Chapter 253: Negotiations for USA Cable

While Arthur was enjoying his Christmas vacation in Rio de Janeiro, Hollywood's progress on Galaxy's acquisition of USA Cable Network didn't stop.

Galaxy offered a billion dollars for the acquisition, but Paramount Communications and Universal were asking for more!

USA Cable Network's revenue primarily came from user subscriptions, advertising shares, and the sale and rental of videotapes.

With the rise in TV copyright fees for finished movies, the share of advertising revenue was also catching up with user subscriptions.

"Keep negotiating, 2 billion dollars is definitely too much," Arthur said, leaning on the sofa and talking on the phone with Anna Walker, facing the Atlantic Ocean.

"Got it, also, Mr. Clinton's inauguration ceremony is on the 20th of next month, boss, you're an important guest!"

"The presidential inauguration, I'll be there," Arthur smiled, as it was his first time attending an American presidential inauguration.

"And, Disney is about to acquire Miramax, they are expected to announce it soon!"

"Disney, Miramax? It doesn't matter; Miramax is near bankruptcy now, and Disney needs someone to help them develop in the live-action film sector," Arthur had long since stopped paying attention to Miramax.

After hanging up the phone, Arthur poured himself a drink. The situation at Miramax was dire, especially after Galaxy snatched up The Crying Game this year.

Without the box-office revenue of The Crying Game, Miramax's financial situation worsened.

"Arthur, come over and have some barbecue!" Christiana Reali came over with a plate. "Authentic Brazilian barbecue."

Arthur turned back, "Alright, we'll go out to sea later."

...

Los Angeles, during Christmas, was generally a joyous time, but for some Hollywood filmmakers, it was mixed feelings.

20th Century Fox's sequel family comedy Home Alone 2 had reached hundreds of millions of dollars in North American box office within a month.

Disney's animated feature Aladdin also had surpassed 80 million dollars in North America after being out for over a month.

Meanwhile, Sony's Columbia Pictures release of Francis Ford Coppola's Bram Stoker's Dracula also grossed 80 million dollars in North America, and had surpassed 100 million dollars overseas, indicating a potential 200 million global box office.

However, the star performer this year was definitely Galaxy Film Company. Their summer blockbusters The Bodyguard and A Few Good Men were hits; and during the award season, Scent of a Woman, The Crying Game, and Emma received both critical and commercial success.

The horror film Scream 2 also achieved a substantial 100 million dollars in North American box office, with an additional 70 million overseas, reaching a total global box office of 170 million dollars for Galaxy's first sequel.

Hollywood, Miramax's Office.

Harvey Weinstein appeared despondent. "The bank is pressuring us again, our current debt is over 35 million dollars. If we don't sell, bankruptcy is likely!"

Bob Weinstein adjusted his glasses. "Didn't Disney offer terms? 45 million dollars plus assuming the debt, and we still manage Miramax. I think it's feasible."

Harvey Weinstein sighed, "If Disney acquires us, Miramax's film direction will be under their supervision. We've been managing independent films for years, I'm worried we won't adapt to having someone dictating."

Bob Weinstein looked at him, "Didn't Disney say they wouldn't interfere with our projects?"

"Do you believe that?" Harvey Weinstein shook his head, "The contract states we cannot violate Disney's corporate culture.

How many independent film companies maintain their independence after being acquired by major studios?

Galaxy, New Line, Samuel Goldwyn, and Carolco, these companies all refused to become puppets of major studios!"

"Harvey, this can't be helped," Bob moved his hefty body and shrugged, "Miramax's losses over the past few years have been severe, most films we released failed. If we had Arthur Smith's eye for selecting films, no one would sell their company.

...

"Ah, so you ran off to Brazil for a vacation?"

"Yes, to Rio de Janeiro, Brazil. There's a New Year's Eve fireworks display on the beach, and there are at least hundreds of thousands of people on the beach," Arthur stood on the balcony of a seaside villa in Rio de Janeiro, talking on the phone with Winona Ryder in the USA.

Sounding slightly anxious, he said, "There are a lot of people. Next time you get a chance, you should come too!" Arthur was currently stroking Christiana Reali's hair next to him.

"It's very lively here, and there are a lot of celebration activities on the beach..."

"Yes, I'm always attending some reviews and promotional activities for Emma. The movie's reviews are not bad, and it's preparing to compete for awards. Since you're in Brazil, make sure to rest well for a while. I figure when you return, you'll be grumbling again about attending all the parties and events every day!"

Winona Ryder's tone conveyed a hint of joy. Her performance in Emma had garnered a lot of praise.

