Daenerys Studios.
The time is July 25th, another Monday.
Because they were going to watch the preview of "Suicide Squad" together in the afternoon, Terry Semel came in advance and had dinner with Simon in the high-rise restaurant of Daenerys Studios at noon.
Complaints by the way.
"Simon, is the reward of 50 million US dollars too much? Since there is no stipulation in the contract, there is no need for us to pay such a sum of money. Or, like the previous times, 20 to 30 million US dollars is enough. This The first grant was 50 million U.S. dollars, and the next few projects will definitely be much more according to the usual practice, and we will not be able to afford it by then."
At the dinner table, Terry Semel had a grimace on his face.
The topic was about the creative reward plan for "The Dark Knight Rises" that Simon had just finalized personally.
According to last week's box office statistics, "The Dark Knight Rises" not only exceeded US$330 million in North American box office, but also reached US$530 million in overseas revenue. The global box office has reached US$860 million. According to the current box office worldwide, With the box office trend, there is no doubt that the global box office of this final masterpiece of the Batman trilogy will exceed 1 billion US dollars.
Not only that, more than a month since its release, the sales of various types of peripheral products of "The Dark Knight Rises" have been as hot as ever. The current preliminary sales of dozens of peripheral products worldwide have exceeded 1.1 billion US dollars. Although the movie The popularity is beginning to decrease, but it is expected that the total sales of project peripherals will be around US$2.5 billion in the next few years.
In addition to the box office and peripherals, plus future income from video tapes, TV broadcasts and other channels, "The Dark Knight Rises" will be another movie that can bring 1 billion to the two major producers Daenerys and Time Warner. A super cash cow with dollar-level net gains.
Simon has never been one to want a horse to run without wanting it to eat grass.
In order to ensure the smooth progress of the huge DC movie universe series, the contracts Simon signed with the main creators were very demanding. Compared with the huge profits of several consecutive DC masterpieces, the salaries received by the superhero actors can be said to be stingy. to describe.
Simon will not allow any changes to the original contract. However, in addition to the basic salary, starting from the original "Batman Begins", with the success of the project, he will provide an additional bonus to the starring and director. .
For a series of projects in the past, the maximum total bonus did not exceed US$30 million.
This time, Simon gave out a one-time bonus of US$50 million, which immediately caused Time Warner to feel pain.
The summer season, which has entered the final stage, in addition to "The Dark Knight Rises", Warner Bros.'s other two projects "The Dark Knight" and "I Love Trouble" both ended in failure. The huge losses required "The Dark Knight Rises" to : The Dark Knight Rises.
Now, there is a sudden loss of US$50 million, which will even affect Time Warner's financial report at the end of the year.
Simon was indifferent to Semel's complaints and said: "Terry, 50 million US dollars is to reward Bunt, Adam and Valerie for their contribution to the Batman series over the past few years. Whether there will be so much in the future depends on the situation. And , you should understand that compared to the income we obtained, this money is not much at all, it is only equivalent to 5% of the net profit of the project. If it were not for the original contract restrictions, each of them may now ask for 10% or even higher share of net profits.”
Although the DC movie universe has created a phenomenal movie series, compared with Steven Spielberg, Arnold Schwarzenegger, Mel Gibson and other Hollywood first-line filmmakers who have strong voices, The incomes of all the main creators of the DC Cinematic Universe are shabby.
50 million US dollars may seem like a lot, but it is not as much as Jack Nicholson alone made from Tim Burton's version of "Batman" in the original time and space. Moreover, the money was divided between director Jane de Bont, actor Adam Baldwin, actress Valerie Golino and many other people. Among them, Bunt and Adam received the most, only 1,000 each. Ten thousand U.S. dollars.
Of course, Simon can also pay his salary strictly in accordance with the contract, and there is no need to pay any additional cents. However, this will definitely severely dampen the enthusiasm of the creators. The first phase of planning for the DC Cinematic Universe has only completed the first half, and there is still a long way to go. Being too harsh will only result in more losses than gains.
Of course Terry Semel also understood this truth, but he said: "Simon, if I remember correctly, you don't seem to like Adam."
