Universal strikes deal with Spielberg
Last April, a blog was written regarding Spielberg's buyout clause 2010 from Universal. During these tumultuous times, Universal was facing an uncertain future with large debts and 20% decrease in park attendance.
Then, Universal had to refinance it's $1 billion debt by April 1, 2010. Meanwhile lenders knew that Steven Spielberg, could exercise a buyout next year in June.
Due to the unprecedented success surrounding Spielberg's movie hits, Universal was inspired to design various theme-park attractions including Jurassic Park Adventure, E.T. Adventure, Men Black Alien Attack of which Mr. Spielberg was the consultant.
"As an exclusive consultant for Universal, Spielberg's whose name is on different attractions could exercise a lucrative buyout in 2009. Currently, Spielberg receives a percentage of revenues each year grossing nearly $20 million including comparable projects around the world."
Just this week, amidst a cash crunch, Universal managed to amend it's contract with consultant Steven Spielberg. The 22-year-old contract entitles the filmmaker to a percentage of revenue from Universal in perpetuity.
Had the extension not been settled, Spielberg could have exercised his buyout in the order of hundreds of millions next year 2010. The buyout could have complicated Universals ability to restructure debt which is due April 2010.
The option for the director to take a one-time buyout will be postponed until 2017 under the new agreement.
Then, Universal had to refinance it's $1 billion debt by April 1, 2010. Meanwhile lenders knew that Steven Spielberg, could exercise a buyout next year in June.
Due to the unprecedented success surrounding Spielberg's movie hits, Universal was inspired to design various theme-park attractions including Jurassic Park Adventure, E.T. Adventure, Men Black Alien Attack of which Mr. Spielberg was the consultant.
"As an exclusive consultant for Universal, Spielberg's whose name is on different attractions could exercise a lucrative buyout in 2009. Currently, Spielberg receives a percentage of revenues each year grossing nearly $20 million including comparable projects around the world."
Just this week, amidst a cash crunch, Universal managed to amend it's contract with consultant Steven Spielberg. The 22-year-old contract entitles the filmmaker to a percentage of revenue from Universal in perpetuity.
Had the extension not been settled, Spielberg could have exercised his buyout in the order of hundreds of millions next year 2010. The buyout could have complicated Universals ability to restructure debt which is due April 2010.
The option for the director to take a one-time buyout will be postponed until 2017 under the new agreement.
posted by michael at
7:30 AM
