Home Media Magazine - July 29-August 4, 2007 - (Page 4)

NEWS BRIEFS I DISNEY QUITS SMOKING The Walt Disney Co. will begin phasing out depictions of smoking from its movies in addition to placing anti-smoking PSAs on DVDs. The studio also will work with theater operators to show anti-smoking PSAs. The Motion Picture Association of America has said it will begin to factor smoking along with violence and sexual content when rating a movie. The action, outlined in a letter from Disney CEO Bob Iger to Edward Markey, chairman of the House sub-committee on telecommunications and the Internet, was in response to the Massachusetts Democrat, who last month held a hearing on the images children see on screen. He called on media companies to join anti-smoking efforts and help dissuade children from smoking. – Erik Gruenwedel www.homemediamagazine.com New DEG President Former president Chapek named chairman of executive committee By Erik Gruenwedel ew Line Home Entertainment president Stephen Einhorn has been elected president of DEG: The Digital Entertainment Group’s board. Einhorn, a founding board member of the 11-year-old DEG, replaces Bob Chapek, president of Walt Disney Studios Home Entertainment, who was named Stephen Einhorn chairman of the board for the industry-funded advocacy group. “We are delighted with the election of Steve Einhorn, who is a respected leader and highly regarded throughout the industry,” said Amy Jo Smith, executive director of the DEG. Chapek is only the second chairman in the DEG’s his- EINHORN Weinstein Suit Dismissed By Erik Gruenwedel L E G A L A lawsuit brought last year by the National Entertainment Buying Group against The Weinstein Co. and distributor Genius Products LLC, has been dismissed. N I DVD PLAY KIOSKS GROW DVD Play has more than 1,600 of its kiosks in retail spots, and by the end of the year will have 2,000 in place, according to Charles Berger, DVD Play chairman, president and CEO. Berger also shared that 60% of customers who rent a DVD from a DVD Play kiosk return the product the next day. “People love the convenience factor, the pricing model,” he said. “We get new titles in our kiosk at 12:01 a.m.” – Chris Tribbey tory. The board retired the position following the death of Emiel Petrone in 2004. It later reinstated the chairman position on the executive committee. “During Bob’s tenure as president, he led the association to unprecedented heights,” Smith said. “Bob’s election as chairman provides the DEG with a strong voice to compliment Steve. Together they will help to take the DEG even further.” Ron Sanders, president of Warner Home Video, is VP of the DEG. Craig Kornblau, president of Universal Studios Home EnBob Chapek tertainment, is CFO, and Gene Kelsey, VP, entertainment group with Panasonic Consumer Electronics, is secretary. Gallery Buys Time With Select Lenders By Erik Gruenwedel R E TA I L Movie Gallery Inc. last week said it has worked out a deal with select lenders to buy time. Effective July 2, the deal grants the financially challenged No. 2 DVD rental chain a reprieve until Aug. 14 against existing financial defaults under its senior credit facility agreement. Dothan, Ala.-based Gallery, which operates under the Movie Gallery, Hollywood Video and Game Crazy brands, earlier this month said it had not met its cred- I EAGLE ROCK GOES WITH UNIVERSAL’S FONTANA Eagle Rock Entertainment is leaving its current distributor, Sony BMG-owned Red Distribution, at the end of the year, Eagle Rock VP of North America Operations Rob Gill confirmed. Instead, Eagle Rock titles, including music DVDs, will be distributed by Universal’s Fontana Distribution. – Chris Tribbey «WE ARE PLEASED TO BE WORKING COOPERATIVELY WITH OUR LENDERS TO ADDRESS THE COMPANY’S CURRENT FINANCIAL SITUATION.» JOE MALUGEN, PRESIDENT AND CEO, MOVIE GALLERY it requirements due to poor second-quarter sales, and would entertain a possible sale or merger. “We are pleased to be working cooperatively with our lenders to address the company’s current financial situation,” Joe Malugen, chairman, president and CEO of Gallery, said in a statement. “In the near future, we expect to present a longer-term solution to the lender group that will address the operational and financial issues currently impacting