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-- -- -- Leaders today just -- time.
For the July 4 holiday Johnny Depp stars in public enemies from General Electric's Universal Pictures and ice age dawn of the dinosaurs from 20th Century Fox.
Which is owned by this network's parent company news -- Both -- put the brakes on Paramount Pictures transformer is read the of the fallen success which has pulled me over 200 million dollars since opening.
A week ago so far this year ticket sales jumped 11% which begs the question how is Hollywood to find this recession.
Here's my take number one.
Not surprised at all to -- box office receipts and attendance grow when me and helped lift for all the doom and gloom surrounding the economy.
Number two it's a great year for Hollywood because the movies have been great.
I love star track I was completely.
Shocked at an all of the movie up and I cried.
Was impressed with transformers can't wait I say about TI -- -- number three.
-- doesn't love popcorn and candy.
Joining me now Michael that -- like he is a film producer and the chairman CEO.
A Phoenix pictures Tom Stephenson is the president of -- motion pictures.
And -- -- Moby is -- senior media and entertainment analyst for standard ports US equity research services.
Good morning guys just thought of popcorn and candy right -- making celibate.
How might let me start with you too big blockbusters coming out this weekend ice age dawn of the dinosaurs in public enemies.
Usually July 4 is a very big weekend for big blockbuster movies will they lived up to the -- Well some will do better than others but the market will expand and you've got a holiday weekend.
And let's face it you know movies are are very inexpensive.
Form of entertainment are certainly more who you know less expensive than than most.
You know the ball games are a little more expensive there.
And they play to so many platforms that you know people in so many theaters is about thirty out a thousand theaters in this country.
So I think that's one of the reasons.
Can't -- -- you know we talked just moments ago box office ticket sales right now up 11% attendance up 9%.
What's true why -- being the increase in a very deep recession.
-- -- do things I think the person and it's and it's a great form of entertainment.
If you look at all the things you -- outside her clearly this is the best value and second of all Hollywood had a great year making -- for pictures for a lot of different audiences.
-- and also thirdly we're seeing the start of what Brady -- into the business you -- up excellent bright pictures.
Of the year it's appropriate spirits -- thank all of those things are really have a positive impact on.
Tuna I and you look at the financials the impact on the corporation and that are investing big time in these films and what is oldest turnout suggest about the movie industry.
What I think you know first of all -- no one could have predicted that we'd be having a banner year down from -- going in the you know during the essentially ended the longest and deepest post -- recession.
I think a combination of things going on there first is that in -- what you alluded to people trading down to cheaper forms of entertainment.
Secondly you know I can beat this film lineup is that relatively strong -- here so I believe that when they -- track to.
I said in an on the record.
On terms of you know I admissions and you know attendance both of which seem to unit pace so between -- -- But coming back more specifically to question an -- is I think if you look at the companies themselves the conglomerates are having their -- prizes are being rewarded.
Our S&P movies and entertainment sub industry index is up through the first half of this -- seven point 1% vs.
Just one point 8% increase by S&P 500 that you can -- this -- that he declined 42% in 2002 and two in 2000 and I'm sorry.
I declined 11% in in 2007 so clearly.
Very bad a year when the studios and -- top -- of being rewarded.
Not whether this continues to through these that rest of the year remains to be seen but one thing is clear that this practice is going to be very exceptional year for the studios.
What right now Tom as far as you can seat could preventing -- from continuing to break records because when you look at the slate of films.
Better deal out whether -- Harry Potter film GI -- some the other ones we've talked about.
In looks like this is shaping up to be very strong summer.
They really I think that the one thing that that you can look at over the last eight recessions I holly with -- that's.
Think the basic economics of the business very good in difficult times.
We have new product every week that arguably the -- doesn't is that -- doubt.
I Hollywood's done exceptional job this -- is that right committees so as we look for the rest of the year were very very confident about it.
You know I wanna read guys a quote from the website it's an Internet blog it's called the daily cents and -- asked people about the recession whether or not it's causing them to cut back.
This is what one person had to say we have a couple -- that we call the cheap seats and occasionally -- movies there.
The movies are second or third run by the time they get there.
But what hacked at least we see them.
Mike how much are these -- -- in these feeder is impacting box office sales or.
Is there not to go around.
Well -- just going by the numbers if you just.
Alluded to the fact that one movie did to -- and -- a million dollars over the weekend actually won over the weekend -- -- over five day period.
You know that a lot of people are going to it and I think there.
You know it's a it's a choice of something that they can do that is.
Usually less expensive it's you know although I must say we if you get a movie you know you you go out to dinner you.
Or you have a baby sitter or whatever you know they had me drive your car over I mean it's not it's not inexpensive.
And the other thing I think is a precautionary note you know theaters.
Are all seeing and booming year.
But you know it costs to make a movie.
Has to be taken into account.
Against what you get back and because let's assume you make -- movie for 200 million dollars and 300 million dollars.
You know you've got to do.
And minimum of 600 million dollars in order to to pay for it I mean that to me.
Into the theater basically splits there -- the revenue.
With the with the studio.
And and you know it's got the studio a lot of partners outside of its -- its own investments so.
I don't think you can measure everything by a -- you know the huge number.
Because it's the bottom line that's important -- of the gentleman's.
Whose job it is to look at numbers.
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