"Alright, will do!"

Setting down the phone, Arthur looked at Christiana resting her hands on the balcony while Arthur lay on her back, together appreciating the magnificent fireworks display on the beach!

"Arthur, is it beautiful?" Christiana Reali, looking delighted, couldn't help but ask the man on her back.

"Absolutely beautiful," Arthur panted, lying on Christiana smooth back. Their sweat mingled, and his hands, which were resting on her soft chest, relaxed, exuding a strong burst of hormones.

Christiana turned around, leaning weakly into Arthur's embrace. "We agreed to watch the fireworks, but look at me now, I have no strength left!"

Arthur leaned close to Christiana's ear and laughed, "I was afraid your throat would get sore."

Christiana lightly hit Arthur's chest with her hand, unable to hide the charm on her face. "You're the great. Satisfied now?"

Arthur chuckled, looking at the New Year's Eve performance on the beach not far away. "How about we join in the fun later?"

"That was quite the workout just now," Christiana kissed Arthur's chest, "let's rest for a bit; the event will go on late into the night anyway!"

Then, Arthur helped Christiana put on a shirt to cover her, and assisted her to sit on a beach chair nearby.

Christiana snuggled into Arthur's embrace and took a sip of champagne, asking, "We've been in Rio de Janeiro for over a week already; aren't we going back?"

Arthur gently rubbed Christiana's delicate body and smiled, "Don't you want me to stay with you?"

Christiana shook her head, "Of course I do, but you have so many businesses to manage; you'll definitely have to return to the US!"

Arthur nodded, "Indeed, it's about time to go back."

After all, Galaxy was still acquiring USA Network from MCA and Paramount Communications.

"In the future, make sure to come to the US more often," Arthur reminded Christiana.

"I will, but didn't you establish Galaxy France? You can often visit France too, for beach resorts or relaxing at vineyards - they're all great," she responded.

"That makes sense, actually. This is also a great vacation spot," Arthur looked at the dark sky.

"Don't worry, I'll frequently vacation in the Mediterranean too. And with the Cannes Film Festival, I'll definitely be there..."

...

With the arrival of 1993, Arthur returned from Brazil and kept a close watch on the negotiations with MCA and Paramount Communications.

In the afternoon, at the Montrose Hotel cafe in West Hollywood, Arthur met with the CEO of Paramount Communications, Charles Bluhdorn, and Lew Wasserman from MCA.

"Gentlemen, 1.5 billion is Galaxy's final offer. USA Network doesn't have many original series; this price is not low," Arthur sipped his coffee. "We don't need to waste too much time; Galaxy has many other options."

Arthur then glanced at Charles Bluhdorn, smiling, "If Paramount Communications has plans to sell, a small stake in a cable TV station shouldn't impact much. We all know what other groups are looking for in acquisitions!"

Lew Wasserman slowly sipped his coffee, unconcerned. Panasonic clearly had no interest in running a cable TV station. Wasserman was satisfied with the offer, but hoped Bluhdorn could negotiate a higher price.

Charles Bluhdorn glanced at Wasserman with a relaxed demeanor. They had discussed it before, and Wasserman completely supported his decision. However, Arthur Smith's tone suggested a final ultimatum, and Arthur Smith was definitely not known for his patience.

"We need cash. Galaxy must transfer the funds to our account within three months of signing the contract," Charles Bluhdorn said.

"No problem," Arthur Smith smiled, shook hands with Bluhdorn, saying, "Happy cooperation!"

"Prepare the contract for signing tomorrow. I'll head off first; there's a lot to handle at the company," Charles Bluhdorn apologized to the other two.

Wasserman nodded, smiling, "No problem, Charles. We understand!"

After Bluhdorn left, Wasserman looked at Arthur, saying, "Panasonic aims to drive electronics consumption with content, so TV stations aren't in their plans."

"I understand. Initially, I planned to secure Paramount's shares first, but that would take longer," Arthur responded.

With bank support, Arthur didn't want to waste time and risk losing the opportunity.

Wasserman nodded, "Schindler's List has done very well at the box office. Your foresight has been proven again!"

Universal was the distributor for Schindler's List in many overseas markets and envied its success. Additionally, Arthur's early comedy script American Pie was sold to Universal, and they had already released three installments!

"Yes, it's fortunate I invested early," Arthur couldn't help but laugh, "Otherwise, Universal couldn't have resisted Spielberg's persuasion, as Jurassic Park is a highly anticipated sci-fi blockbuster."

Wasserman's mouth twitched. It was indeed a perfect missed opportunity for Universal!

*****

https://www.patreon.com/Sayonara816