our business. I NAT’L GEOGRAPHIC HAS CONSUMER TECH OFFICER National Geographic Ventures has named Stavros Hilaris its consumer technology officer. Hilaris will lead new technology initiatives and help improve technological efficiency throughout the company’s divisions. He will be based in the company’s Washington, D.C., office, handling media asset and Web content management, file-based workflow and next-generation film production. Hilaris previously served as SVP of technology at Ascent Media. He has served in technology, engineering and business development for 20 years at such media and communications companies as CBS Television Network, Worldcom, Teleglobe and Net2000 Communications. – Billy Gil 30-WEEK NEW-TO-DVD RELEASE TRENDS BY CATEGORY: 2004 - 2007 At the 30-week mark, the DVD release pace is at its bottom. But over the next three months all hell will break loose as the market is flooded with new releases in anticipation of the holiday selling season. If things continue as they have in the past, this rush will peak in October. Then the Hollywood blockbusters will start to roll in, and everyone else will get out of the way. Looking at comparisons for the past four years, some categories have settled in and are posting similar numbers as they did this time last year — foreign language, theatrical catalog, direct-to-DVD features — while others are having a tough go of it — special interest, anime and music, in particular. — Ralph Tribbey DVD Title Release Category Foreign-Language Feature Films Theatrical Catalog (pre-1997) All Other Categories Direct-to-Video Feature Films TV Series Programming: Multidisc Sets New Theatrical (1997-current) Children's Programming, Non-Feature Anime TV Series Programming (single disc) TV Movies Special Interest Music, Opera and Stage Performances 30-Week Comparisons 2004 569 1,090 365 806 233 283 264 417 190 161 1,604 741 6,723 2005 722 839 345 740 333 311 322 454 170 228 2,228 982 7,674 2006 705 682 425 604 344 361 313 360 144 189 2,447 1,165 7,739 2007 717 683 421 598 316 327 271 283 108 136 1,694 733 6,287 2007 results through July 24. 2004, 2005 and 2006 are for similar 30-week periods. I THIS WEEK’S RELEASE ACTIVITY FOR DVD Titles in Release Through Week Ended July 13, 2007 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Total Net DVD Titles Announced and/or In Release Through Dec. 31, 2007 . . . . . . . . . . . . . . . . . . . . . . . . 74,838+176 75,642+182 I THIS WEEK’S RELEASE ACTIVITY FOR BLU-RAY As of Week Ended July 13 . . . . . Released I THIS WEEK’S RELEASE ACTIVITY FOR HD DVD Scheduled As of Week Ended July 13 . . . . . Released 245 Scheduled 51 The suit, filed in December in the U.S. District Court of Massachusetts, alleged that DVDs released under Weinstein’s exclusive rental agreement with Blockbuster Inc. contained language that implied renting the titles from anyone other than Blockbuster was against the law. The complaint was dropped after the judge declared Weinstein and Genius had not actually distributed titles with such language thereby rendering the complaint mute. The buying group, which represents 300 independent video rental dealers, had argued any labeling that implied “illegal activity” defamed and damaged other retailers and would cause financial loss and irreparable harm. The court in January temporarily halted Weinstein’s plans to include a 1-800 number in its exclusive rental titles that customers could call if renting from a non-Blockbuster location. “We technically can’t sue them until they actually do it,” said Todd Zaganiacz, president of the buying group. “If they go forward with this 1-800 number then we will be right back.” Zaganiacz said he had mixed feelings filing the complaint in the first place but was satisfied with the initial ruling. “It is still a little mystifying to me but obviously boils down to the dollars Blockbuster had committed to paying [Weinstein],” Zaganiacz said. “There is no question about it.” Spokespersons from Weinstein and Genius were not immediately available for comment. Home Media Magazine July 29–August 4, 2007 http://www.homemediamagazine.com

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Home Media Magazine - July 29-August 4, 2007

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