There are a limited number of independent production companies that have "company deals" with the Studios whereby their overhead and a portion of their development costs are covered by the Studios. In return, the Studios retain the lion's share of ownership of films produced by such companies. However, the Studios are increasingly
cutting back on "company deals" as a part of their overall belt-tightening in response to the economic environment and seeking strong independents with access to capital with which they can co-finance films with and mitigate risk.
The majority of motion picture production companies ‘The Independents’, finance and distribute their motion pictures through a variety of relationships and alliances, many of which are constantly changing. Independent producers make
films with relatively limited resources and no



vertical integration. They typically invest in film development and look to others for financing to produce and distribute their films. Their profile varies greatly from the ultra-low budget and one-time filmmakers to a limited number of well-established and successful filmmakers.
To the extent opportunities are available, our Corporation will seek to co-invest with the most well-established and successful filmmakers possible.