Semel was talking about Adam Baldwin.
After the success of "Batman Begins", Adam Baldwin had the idea of re-signing the agreement, and was beaten by Simon for this.
Simon nodded, but then shook his head and said: "This is a thing of the past. Adam's performance in the past few years has been fairly good. Moreover, even if I don't like a person, as long as the other person is not above the line, after giving, I should give I will still give it to you, but these are two different things."
Terry Semel actually understood in his heart that it would be difficult for him to change the decision of the young man in front of him, so he settled for the next best thing: "Well, Simon, is it okay to pay in installments? For 50 million U.S. dollars, 15 million will be given first and the rest will be paid." The next few years will be paid separately."
Time Warner's current situation is not very good. The US$50 million can be paid over 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 was probably a plan that Semel had thought of before he came, and he still had to give him face, so he readily agreed.
Terry Semel was actually not satisfied with this result, but that was all he could do. He changed the subject and said, "Simon, have you ever considered one thing? Adam's contract only has two films left."
Simon lowered his head to cut the steak on the dinner plate and asked casually: "What?"
Terry Semel said: "After the planned "Justice League", I feel that this series can definitely continue."
Simon slowly picked up a piece of steak and put it into his mouth. After a moment, he said: "Terry, I originally told Stan Lee that Daenerys Entertainment will probably open the Marvel Cinematic Universe in 1995. Judging from the current situation, , I guess I have to break my promise. However, after "Justice League", this matter will definitely not be delayed any longer."
The reason why Time Warner cannot get involved in the control of the DC movie universe is that in addition to Daenerys Entertainment's firm control of the copyrights of the three DC superhero giants, there is another very important reason: Marvel.
The profits created by the DC movie universe are so huge. If there is no Marvel foundation and Warner goes all out, Daenerys may also have to compromise on her right to speak.
The current situation is that if Warner is dissatisfied with its voice and profit share and wants to re-divide, it may even break up after negotiations are fruitless. Then, the result will only be that Warner's side will be beaten, but Daenerys Entertainment will be able to directly launch its own Marvel Cinematic Universe plan.
Terry Semel obviously didn't want to bring up the topic of Marvel, but he still said: "I mean, it's okay for the two to coexist completely, isn't it?"
Simon put down the tableware, took a sip of the red wine next to him, and showed a playful smile on his face: "Of course we can coexist. However, Terry, I think you may be thinking too long-term. Frankly speaking, if you can't live in Levin After taking over as chairman of Time Warner, how many years do you think you can stay at this company?"
In memory, Terry Semel left Time Warner after the merger with AOL around 2000, and then joined Yahoo as CEO.
There's certainly no AOL-Time Warner merger this time around.
However, given the complex internal strife within Time Warner’s management, as Steve Ross’s influence gradually dissipates, a group of Time Company executives who have regained control of the situation will certainly not allow Terry Semel to go any further. As co-CEO of Time Warner and Robert Daley, he is already under one person. If he cannot go one step further and become chairman, he will have to leave his job.
When Terry Semel heard what Simon said, he remembered his own situation and immediately forgot about DC.
Speaking of which, Terry Semel is the same age as Michael Eisner, who is currently lying at Mount Sinai Medical Center in Manhattan. Even five or six years later, he is only in his early fifties, still far from retirement age, and is working at Warner Bros. After so many years, Terry Semel is not willing to suddenly lose everything he has now.
After hesitating for a moment, Terry Semel suddenly said: "Simon, can you help me, help me become the next chairman of Time Warner?"
Not to mention other things, the DC movie universe alone is enough to affect Time Warner's management structure.
If Daenerys Entertainment suddenly releases a statement when Time Warner's internal struggle is at its most intense, the ownership of the next head of Time Warner may determine whether the two parties can still cooperate smoothly in the DC movie universe. A large number of shareholders and directors will have to Carefully consider Simon's personal intentions.
In addition, Black Rock Asset Management has also continued to buy Time Warner shares in recent years. Its current shareholding ratio has reached 4.9% and can exceed the 5% declaration level at any time.
Buying Time Warner stock is mainly for investment needs.
