Tuesday September 14 12:59 PM ET
Regains TV Rights To Old Films
Calif. (Reuters) - Film studio Metro-Goldwyn-Mayer Inc.
(NYSE:MGM - news) Tuesday said it regained some broadcast
rights to more than
800 old MGM movies from Turner
Broadcasting System Inc., aiding its aggressive new
management's plans to expand into cable and satellite
The 800 titles include classics such as ``West Side
Story,'' ''Annie Hall,'' ``Moonstruck,'' ``The Magnificent
Seven'' and selected films from the ``Rocky'' and
``This transaction underscores the
new MGM's determination to reclaim control of its
enormous collection of film assets and the momentum
underway in shaping
cable and satellite alternatives,''
MGM Chief Executive Alex Yemenidjian said in a
The MGM films were licensed to Turner back in 1990
under previous MGM ownership, and the studio's lack of
control over their broadcast rights has crippled
ability to expand. Just this past spring, Yemenidjian and
others assumed control of the studio and have been
busily revamping studio operations.
deal, MGM receives exclusive television broadcast
rights to over 200 titles in the MGM library, and in
Sept. 2000 it will receive non-exclusive rights
the remaining 600 titles for broadcast on any MGM
owned and operated network.
Atlanta, Ga.-based Turner extended its rights to broadcast
the movies on its TV network for two years beyond the
original expiration dates, and sister
Classic Movies also enhanced its terms on 600
No money changed hands, an MGM spokesman said.
Metro-Goldwyn-Mayer Obtains Broadcast Rights to
Over 800 of Its Film
Library Titles From Turner
Broadcasting Systems, Inc.
-- Once Exclusive Agreement
Opens Windows for MGM Networks' Cable & Satellite
SANTA MONICA, Calif.--(ENTERTAINMENT
WIRE)--Sept. 14, 1999-- In a significant move to accelerate
the creation of MGM-branded cable and
channels, Metro-Goldwyn-Mayer Inc. (NYSE:MGM - news) has
obtained broadcast rights to more than 800 of its films
previously licensed to Turner Broadcasting
The transaction was announced today by Alex
Yemenidjian, MGM Chairman and Chief Executive Officer.
Under terms of the new agreement, MGM successfully
renegotiated the reversion of its television rights to 200
library titles, while also obtaining from
Broadcasting the right to broadcast the remaining 600 MGM Inc.
films on a non-exclusive basis with Turner on any MGM
owned-and-operated networks beginning
as early as September 2000.
Titles included in the group of 800 are some of MGM's
most notable films such as ``West Side Story,''
``Annie Hall,'' ``Moonstruck,''
Seven'' and selected titles from its ``Rocky'' and ``Pink
Panther'' series. In exchange, Turner Broadcasting gains an
extension of its rights in the
titles for all of its
networks for a period of up to two years past the
agreement's original expiration. In addition, Turner
Broadcasting acquires rights for its Turner
cable network for all 600-plus features with increased
available runs and term.
In making the
announcement, Yemenidjian said, ``This transaction underscores
the new MGM's determination to reclaim control of its
enormous collection of film
assets and the momentum
underway in shaping our cable and satellite network
Metro-Goldwyn-Mayer Inc. is actively
engaged in the worldwide production and distribution of
entertainment product, including motion pictures,
programming, home video, interactive media, music, licensed
merchandise, a library of more than 4,100 films, and a
significant television library.
Things just keep getting better. Two Movies in
the top ten. Cable deal coming. Bond in November.
Large short position that is about to get squeezed.
CBS/Viacom buzz still around.
I may double up on
Monday. This thing could be at $30 by month end. Second
will help this stcok because it will allow for more of
a float in this stcok which it needs.
Looks like stig. will make the whole 30 mil. back
this weekend.The t. c. affair is still # 5 at 60 mil.
plus. Im sure the new team has convinced wall st. the
$$ drain is over, and all the new deals will make
earnings more predictable and growing.Maybe this will be
one of the few stks. that goes up into the second.The
shorts willnt like the stig. ##,s, it will be fun to
watch the mon. open.The 6th sense is going to do 200
mil. plus.If stig. does 100 mil.plus the turnaround
I agree the second. will put near term pressure
on the stk. I hope mr.k put a floor of 18 or so on
the price.A rts. offer for 30 mil. shs. and a 10 mil.
sh. second. would have been better near term ,but im
sure alex.y and mr k. have a reason to do it this
way.The time frame is late sept. early oct. Hopefully
stigmata which cost about 30 mil. or so to make ,will have
a huge open. We got lucky timing since this is a
hot area at the moment. Good luck on your timing
getting back in. h
the secondary is going to put pressure on this
stock and the fact that they had to go to the public to
raise capital dosent sit right with me. You cant say
that short term this is not going to hurt MGM. The
time frame for the sale of stock is open and not
confined to a certain window. Read it in the SEC
Will be back soon.