The two films financed by Abu Dhabi, both of which had been pulled from the North American market, met vastly different fates.
The first, "Kingsman," had a lackluster opening but managed to gross $10.6 million in North America thanks to its clear target audience. Its sharp editing and handheld camera style also found a favorable reception in the home video market, bringing in nearly $3 million from rentals and sales since early January.
On the other hand, "Final Destination" became a phenomenon in the horror genre, its value stretching far into the future.
"All subsequent rights for these two films will be handled by Embassy Pictures," Michael Davenport told George Clint in his office. "Your current task is to support Paul Greengrass and complete the pre-production planning for 'The Bourne Identity.'"
George Clint asked, "What about funding?"
Michael replied, "We'll borrow some from Relativity Entertainment for the initial costs, and we'll handle the rest as per our plan." He paused, then added, "Find two unsold overseas video rights from our film library and authorize Embassy Pictures to distribute them."
George Clint inquired further, "Are we aiming for international distribution through Embassy? Who will handle the overseas distribution for 'Kingsman' and 'Final Destination'?"
He reminded Michael, "It's been a while since these films premiered in North America, and bootlegs are already surfacing underground. The overseas situation won't be much better; we need to expedite international distribution."
Even in North America, where intellectual property rights are strongly protected, piracy can't be completely eradicated, with in-theater recordings being particularly tough to manage.
Michael was well aware of this. "Embassy Pictures' international distribution department is just getting established, and the channels are still being organized. It's not feasible to distribute films immediately," he explained. "We'll continue to license the overseas rights for these two films."
Whether for promotional impact or to address piracy issues, they couldn't afford to hold onto these films' overseas rights for too long.
Michael planned for Embassy Pictures to handle this, taking a commission as a legitimate distributor. "Kingsman" and "Final Destination" would be divided: "Kingsman" sold independently for clearer accounting, and "Final Destination" bundled with two Sandsea Entertainment video films for a package deal.
"Kingsman" was funded by the Abu Dhabi Investment Authority, while "Final Destination" was privately financed from Abu Dhabi.
Michael had some reservations about the Abu Dhabi Investment Authority and decided not to cooperate with them further after "Kingsman." Without their support, private financing in Abu Dhabi would be more challenging, and he had no desire to return there.
Of course, if wealthy individuals from Abu Dhabi wanted to come to Los Angeles to continue investing in Sandsea Entertainment films, Michael would welcome them with open arms.
He preferred overseas investments over industry insiders like Tom Cruise.
After George Clint left, Michael called Tony Koch in Germany, instructing him to send the pre-production information for "The Bourne Identity" to Koch Films for financing.
Koch Films had been thriving over the past year, attracting nearly $10 million in investments. With a Hollywood project in hand, they'd be even more appealing.
Additionally, last year's tax refund operations for "Kingsman" and "Final Destination" left Sandsea Entertainment owing Koch Films a $10 million "investment share," which Michael instructed Mary to settle within a week.
The investment had come full circle back to the German investors, saving over 30% in taxes along the way—an incredibly lucrative outcome for everyone involved.
In an era where most legal investments couldn't yield such high returns, this sweetened the deal, making it easier for Tony Koch to secure a second round of investments.
There was no downside to this arrangement.
Strictly speaking, this wasn't tax evasion but a policy by the German government to stimulate investment and financial circulation.
After faxing "The Bourne Identity" information to Koch Films, Tony Koch called Michael to discuss the project at length.
If Koch Films' financing went smoothly, not only "The Bourne Identity" but sequels for "The Purge" and "Final Destination" could follow the same model.
However, smaller investment films had lower chances of passing scrutiny.
Beyond the existing projects, Michael considered new ones. Given the constraints of funding and company size, he prioritized profitable franchises.
He repeatedly checked with the Copyright Office, dismissing many potential projects, finding that many scripts or adaptation rights had been held by the big six studios for years.
For instance, "The Princess Diaries" was based on a novel with its rights long secured by Disney.
Many scripts had been registered for over a decade before making it to the screen.
Hollywood's hierarchy left few reaching the top.
If not for meeting James Wong, Michael wouldn't believe that a tenured screenwriter would be forced to change careers due to financial struggles.
Michael adjusted to reality, developing a strategy.
One approach was hiring a professional screenwriting team to churn out his ideas into scripts, ensuring they were registered with the Copyright Office.
This wouldn't block all similar films—Hollywood had many look-alikes, like "White House Down" and "Olympus Has Fallen."
Some films could easily change form, presenting similar themes.
This was unavoidable. Even the big six couldn't monopolize the market, let alone Relativity Entertainment.
However, this would ensure Relativity Entertainment had more options.
Michael also kept an eye on the "New York Times" bestseller list for adaptable books.
Sometimes memories surfaced unexpectedly, triggered by something familiar.
His previous career in related fields exposed him to countless films and shows—domestic, Hollywood, European, action, art, horror, and even romantic erotica.
But Anderson's ordinary brain couldn't recall everything, lacking search functionality.
Michael's foresight was his greatest advantage, finding valuable opportunities among many.
Another strategy was maximizing current franchises.
"The Purge" and "Final Destination" needed sequels. "The Bourne Identity," if successful, would be a trilogy.
Could there be more value to mine?
Thinking deeply, Michael recalled a comment online about "Final Destination"—could it inspire a spoof like "Scary Movie"? One user even suggested "Death Takes a Vacation," where survivors continually escape death's clutches, frustrating death itself.
With a modest budget and successful foundations, a slapstick comedy could appeal to a broader audience than horror.
Not wanting to forget, Michael quickly noted the idea, drafting a concept to give to George Clint.
With the company expanding and projects increasing, Michael couldn't oversee every detail but focused on making decisions and guiding direction.
This project would be vetted by Sandsea Entertainment, followed by targeted market research. If viable, it would proceed to production.
A controlled budget meant even a direct-to-video release could work.
The home entertainment market was vast, with annual revenues far exceeding box office earnings in North America.
Michael swiftly assembled a five-person screenwriting team within a week. These industry strugglers had worked as ghostwriters, now under clear contracts with proper rights management.
They would turn Michael's ideas into scripts, registered by attorney Dana Ampton at Sage Legal.
Adhering to regulations minimized future copyright disputes.
Michael never underestimated greed. Many unrelated to a hit film would claim rights, let alone those involved in scriptwriting.
He also recalled several hot adaptations from his previous life but found their rights held by the big six. Attempts to negotiate were futile, leading him to abandon those ideas.
For example, "The Lion, the Witch, and the Wardrobe" rights were with Paramount, then Disney, which was planning an adaptation within a few years.
Getting the big six to relinquish valuable IPs was nearly impossible.
Michael quickly let go of unrealistic ideas, focusing on attainable projects.