Lionsgate Entertainment

Posted on November 16, 2013 by Andrea Reindl

: Photo courtesy of: [1] www.hollywoodreporter.com

Company Headquarters: 2700 Colorado Ave., Ste. 200
Santa Monica, CA 90404

Brief History:

: Photo courtesy of: [3] theatlatlanticwire.com

Lions Gate Entertainment Corporation was formed on July 3, 1997 in Vancouver, British Columbia by Frank Giustra, a former investment banker. After its initial formation, it began a series of acquisitions of minor film studios in order to establish itself in the film industry. On January 13, 2012, Lionsgate announced that it had purchased Summit Entertainment, the producers and distributors of The Twilight Saga for $412.5 million [4]. This merger had been planned for 4 years. As of now, LGE is responsible for the distribution of the major franchises of The Hunger Games, Twilight, and more recently, Ender’s Game.

: Photo courtesy of: [5] www.thehungergamesexplorer.com/us/

Key Executives:

: Photo courtesy of: [2] lionsgate.com

Jon Feltheimer: Feltheimer has been the Chief Executive Officer of Lionsgate since March 2000. Before he joined Lionsgate, Feltheimer spent nine years at Sony Pictures Entertainment as head of the Columbia TriStar Television Group as well as heading Sony Entertainment Television.

: Photo Courtesy of [2] lionsgate.com

Michael Burns: Burns has been on the Lionsgate Board of Directors since 1999. In March of 2000, Burns became Vice Chairman of Lionsgate. Before joining the Lionsgate team, Burns had a background in investment banking.

Photo courtesy of [2] lionsgate.com

Steve Beeks: Beeks responsibilities include corporate and administrative matters. Under Beek’s strategic direction, 2012 has been the film division’s best year ever, earning over $1.2 billion domestically and over $2.5 billion internationally [26]

Quick Financials:

During its Second Quarter, Lionsgate reported a net income of $25.4 million. Revenue of the second quarter declined by 29% in comparison to the prior year’s corresponding quarter, most likely because of the timing of The Hunger Games home entertainment release [6].

Recent Past:

In the past six months, Lionsgate has become a favorite of Wall Street investors due to sleeper-hit films like Now You See Me and Instructions Not Included [7].

: Photo courtesy of: [8] magazine.topman.com

Now You See Me, a film directed by Louis Leterrier and starring Jesse Eisenberg, Morgan Freeman, and Isla Fisher centers around a group of magicians who use illusions and slights of hand to pull off a bank robbery. The film was a surprise hit, earning $117,723,989 at the domestic box office and $234,000,000 internationally totaling to a $351,723,989 worldwide gross with a $75 million budget [8]. Critics’ reviews were mixed. Recently, a sequel for Now You See Me was confirmed [9].

: Photo courtesy of: [10] imdb.com

Instructions Not Included is a film co-written, directed by, and starring Eugenio Derbez that shattered box office records by being the highest-grossing Spanish-language film released in the U.S. of all time [11]. As of now, it has domestically grossed $44,239,362, with a worldwide gross of $85,317,913. Considering its estimated budget is $5 million, the profit for Lions Gate with this release has well-exceeded its expectations [12]. The success of Instructions Not Included has been attributed to Derbez’s star power in Mexico; he stars in a telenova as well as a variety show [13].

: Photo Courtesy of: [14] atomicsam.com

Ender’s Game, a sci-fi fantasy film based off of the popular young-adult novel by Orson Scott Card, however, failed to become the big box office draw that Lions Gate and its subsidiary, Summit Entertainment, had hoped. The film centered on a young protagonist named Ender Wiggin who is recruited by the military to attend a military academy in outer space to be trained to defend against a genocidal alien race that previously almost annihilated the human race. Controversy surrounded this movie due to the beliefs of the author of the novel, who is vocally against gay rights as well as a member of the Church of Latter-Day Saints [15]. The film grossed $53,593,921 domestically and $9,137,000 internationally, and grossed a total of $62,730,921. Its budget was $110 million [16].

