Mechanic tools up Mouse House
Deal to provide 20 films over the next five years
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The deal, which includes hefty foreign and bank financing, will provide 20 films over the next five years.
Mechanic, a former studio chief at Twentieth Century Fox and a one-time Disney exec, will be able to decide which films to produce. Disney, on the other hand, will minimize its risk, putting up a small share of the production costs plus prints and advertising, with the majority of financing for the pics being put up by bank financing and equity investors.
While Disney will handle distribution in North America and most foreign territories, Mechanic will cover his shingle's overhead and development through his European equity investors. Mechanic retained all rights in Spain and Japan, Italian TV rights and domestic free television rights.
"Disney have always been part of the conversation and my goal was to keep as many of the rights united as possible," Mechanic told Daily Variety. He added that he also was attracted to Disney due to his longstanding relationships with Walt Disney Co. chairman and CEO Michael Eisner and Walt Disney Motion Pictures Group chairman Dick Cook.
"The process will be no different than when I was at Fox," Mechanic said. "We are not going to make something the studio hates or which is against someone's wishes."
Mechanic will now play a major role in filling the Disney pipeline, one that could be as significant as Disney's equity partnership with Spyglass Entertainment and its relationship with key suppliers like Jerry Bruckheimer Films.
Though it had long been rumored that Mechanic had been approached to replace former Disney chairman Peter Schneider, Mechanic firmly stated his intention was always to establish himself as a producer. "After I left Fox I had multiple opportunities and I liked what I did, but it was time to do something else."
Over the last six months, Mechanic has shelled millions of dollars acquiring scripts and other material for Pandemonium. He now has about 25 projects in development (Daily Variety, Oct. 8), with two pics set to begin pre-production early next year. All projects in development will come to Disney.
Though it is unclear which will be the first project for Disney, Mechanic is readying three pics. These are "Men of Destiny," to be helmed by John Woo and produced by Woo and Terence Chang, "Moon and the Sun," to be produced along with the Henson Co. and Michael London, to star Natalie Portman, and the comedy "Doubting Thomas."
Pandemonium has a staff of six, who include execs Ashley Kramer, Kerry Foster and Matthew Velkes, and will remain off the lot.
Mouse House reunion
Deal reunites Mechanic with Disney, which he initially joined in 1984 and served as prexy of international distribution and worldwide video. He left the studio in 1993 to join Fox as prexy and was upped to Fox Filmed Entertainment chairman in late 1996 where he oversaw such productions as "Titanic," "Independence Day," "There's Something About Mary," "Braveheart," and "Fight Club." He ankled Fox in June 2000 and formed Pandemonium in Sept. 2000.
Said Michael Eisner, chairman and CEO of the Walt Disney Co. "It is good to have him 'come home' to Disney, where we will no doubt greatly benefit from his creative and dynamic leadership."
Cook a key to deal
Mechanic added: "I am extremely excited to return to my home at the Walt Disney Co. and to be back in business with people I know, respect and, most importantly, trust. Dick Cook (chairman of the Walt Disney Motion Pictures Group) was the central person for me in making this deal. We've known each other for way too long and in Dick, I feel I will have a true partner in making Pandemonium a success. It's also nice that under his tutelage, many of my former colleagues have blossomed since I left, particularly Mark Zoradi in international."
Said Nina Jacobson, prexy of Buena Vista Motion Pictures Group, "Pandemonium has only been up and running for a little over a year and so far Bill has amassed an excellent team of executives and some very promising projects."
Key in making the deal for Mechanic was attorney Alan Levine of Ziffren, Brittenham, Branca & Fischer.
