang Minghua asked.
"However, I still hope to reach an agreement with Warner Bros. After all, the two parties have a tacit understanding of cooperation, and once the negotiation breaks down, the copyright of all derivatives and peripheral products related to the movie, as well as production and sales, will also be a headache."< br>
Fang Minghua nodded after hearing this.
Indeed, the big IP of "Harry Potter" is not only the box office revenue, but more importantly, the copyright and sales of derivatives and peripheral products. The economic benefits here have exceeded the box office revenue of the movie.
According to the contract at the time, Shengshi Film and Television authorized Warner Brothers to design, produce and sell derivatives and peripheral copyrights.
In this regard, Shengshi Film and Television actually relies on Warner Bros.'s strong design capabilities and huge sales network. This is also the main reason why Warner Bros. is confident and has a suddenly tough attitude.
After Song Tangtang finished speaking, Fang Minghua replied: "We are dependent on Warner Bros., and Warner Bros. is not the same. In recent years, Warner has made a lot of money not only through the box office of Harry Potter, but also from peripheral products. There are more than us, but you are still not satisfied!”
Song Tangtang said nothing after hearing this. The box office revenue of the first four movies was as high as 4.1 billion U.S. dollars, and the net profit was about 900 million yuan, of which Warner Brothers took 500 million yuan and Shengshi Film and Television took 400 million yuan.
Of course, Warner Bros. makes more money from Harry Potter derivatives and peripherals. According to relevant data, Warner Bros. has revenue of 2.5 billion and a net profit of about 1 billion! It’s higher than the box office revenue of a movie!
Shengshi Film and Television only has copyright income, which is about 250 million US dollars, which is far lower than Warner Brothers’ income.
"To be honest, I'm not very worried about this negotiation." Fang Minghua said again.
"Huh?" Song Tangtang looked at him questioningly.
"Don't forget, the copyright of Harry Potter is in our hands! This includes the authorization of those peripheral derivatives! If we don't give them the authorization, they can no longer design and produce new peripherals and derivatives, and they won't make a dime. Arrive!”
Hearing Fang Minghua's tough tone, Song Tangtang smiled and said: "Haha, actually you are the one who is confident."
Fang Minghua laughed loudly after hearing this and said: "I hate being blackmailed the most. If we have money, why don't we all make money together? We have to look so ugly!"
"Okay, while I'm negotiating, let Wu Tianmin increase contact with MGM and 20th Century Fox, so that we can take the initiative during negotiations." Song Tangtang said. "Okay."
"When I go to Los Angeles to negotiate with Warner Bros., I will communicate with you in time, and you will also help me provide advice."
"Yes!"
After sending Song Tangtang away, Fang Minghua returned to his manor and continued to live a peaceful life.
The negotiations between Shengshi Film and Television and Warner Bros. were indeed difficult, but in the end Warner Bros. still made concessions and continued to cooperate according to their respective investment ratios of 50%.
Everyone thought that both parties could sign the contract and then start preparing for the filming team, but Warner Bros. suddenly made new demands.
After dinner, Fang Minghua learned the latest negotiation results and it was Song Tangtang who called.
"Minghua, this afternoon Warner Bros. put forward new conditions, saying that since they have made concessions on the investment ratio, they require us to extend their company's license for Harry Potter derivative products and peripheral products from five years to 20 years. Years.
Twenty years? !
According to the initial contract negotiated and signed by the two companies, Shengshi Film and Television authorized Warner Bros. to develop "Harry Potter" peripherals and derivative products. At the same time, Warner Bros. paid royalties to Shengshi Film and Television, accounting for 10% of the entire revenue.
Read the original text in Liu#9@书/吧!
The authorization period is from December 31, 1999 to December 31, 2004. At that time, both parties will negotiate whether to continue to renew the contract.
Now, Warner Bros. suddenly proposed to extend the contract extension now, and it is 20 years!
So aggressive.
Fang Minghua sneered: "I will definitely not agree."
"Yes, I think so too. According to Warner Bros., they value the profits from movie peripheral products more." Song Tangtang's tone was also calm.
"Yes, this is a super big gold mine, and now only the tip of the iceberg has been exposed." Fang Minghua laughed: "You really bully us Chinese for not understanding this."
"Yes, our domestic film industry only values box office revenue and rarely pays attention to these peripherals and derivatives. More importantly, the country does not seem to have the habit and ability to develop movie peripherals."
"So they are more confident."
"If we refuse, we will probably have to negotiate with Warner Bros., so I'll start talking to MGM or 20th Century Fox." Song Tangtang sounded a little tired on the phone.
"Don't be anxious, talk slowly, if it doesn't work, let it go for now, don't tire yourself out." Fang Minghua comforted.
"I'm fine, okay, I'm dead."
Negotiations between Shengshi Film and Television and Warner Bros. were blocked. This news was quickly revealed. Harry fans were immediately disappointed. The filming and release of the fifth part were far away!
Fang Minghua didn't care about this, but the American "Entertainment Weekly" published a piece of news that caught his attention.
Negotiations between DreamWorks and NBCUniversal Pictures - DreamWorks will sell itself to Universal Pictures are blocked.
DreamWorks?
Isn't this Spielberg's company?
(End of chapter)