: Photo courtesy of: [25] thehollywoodreporter.com

In other news not directly related to their film releases, James Keegan, who was Lions Gate’s Chief Financial Officer, retired on October 1st. Keegan was with the company for 25 years. However, Keegan will remain a consultant until January 3, 2014 to assist in the transition. Keegan was succeeded by James W. Barge, Viacom’s previous Chief Financial Officer since 2010 [17].

Next for Lions Gate:

Lionsgate has multiple projects in the works at the moment, with most of their content skewing to the younger-demographic that they seem to draw in so well.

Photo Courtesy of: [27] latino-review.com

The most-anticipated event on the near horizon is the release of T he Hunger Games: Catching Fire, sequel to the 2012 film The Hunger Games. Set to release on November 22, 2013, it is already conservatively estimated that the movie will earn between $140 and $150 million at the box office [18]. If this were to happen, it would break records, becoming the highest-grossing November release (the previous title-holder being The Twilight Saga: New Moon, with $142 million [19]).

On a conference call on November 8th regarding the studio’s quarterly earnings, Lionsgate CEO Jon Feltheimer stated that the studio was exploring the possibility of getting into the theme park business. The hypothetical theme park would be based around the blockbuster “Hunger Games” franchise. The studio has already been approached about the possibility of a theme park in two territories. No further details were given [20].

Photo courtesy of: [29] buzzsugar.com

Another highly anticipated film that Lions Gate is involved in that is also based off a successful young adult book series is Divergent, a sci-fi film directed by Neil Burger and starring Shailene Woodley. Divergent is set in a futuristic, dystopic America where people are divided into five factions based on their personalities. The story follows Beatrice “Tris” Prior whose personality does not fit into any of the five categories. The film also stars Kate Winslet and Zoe Kravitz. As of now, the release date is March 21, 2014 [21].

: Photo courtesy of: [22] www.hypable.com

In addition to the release of the Hunger Games: Catching Fire, Lionsgate is also looking forward to the release of Hercules: The Legend Begins under its Summit label, directed by Renny Harlin, and starring Kellan Lutz. This movie will trace the origins of Hercules from when he is “betrayed by his king, sold into slavery and fighting for his freedom to return to his true love” [23]. Lions Gate moved the premiere date of Hercules: The Legend Begins up to January 10 so it will not have to directly compete with Paramount’s Hercules, starring Dwayne “The Rock” Johnson [24].

Photo Courtesy of: [28] moviepilot.de

Sources:

[1] “Lionsgate Pacts with Codeblack CEO Jeff Clanagan”. Hollywood Reporter.
RT: 11/17/13

[2] Lionsgate Governance RT: 11/17/13

[3] “Lionsgate Near a Deal to Buy Summit, Studio Behind ‘Twilight’ Movies, for $700 Million”. The Wire. RT: 11/18/13

[4] “It’s Official: Lionsgate Has Acquired Summit Entertainment for $412.5 Million”. comingsoon.net. RT: 11/18/13

[5] The Hunger Games Explorer RT: 11/18/13

[6] Lionsgate Second Quarter Fiscal Report 2014 RT: 11/17/13

[7] “Lionsgate Stock Jumps on Success From Sleeper Hits”. Variety. RT: 11/18/13

[8] “The Hunger Games (2012)”. Box Office Mojo. RT: 11/18/13

[9] “Now You See Me Gets a Sequel”. Den of Geek! RT: 11/18/13

[10] “Instructions Not Included (2013)”. IMDB. RT: 11/18/13

[11] Lionsgate Second Quarter Fiscal Report 2014. RT: 11/18/13

[12] “Instructions Not Included (2013)”. Box Office Mojo. RT: 11/18/13

[13] “Hollywood Gets ‘Instructions’ From Latino Audiences”. Variety. RT: 11/18/13

[14] “Over Thinking: Is it OK To See Ender’s Game?”. atomicsam.com. RT: 11/19/13

[15] “Orson Scott Card’s anti-gay views haunt ‘Ender’s Game’ Premiere”. LA Times. RT: 11/19/13

[16] “Ender’s Game (2013)”. Box Office Mojo. RT: 11/18/13

[17] “Longtime Lionsgate CFO James Keegan to Retire”. The Hollywood Reporter. RT: 11/18/13

[18] “‘Hunger Games: Catching Fire’ on Track for Mega $150 Million-Plus Debut”. Variety. RT: 11/18/13

