FAQ

• Other FAQ about project.

  TALENT - interested in the project include : 

  Eva Mendez

  Vanilla Ice

  Carlton Enoch

  DISTRIBUTION:

  Weinstein Company (TWC) INVESTMENT/CAPITAL REQUESTED

  PLANNED USE OF FUNDS: 

  $160,000 in equity financing to produce the film

  Funds raised will solely be used to develop and produce the feature length motion picture SEAL OF THE CONFESSION. Proposed Distribution “Seal of the Confession”

  will be distributed in all media to include; domestic theatrical exhibition, domestic cable/pay television, network television, syndicated television (i.e., local television stations), foreign theatrical exhibition, foreign cable/pay, domestic and foreign DVD/home video markets and other sources, such as music rights, airline and other non-theatrical exhibition, as well as various merchandising rights.

  Domestic Theatrical Distribution:

  Theatrical distribution and marketing of motion pictures involves: licensing the right to exhibit motion pictures on a rental basis to theaters, the creation and dissemination of advertising and publicity, accounting, billing, credit and collection, the manufacture, inspection and dissemination of prints used in exhibition, and the maintenance, delivery, storage, inspection and repair of such prints.Generally, distributors and exhibitors (the theater owners) will enter into agreements whereby the exhibitor retains a portion of the “gross box office receipts,” which are the admissions paid at the box office. The balance (“gross film rentals”) is remitted to the distributor. Frequently, exhibitors and distributors must negotiate as to the appropriate percentage to be remitted to the distributor, which may delay payment of the gross rentals to the distributor.

  The terms of agreements between producers and distributors vary widely depending upon the perceived potential of a film and the relative bargaining strength of the parties. Generally, the distributor is at risk for its distribution expenses and any guaranteed license payments made by it to the producers. Deals are generally structured so that the distributor retains a distribution fee based on a percentage of gross film rentals and recoups the costs incurred in the distribution of the film (including cost of prints, advertising and promotion, shipping and accounting).

  The balance of the gross film rentals goes to the producer, who divides it according to agreements with his financiers and others. Under certain types of distribution agreements, the producer is entitled to a percentage of gross film rentals at the same time as the distributor is recovering its distribution fees and costs. The theatrical release of a film generally will drive the revenues from ancillary markets and foreign territories.

  Foreign Theatrical Distribution:

  Foreign theatrical distribution rights may be licensed along with domestic theatrical rights, or may be licensed on a territory-by-territory basis. In the latter case, the owner of the film usually receives an advance against a negotiated amount of gross film rentals from each territory. The owner generally does not receive any share of foreign gross film rentals until the foreign distributor’s fees, expenses and the advances are recovered.

  Ancillary Markets:

  Due to the increase in revenues from cable/pay television, home DVD/video and other ancillary markets, domestic theatrical exhibition has accounted for a declining percentage of the income earned by the majority of films.

  Nevertheless, the box office performance of a picture is often critical to its value and success in all other markets.

  Television:

  In the United States, broadcast rights are granted to networks such as NBC, ABC, CBS, or Fox for exhibition by all of the network’s affiliates. Syndicated rights include rights granted to individual local television stations or groups of stations. Pay television rights include rights granted to cable, direct broadcast satellite, microwave and other services paid for by subscribers. The right to license a picture to the television markets may be granted to the domestic or foreign theatrical distributors.Television rights are generally licensed first to pay television exhibitors like HBO, Cinemax and Showtime, for an exclusive exhibition period approximately 12 to 18 months after their initial theatrical release; thereafter, to broadcast network television for a specified number of runs during an exclusive exhibition period, usually 24 to 36 months after the initial theatrical release of the motion picture; then to pay television again; and finally syndicated to independent   stations (approximately 42 to 84 months after the initial theatrical release).

  Not all films are suitable to network television exhibition due to subject matter, editing requirements and other factors, and with the increasing role of pay television, the number of films licensed for and fees generated from network television have deceased significantly in the last few years.

  Pay television revenues, in many cases, have more than made up for this decline, with substantial license fees based either on a fixed fee or per-subscriber basis. The number of television broadcasters in Europe is currently expanding and will continue to boost licensing fees.

  Home Video:

  The market for DVDs and videocassettes for home use continues to expand globally, and this expansion is likely to continue as the ownership of DVD/video playback units becomes even more widespread. A motion picture typically becomes available on home video for purchase or rental by consumers approximately six months after its initial theatrical release.

  The home video market in the United States is still growing and, due in part to the relative lack of diversified television programming, certain foreign territories, particularly Europe, are also seeing a significant increase in the number of home video/DVD units. Consequently, the prices paid to market DVDs and videocassettes in all markets have been increasing in recent years.

  Most film industry analysts predict continued growth in the home video market both in the United States and foreign territories in the immediate future. In the more distant future, High Definition video may create an additional home video market.Ancillary Rights:In addition to the distribution medias and markets described above, the owner of a film usually licenses the rights of non-theatrical uses to distributors who in turn make the film available to airlines, hotels, schools, oil rigs, public libraries, prisons, community groups, the armed forces ships at sea and others, as well as the right to license the performance of musical works and sound recordings embodied in a motion picture, including public performance and sheet music publication.

  Rights may be licensed to merchandisers for the manufacture of products such as video games, toys, T-shirts, posters and other merchandise. Rights may also be licensed for novelization of the screenplay and other related book publications.

  Last updated: Wednesday Dec 21, 4:46pm EST