Chapter 680 Reward Scheme (Repair)
Daenerys Cinema.
It is July 25th, another Monday.
Because I was going to watch the sample of "Suicide Squad" together in the afternoon, Terry Semer arrived early and had a meal with Simon in the high-rise restaurant of Daenerys Cinema at noon.
Speak by the way.
"Is the reward of $50 million, Simon, too much? Since there is no provision in the contract, we have no need to pay such a sum, or, like the previous few times, two or three million dollars will be enough. This time I gave $50 million, and the next few projects will definitely be more or less, and we will not be able to afford it at that time."
At the dining table, Terry Semer looked bitter.
The topic is about the main creators of "Batman: The Dark Knight Rises" that Simon just decided on himself.
According to box office statistics last week, "Batman: The Dark Knight Rises" not only exceeded US$330 million in North America, but also achieved an overseas revenue of US$530 million, and the global box office has reached US$860 million. According to the current box office trends of various ticket stores around the world, there is no suspense that the final masterpiece of this Batman trilogy has exceeded US$1 billion in global box office.
Not only that, in the more than a month since its release, the sales of various types of peripheral products of "Batman: The Dark Knight Rises" have been as popular as ever. At present, the total sales of dozens of peripheral products around the world have exceeded US$1.1 billion. Although the popularity of the movie has begun to decline, the total sales of the project around the next few years are expected to be around US$2.5 billion.
In addition to the box office and peripherals, including future channel revenue such as videotapes and TV broadcasts, "Batman: The Rise of the Dark Knight" will be another super cash cow that can bring $1 billion in net income to the two major producers Daenerys and Time Warner.
Simon was never a person who wanted a horse to run but didn't want a horse to eat grass.
In order to ensure the smooth progress of the huge DC Cinema Universe series, Simon signed a contract with a group of creators at the time. Compared with the huge profits of several consecutive DC masterpieces, the salary received by the superhero actors can be described as stingy.
Simon will not allow any changes to the initial contract, but in addition to the basic salary, starting from the original Batman: The War Moment, as the project succeeds, he will give out an additional bonus to the starring actors, directors and others.
It is just a series of previous projects, with the highest total bonus of no more than US$30 million.
This time, Simon gave a bonus of $50 million at one time, which immediately made Time Warner feel hurt.
In the summer season that has entered the final stage, in addition to "Batman: The Dark Knight Rises", two other projects of Warner Bros. "Macau Gambler" and "I Love Trouble" both ended in failure, and the huge losses required the profits generated by "Batman: The Dark Knight Rises" to make up for.
Now, a sudden $50 million decrease will even affect Time Warner's financial report at the end of the year.
Simon was indifferent to Semer's complaints and said, "Terry, $50 million is a reward for Banter, Adam and Valerie's contribution to the Batman series over the past few years. Whether there will be so much in the future depends on the situation. Moreover, you should understand that compared to the income we have obtained, the money is not much, which is only 5% of the project's net profit. If it were not for the contract restrictions in the past, each of them might now require a net profit share of 10% or even higher."
Although DC Cinema Universe has created a phenomenal film series miracle, compared with Hollywood first-line filmmakers who have strong voices such as Steven Spielberg, Arnold Schwarzenegger, and Mel Gibson, the income of the main creators of DC Cinema Universe is shabby.
$50 million seems to be a lot, but Jack Nicholson alone earned more from the Tim Burton version of "Batman" in the original time and space. Moreover, the money was distributed to director Jane De Bonter, male lead Adam Baldwin, female lead Valerie Gollino and many others. Among them, Bonter and Adam got the most, and each of them was only $10 million.
Of course, Simon can also pay strictly according to the contract, and no other extra cent is required. However, this will definitely seriously hit the enthusiasm of the creators. The first phase of the DC movie universe only completed the first half, and the road ahead is still long. If it is too harsh, it will only make the gains less than the loss.
Terry Semer certainly understood this truth, but said, "Simon, if I remember correctly, you don't seem to like Adam."
Semer is talking about Adam Baldwin.
After the success of "Batman: The Moment of War", Adam Baldwin had the idea of re-signing the agreement, and was beaten by Simon for this.