[19] “‘Hunger Games: Catching Fire’ on Track for Mega $150 Million-Plus Debut”. Variety. RT: 11/18/13

[20] “‘Hunger Games’ Theme Parks Could Be Coming”. Variety. RT: 11/18/13

[21] “‘Divergent’ Movie First Look!”. hypable.com. RT: 11/18/13

[22] “‘Divergent’ Movie First Look!”. hypable.com. RT: 11/18/13

[23] “‘Hercules’ Battle Starting Jan. 10 as Lionsgate Moves Epic Forward”. Variety. RT: 11/18/13

[24] “Hercules’ Battle Starting Jan. 10 as Lionsgate Moves Epic Forward”. Variety. RT: 11/18/13

[25] “Longtime Lionsgate CFO James Keegan to Retire”. The Hollywood Reporter. RT: 11/18/13

[26] Steve Beeks Profile. RT: 11/19/13

[27] “‘The Hunger Game: Catching Fire’ UK Poster”. latino-review.com. RT: 11/19/13

[28] “Erster Trailer für Hercules – The Legend Begins – Bild 2 von 2”. www.moviepilot.de. RT: 11/19/13

[29] “Watch All Our Interviews With the Divergent Cast”. buzzsugar.com. RT: 11/19/13

By Andrea Reindl

Universal Pictures

Posted on October 28, 2013 by Lukas Lamble

By Luke Lamble

Universal Pictures logo

History

Founded in 1912, Universal Pictures, Inc. is the oldest American movie studio and continues to be a leader in the world of motion picture production and distribution. [1] In 2004, General Electric bought Universal Pictures. [2] GE sold all of its control of Universal in 2011 to the cable provider, Comcast, creating NBCUniversal. Universal Pictures still operates as the movie production subsidiary. [3] In 2012 alone, Universal has produced a diverse selection of award-winning movies such as the film production of Les Misérables and the comedy hit, Ted. [4]

Key Executives [5]

Ron Meyer (nbcumv.com)

Ron Meyer – Vice Chairman, NBCUniversal

Meyer served as President and COO of Universal Pictures since 1995 before being made Vice Chairman of NBCUniversal in September 2013. He currently oversees all facets of the company, while still managing its portfolio of film assets amongst others

Donna Langley (nbcumv.com)

Donna Langley – Chairman, Universal Pictures

Langley began working at Universal in 2001 as the senior vice president of production. After being named Chairman of Universal Pictures in September 2013, she assumed the role of overseeing the production and distribution of the company’s feature films.

Suzanne Cole (nbcumv.com)

Suzanne Cole – Executive VP, Media, Universal Pictures

Since the beginning of her tenure at Universal Pictures, the studio has experienced some of its most lucrative successes. Because of this success, Cole was named Executive Vice President of Media in 2008. She now oversees all strategic activities for the marketing and distribution of the studio’s feature films.

Financials (all numbers in millions)

Recent years have been good for Universal Pictures and its parent NBCUniversal. From 2011 to 2012, revenue for NBCUniversal grew by almost $5,000, from $19,028 to $23,812. Filmed entertainment was responsible for approximately 21% of the total revenue in 2012, generating $5,159. That was up from $4,239 generated by Universal Pictures in 2011. [6]

NBCUniversal logo

In regards to how Universal Pictures measured up against the five other major movie studios, so far in 2013, Universal holds a 14.6% market share amongst all the studios, placing it second behind Warner Brothers. This year Universal Pictures has grossed $1,329.3 from the release of 13 movies. [7]

Competition

The main concern for NBCUniversal and Universal Pictures right now is the new technologies that are affecting traditional media production and distribution methods. This is referring mainly to companies like Netflix and Hulu that syndicate video programming online. A growing concern is that these companies and others like them are beginning to create and obtain their own original content. [8]

Recent Film Releases

Universal Pictures has developed a reputation for having great success with movie franchises with such iconic franchises such as Back to the Future, Jurassic Park, and the Bourne series. [9] In 2013, Universal stuck with this trend and reaped the benefits of new installments in the Despicable Me and Fast & Furious series, amongst an eclectic mix of other successful films. [10]

