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Should studios give in to the writers?

Ah, the writer's strike is coming to an end, as Douglas McIntyre discussed over the weekend. Media companies like Viacom (NYSE: VIA), CBS (NYSE: CBS) and News Corp. (NYSE: NWS) are probably happy to put this work stoppage behind them. And as a shareholder of Disney (NYSE: DIS) and the conglomerate behind NBC Universal, General Electric (NYSE: GE), I should be pleased.

Yeah, I suppose I am, for the most part, but there's a side to me that was really ticked off during this whole affair. To be completely blunt, I'm not sure that screenwriters have such a unique talent, and I'm not sure that they deserve residuals at all. Let's be honest -- when a studio puts up capital to generate a filmed entertainment product, the only entity taking on risk is the studio, plus any partner(s) that the studio has lined up to further distribute the risk. Writers aren't taking on any risk -- they're simply getting paid to do a job that a lot of people can do. You, sir or madam, reading this post, probably have the ability to write a script. I just don't buy the notion that studios have to shell out residual payments, above and beyond a flat fee, to screenwriters for their work. The Hollywood movie industry is risky enough as it is -- there's really no way that anyone from Michael Eisner to Bob Iger to Peter Guber to Harvey Weinstein, can predict what will be a hit and what won't. It just can't be done. Millions can be spent on the development of a script, only to see such a sum wasted when it doesn't translate to the big or small screen.

Continue reading Should studios give in to the writers?

Today in Money & Finance - 3/13 - Top dividend-paying stocks, how to live like a billionaire & $2 billion in unclaimed refunds

In the News:
BloggingStocks:

8 Stocks With Rising Dividends
Dividend-paying stocks don't have to be stodgy. Whether you're 25 or 75, you can use dividend trends to flag solid growth companies run by managers who truly care about their shareholders. These include M&T Bank, W.W. Grainger, Harley-Davidson, Johnson Controls, Seaspan, Praxair, Fastenal and Expeditors International.
The Lure of Rising Dividends - Kiplinger.com


How to Live Like a Billionaire

What does it take to live the life of luxury like one of the world's billionaires? First you need a Gulfstream IV private plane, luxury yacht like the Wally 107, private island, sports car, centurion AmEx, palatial estate, domestic help, private chef, your own sports team and more.
How To Live Like A Billionaire - Forbes.com


$2 Billion in Unclaimed Tax Refunds Could Be Yours

Three years ago 1.8 million individuals decided they had better things to do than file their 2003 tax returns, even though they were due refunds. In total, more than $2.2 billion from that tax year is still sitting in the Internal Revenue Service account. If you think you are one of these 1.8 million people you've only got a few more weeks to claim it.
IRS holding billions in old, unclaimed tax refunds State-By-State Breakdown of Unclaimed Refunds


Take the Sting Out of Credit Card 'Gotchas'

Americans use credit cards to pay for everything from groceries to speeding tickets. But they're increasingly besieged by colossal fees and interest-rate increases that seem to hit them without warning or justification. Under scrutiny from the Democrat-led Congress, which held hearings on credit card practices last week banks also are feeling competitive pressure to become more consumer friendly. Some unpopular practices that credit card issuers are abandoning include: double billing and universal default.
How to Keep Your Credit Card Costs Down - USATODAY.com


Generic Doesn't Always Mean Cheap

At a time when policy makers are searching for ways to cut health-care costs, generic drugs are often viewed as one of the most straightforward solutions. But prices can vary wildly, and may not be nearly as cheap as expected.
Why Generic Doesn't Always Mean Cheap - WSJ.com

The Big Deal: Allen & Co Conference

barbershop

The Allen & Co. conference – which is this week – is the venue for media moguls to talk and possibly strike deals. Well, there is already a deal.

Actually, it's a new company. And, the initial principles include some heavy hitters: Robert Johnson, who is the founder of BET television, and Bob and Harvey Weinstein, who co-founded Miramax Films.

The name of the new company is Our Story Films. And it is targeted at African-American audiences.

It's a good idea. After all, BET television is a mega success. In fact, it is now owned by media giant Viacom.

There are also a variety of money-making movies focused on the African-American community, such as "Barbershop" and "Diary of a Mad Black Woman."

No doubt, the Rolodexes of Johnson and the Weinsteins is absolutely stellar. This is critical – because, of course, movies cost a fortune and require complex alliances and partnerships, as well as access to creative talent.

So far, Our Story Films has the backing of $175 million from JP Morgan Chase.

Not too shabby for a newly minted startup.

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Last updated: November 27, 2009: 01:42 AM

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