Simon nodded, but shook his head and said, "This is already a thing of the past. Adam's performance in recent years is still quite a duty. Moreover, even if I don't like someone, as long as the other party goes beyond the line, I will still give what I should give after giving. This is two different things."
Terry Semer actually understood in his heart that the young man in front of him had a difficult time changing the matter he decided, so he settled on the second best: "In this way, Simon, is it okay to pay in installments? 50 million US dollars, 15 million will be paid first, and the remaining years will be paid separately."
Time Warner is not in good condition now. $50 million can be shared to pay in the next few years, so it will not have a significant impact on the financial report.
As long as the total amount remains unchanged, installment payment can continue to mobilize the enthusiasm of DC creators.
Simon knew that this should be the plan that Semer had thought of before coming, and he still had to give him this face, so he agreed readily.
Terry Semer was not satisfied with this result, but he had to do so. He changed the topic and said, "Simon, have you ever considered one thing, Adam's contract only has two left."
Simon lowered his head and cut the steak from the dish and asked casually: "What?"
Terry Semer said: "After the planned Justice League, I think this series can be completely continued."
Simon slowly picked up a steak and put it in his mouth for a moment before saying, "Terry, I told Stan Lee at first that Daenerys Entertainment will probably open the Marvel Cinematic Universe in 1995. Judging from the current situation, it is probably going to go back on his word. However, after Justice League, this matter will definitely not be delayed."
The reason why Time Warner was unable to get involved in control of the DC movie universe is that in addition to Daenerys Entertainment's firm grasp of the copyright of the three DC superheroes, there is another very important reason, which is Marvel.
The profits created by the DC Cinema Universe are too generous. If Marvel had not been the foundation and Warner had been making a big splash, Daenerys might have to compromise on his voice.
The current situation is that if Warner is dissatisfied with his voice and profit share, he wants to re-dividend, and even break up after the negotiations are fruitless. Then, the result will only be that Warner will be in a mess, and Daenerys Entertainment can directly launch its Marvel Cinema Universe project that is completely exclusive to him.
Terry Semer obviously didn't want to mention Marvel's topic, and said, "I mean, it's okay to have a complete coexistence between the two, isn't it?"
Simon put down the tableware, picked up the red wine next to him and took a sip, with a slightly playful smile on his face: "Of course it can coexist. However, Terry, I think you may have considered it too long. To be honest, if you can't succeed as Chairman of Time Warner after Levin, how many years do you think you can stay in this company?"
In memory, Terry Semer left the company after Time Warner merged with American Online around 2000, and then joined the company as CEO of Yahoo.
This time there will definitely be no merger between AOL and Time Warner again.
However, with the complex internal infighting pattern of Time Warner's management, as Steve Ross' influence gradually dissipates, a group of executives of Times, which have re-controlled the situation, will definitely not allow Terry Semer to go further. As the joint CEO of Time Warner and Robert Daly, he is already alone. If he cannot go further and become the chairman, he will only be able to resign.
When Terry Semer heard Simon say this, he remembered his own situation and immediately forgot about DC.
Speaking of which, Terry Semer is the same age as Michael Eisner, who is lying at Mount Sinai Medical Center in Manhattan at this time. Even five or six years later, he is only in his early fifties and is still far from his retirement age. After working in Warner for so many years, Terry Semer is not willing to suddenly lose everything he has now.
After hesitating for a moment, Terry Semer suddenly said, "Simon, will you help me, help me become the next chairman of Time Warner?"
Not to mention the rest, it is just a DC movie universe, which is enough to affect Time Warner's management structure.
If at the most intense internal struggle in Time Warner, Daenerys Entertainment suddenly said that the ownership of Time Warner's next head may determine whether the two parties can still cooperate smoothly in the DC movie universe, and a large number of shareholders and directors must carefully consider Simon's personal intentions.
In addition, Black Rock Asset Management has also continued to buy Time Warner's stock in recent years. Its shareholding ratio has reached 4.9%, and it can break through the 5% declaration level at any time.
The main reason for buying Time Warner’s stock is to invest.