The Best Man Holiday

A sequel to 1999’s The Best Man, The Best Man Holiday picks right up with the old college friends from the The Best Man, as they all reconvene for some Christmas celebrations. Amidst all the fun times, sparks of old romances begin to rekindle and old rivalries that had faded away over time arise again. Taye Diggs, Terrence Howard, Morris Chestnut, Monica Calhoun, and Regina Hall star in this quintessential holiday comedy-drama written and directed by Malcolm D. Lee. [11]

The Best Man Holiday (vibe.com)

Released on November 15, 2013, in just three days The Best Man Holiday has nearly doubled its budget so far, bringing in $32,536,350. That’s also $6.5 million over the $24 million it was projected to earn. [12] Tagged as “just another black comedy,” The Best Man Holiday has not only offered more evidence that generally black films can succeed, but that this is no typical movie by any sense, except for the fact that it is generally crowd-pleasing. (No particular race or age group dominantly represents itself in the film’s audience demographics). In fact, CinemaScore even gave the movie an A+, an extremely rare feat for any film. [13]

Despicable Me 2

Gru (Steve Carell), a former master villain, has settled into family life after adopting and coming to love his three daughters, but peace and quiet is not lasting for the villain-turned-hero, as he is called upon to save the world from a new super-villain. And just as the world needs Gru’s help, so does his eldest daughter who has fallen for a classic bad-boy and an inevitable source of heartbreak. Kristen Wiig and Benjamin Bratt star alongside Carell in this story of one former villain’s attempt to be a hero for the world and for his own family. [14]

Despicable Me 2 (ropeofsilicon.com)

The original Despicable Me (2010) was a tremendous release for Universal, ranking seventh all-time amongst its highest grossing movies by bringing in $251,513,985 domestically. On July 3, 2013, Despicable Me 2 was released and has shattered that record, becoming the all-time highest grossing movie for Universal Pictures with $365,943,520 of domestic revenue. This income has far surpassed the film’s production budget of $76 million, and that’s not even factoring in its performance in the worldwide box office. To the delight of the studio, 60.1% of the movie’s total revenue came from foreign releases, grossing $550,100,000 worldwide. All in all, Despicable Me 2 has brought in $916,043,520 for Universal Studios, and subsequently, is still playing in 305 theaters across the U.S. [15]

Fast & Furious 6

The very CIA agent who has been trying to track them down in order to defeat a new crew of criminal drivers who are causing chaos in twelve countries across the world calls upon refugees of the law. In an effort to be pardoned from the charges against themselves, Dom and Brian (Vin Diesel and Paul Walker) get their old gang of expert drivers back together to take to the streets of London and defeat these mercenary drivers. Vin Diesel, Paul Walker, and Dwayne “The Rock” Johnson star in this pedal-to-the-metal thriller. [16]

Fast & Furious 6 (teaser-trailer.com)

The sixth film in the Fast & Furious series was the most successful installment to date for the studio, becoming its ninth highest grossing film of all time, and reaping in the most revenue of all the Fast & Furious films. Fast & Furious 6 generated $238,679,850 for Universal, making it the second highest grossing film of 2013 behind Despicable Me 2. In the worldwide box office, Fast & Furious 6 brought in another $550 million, bringing its total gross to a lofty $788,659,850. Given the $160 million budget, Universal Pictures had another major box office winner with this film. [17]

What’s to Come from Universal Studios

Fast & Furious 7

Fast & Furious 7 (hitfix.com)

Just a little over a year after Fast & Furious 6 came out, the seventh is already on its way, slated for a July, 2014 release date. This time, the brother of the defeated world-criminal from Fast & Furious 6 has come onto the scene seeking revenge for his brother’s death. [18]

Ted 2

Ted 2 (collider.com)

Universal Pictures also has plans to release the sequel to its wildly successful, raucous comedy Ted. However, Universal did not produce the original, but acquired the rights to it and distributed it as a Universal Pictures film. Despite not having the rights yet, the studio is confident it will be able to secure them and go forward with production of the sequel. [19]

Sources

[1] Universal Pictures History

[2] NBC and Vivendi Universal Entertainment Unite to Create NBC Universal