Time Warner has not fully recovered yet. However, as federal telecommunications regulations continue to be relaxed in the next few years, Time Warner, which owns a cable TV operating network, can take advantage of the trend and enter the field of network service providers, thus reaping the dividends brought by the Internet wave. The stock price Soar.
Although the current shareholding has not exceeded 5%, Black Rock can easily increase its holdings to exceed this limit when necessary. At that time, public declaration is only one aspect. The most important thing is that by becoming a major shareholder holding more than 5% of the shares, Black Rock can claim a seat on Time Warner's board of directors and thus have voting rights for the company's major decisions.
These are all things Simon can use to help Terry Semel become the next chairman of Time Warner.
Therefore, Semel had no doubts about Simon's ability to help him, and Simon did not explain too much. He just looked at the middle-aged man across the table: "So, Terry, what can I get?"
Terry Semel did not hesitate this time and said: "Allies, the most solid allies."
Simon was noncommittal: "I'll think about it."
Terry Semel did not urge him. The promise of allies was too broad and needed to be supported by actual actions. He probably understood that the young man opposite wanted to see his specific performance in the next few years.
Speaking of which, Terry Semel has been very close to Simon since the death of Steve Ross. He, the co-CEO of the group in charge of the film business, took the initiative in many matters that should have been handled by Warner Bros. Pictures executives. Afterwards, probably, from the bottom of his heart, Semel had some thoughts very early on.
The two sides quietly reached a tacit agreement and skipped this topic for the time being. Terry Semel added: "I heard that Disney management is in contact with Eisner and intends to ask him to voluntarily give up his position as chairman and CEO of Disney. Simon, you What do you think of this acquisition?”
Simon already knew about this.
Michael Eisner suddenly suffered a heart attack last Friday. Even if he can successfully survive the highly dangerous heart surgery, it will take at least two or three months before he can return to work.
With Eisner's illness and the impetus of a series of recent events, Disney's major shareholders and board of directors, who are obviously inclined to sell the company, are unlikely to accept Eisner, a diehard who firmly opposes the sale of Disney, to return to the company.
Originally, the Disney board of directors had full discretion to remove Eisner from his position, which was within the board's authority.
The current situation is that Michael Eisner's physical condition can no longer withstand additional stimulation. If the Disney board of directors decides on its own to provoke the leader who has worked for Disney for ten years, public opinion alone can make the Disney board of directors resign en masse.
So he could only cautiously take the initiative to discuss the matter with Eisner in the hospital bed.
Simon said: "The sale of Disney is inevitable. As long as Eisner is smart enough, he should accept the conditions of the Disney board of directors and ask for a more generous compensation. In this way, no matter what happens in the future, there will be a lot of money left."
Terry Semel's eyes flashed, but he thought of 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 now, according to the agreement Ross signed with Time Warner, his family can continue to receive various subsidies worth tens of millions of dollars from Time Warner for ten years.
Now, Eisner is facing the same situation.
As long as he is not completely blinded by power, he should know how to choose this time.
By voluntarily withdrawing, in addition to the terms of the original agreement, you can also receive an additional compensation from Disney. In this way, regardless of whether Eisner can survive the heart surgery, his family will be able to obtain more solid financial protection in the future. . On the contrary, if he relies on his serious illness to insist on letting go of Disney's power and prevent Disney's major shareholders from selling the company at a high price, then even if Eisner recovers from his illness in the future, his life at Disney will definitely not be easy.
Thinking about this, Terry Semel asked: "It sounds like, Simon, you don't object to Disney being acquired by Vivendi?"
Simon smiled and glanced at Semel: "Do you think I should object?"
Having been immersed in Hollywood for many years, Terry Semel is very familiar with the consequences of overseas capital's involvement in Hollywood, and he will understand it after a little thought.
Indeed, Simon has no reason to oppose the acquisition and may even be secretly pushing for it.
Daenerys Entertainment is already strong enough in Hollywood at this time, and if it wants to go further, it can only continue to eat into the market share of other competitors. Once Disney is acquired by Vivendi and loses its status as an American company, Daenerys Entertainment will not have much to worry about when it comes to cannibalizing it.