Time Warner has not yet fully recovered, but after the federal telecommunications regulations continue to be relaxed in the next few years, Time Warner, which has a cable TV operating network, can take advantage of the situation and gain the dividends brought by the Internet wave, and its stock price soars.
Although the current holdings have not exceeded 5%, when necessary, Black Rock can easily increase its holdings and break this boundary. At that time, public declaration is only one aspect. The most important thing is to become a major shareholder with a holding of more than 5% of the shares, Black Rock can claim a seat on Time Warner's board of directors, thus having the right to vote for major decisions of the company.
These are the bargaining chips Simon could help Terry Semer become the next chairman of Time Warner.
Therefore, Semer did not doubt whether Simon had the ability to help him, nor did Simon explain too much, but looked at the middle-aged man across the dining table: "So, Terry, what can I get?"
Terry Semer did not hesitate this time and said: "Ally, the most solid allies."
Simon didn't comment: "I'll think about it."
Terry Semer did not urge that the promises about his allies were too broad, and it still needed practical actions to support him. He probably understood that the young man on the other side wanted to see his specific performance in the next few years.
Speaking of which, Terry Semer has been very close to Simon since Steve Rose's death. Many things that could have come forward by Warner Bros. Pictures, the co-CEO of the group in charge of film business, took the initiative to take over. Perhaps, from the bottom of my heart, Semer had some thoughts very early on.
The two sides quietly reached a tacit understanding and temporarily skipped the topic. Terry Semer said: "I heard that Disney management is in contact with Eisner and intends to make him voluntarily give up his position as chairman and CEO of Disney. Simon, what do you think of this acquisition?"
Simon already knew about this.
Michael Eisner suddenly had a heart attack last Friday. Even if he could successfully survive the next heart surgery with a high risk factor, it would take at least two or three months to get back into work.
With Eisner's illness and the recent series of events, it is impossible for Disney's major shareholder and board of directors who are clearly inclined to sell the company to accept Eisner, a diehard who is staunch against the sale of Disney, to re-take the company.
Originally, Disney's board of directors could completely decide to remove Eisner from his position, which was within the scope of the board of directors' authority.
The current situation is that Michael Eisner's physical condition can no longer bear the extra stimulation. If the Disney board of directors decides without authorization and inspires the head of Disney for ten years, it will be possible that the Disney board of directors will resign collectively.
So I could only take the initiative to discuss this matter with Eisner on the hospital bed.
Simon said: "Disney's sale is inevitable. As long as Eisner is smart enough, he should accept the conditions of the Disney board of directors and ask for a richer compensation. In this way, no matter what the future is, there will be a lot of money left."
Terry Semer's eyes flashed, but he remembered Steve Ross.
When Steve Ross learned that he had cancer, he began to prepare a way out for his family. Although Ross has passed away, according to the agreement signed by Ross with Time Warner, his family can continue to receive various subsidies worth tens of millions of dollars from Time Warner for ten years.
Now, this is the case with Eisner.
As long as he has not been completely fascinated by power, he should know how to choose this time.
In addition to the terms of the agreement, he can also get an additional compensation from Disney. In this way, whether Eisner can survive this heart surgery or not, his family will be able to obtain more financially solid protection in the future. On the contrary, if he relies on his serious illness and insists on refusing to let go of Disney's power, and hinders Disney's major shareholder from selling the company at a high price, then even if he recovers from illness in the future, Eisner's life at Disney will definitely not be easy.
With all this in mind, Terry Semer asked: "It sounds like Simon, you don't seem to object to Disney's acquisition by Vivendi?"
Simon smiled and looked at Semer: "Do you think I should object?"
After years of immersed in Hollywood, Terry Semer is very familiar with the outcome of overseas capital intervening in Hollywood, and then he can understand it after a little thought.
Indeed, Simon has no reason to object to the acquisition, and may even secretly push for the cause.
Daenerys Entertainment is already strong enough in Hollywood at this time. If you want to go further, you can only continue to erode the market share of other competitors. Once Disney is acquired by Vivendi and loses its identity as an American company, Daenerys Entertainment will not have much worries when it erodes it.
Chapter completed!