Chapter 577: Acquisition of Davis Studio

They returned to the Davis Studio office.

Martin handed Louise a bottle of water and inquired, "What are your thoughts on this?"

Louise responded, "Since the mid-1990s, Pacific Pictures has been collaborating with Warner Bros. for distribution. It's been fifteen years now. Throughout this period, Warner has seen several changes in its chairman and CEO. The increase in distribution commissions is not entirely unprecedented, but previously, it usually rose by no more than 1% at a time."

Martin recalled what Nicholson had mentioned earlier. In the past, distribution commissions for major Hollywood studios, excluding publicity and distribution costs, typically accounted for around 20% of the North American box office. Nowadays, that average had risen to approximately 30%, and for certain new studio releases, it could even surpass 35%.

For Martin's recent commercial films, the revenue counted only the first two years after the film's release. The increased commission from Warner Bros. meant producers would have to allocate tens of millions of dollars more.

In North America, hiring a contract killer could cost over a hundred thousand dollars, and that was before any additional fees.

Martin explained, "Older films won't be affected much, but for new releases... 'Gone Girl' is fine, as we signed the distribution deal in mid-January. However, the sequel to 'John Wick' will be shot this year, and its box office revenue will see a significant increase, potentially tens of millions of dollars."

Louise pondered for a moment before stating, "Your studio, established just a few years ago, primarily produced films like 'House of Wax Museum,' 'The Departed,' and 'The Dark Knight,' all originally Warner's projects with copyrights still in their hands. The only films with copyrights truly in your possession are 'Wanted,' 'Limitless,' and 'John Wick.' Your overhead costs are quite low."

Martin considered her words and replied, "'Gone Girl' won't suffer much. Based on our existing agreement, you can quietly approach a few other companies for the 'John Wick' sequel. Given its performance, securing a better distribution deal shouldn't be too difficult."

Louise nodded and asserted, "Consider it done."

She then made a decision, saying, "Going forward, Pacific Pictures' business will be divided into two parts. Pacific Pictures, under your leadership, will continue participating in investment projects. As for other Pacific projects, those that can cooperate with Warner will do so, while the ones that can't can seek partnerships with different companies."

Martin added casually, "Just be cautious; I might lead you into a pit and bankrupt you."

Louise replied confidently, "I have faith in your vision and abilities." Over the past year, she had adjusted her mindset, accepting her role as the producer in charge of the projects. The financial returns, along with the satisfaction of working on Martin's projects, made it a worthwhile endeavor.

Investing in Martin's projects not only brought financial rewards but also offered both spiritual and physical gratification. Such opportunities were hard to come by.

Martin then called Chad Starsky to inquire about the preparations for "John Wick 2." The script was ready, and Chad, along with Tiger Chen, was focusing on designing action sequences. He awaited Martin's availability for filming. If love struck, he could join the crew.

Chad also reminded Martin not to slack off on daily exercises and training.

For the past few years, Martin had maintained his rigorous training regimen without needing supervision or reminders.

Having gone through the Burbank High School and Santa Monica Pier incidents, he understood well that critical moments like these could save lives.

For someone who had deceived and manipulated others numerous times, it was only natural to harbor concerns about facing similar consequences.

---

The scene transitioned to the Warner Building as another meeting concluded. Kevin Tsujihara, apart from discussing the "Hobbit" trilogy and the DC movie universe, presented a strategy to expand their film business. This strategy involved acquiring high-quality small and medium-sized production companies, a practice adopted by the six major Hollywood studios in recent years.

Warner Bros. had already executed this strategy by acquiring companies like Legendary Pictures and New Line Cinema. These acquisitions allowed Warner to absorb the film libraries of these companies, securing valuable content such as the complete copyright of the "Lord of the Rings" series.

This approach minimized the risk compared to investing in unknown new film projects, thanks to Warner Bros.' mature models and operating mechanisms in this regard.

After consulting with several key subordinates, Kevin Tsujihara drafted a preliminary list of potential acquisition targets: Castle Rock Pictures, Pacific Pictures, and Davis Film and Television Studios.

However, one person raised a concern: "Castle Rock and Pacific Ocean seem like suitable options, but isn't Davis Studio just a fledgling company founded by Martin Davis? Their film library can't be more than five films, right?"

The proposal's advocate countered, "Technically, they have only three movies: 'Wanted,' 'Limitless,' and 'John Wick.' However, don't forget that 'John Wick' is gearing up for a sequel, and the first installment earned over 400 million US dollars at the box office. It sparked a new trend in action films. The sequel, with the original cast returning, is expected to perform even better."

Pausing for effect, he continued, "Considering the rich world-building of the first film, a trilogy seems possible, and some characters, like Winston played by Mene, could even lead to spin-offs."

Kevin Tsujihara, well-informed about Martin's films, commented, "The John Wick series does indeed show promising potential."

The advocate went on to say, "Reliable information suggests that besides 'Gone Girl,' Martin has acquired the film adaptation rights for two novels, 'Prince of Thieves' and 'The Martian.' Judging by his successful track record in recent years, these two adaptations also appear highly promising."

Kevin Tsujihara concluded, "These three companies are pushing forward with the acquisition review process as swiftly as possible."

While the CEO wielded significant power, certain constraints existed. After the meeting, Warner Bros.' relevant departments promptly initiated data collection and evaluations for the three targeted companies to gauge their future prospects.

---

As Gavin Newsom departed Los Angeles, Jennifer Siebel remained behind. The first lady of San Francisco reached out to Gene Lee, a director she had previously collaborated with, and together they arranged a meeting with Martin at the Davis Studio.

Siebel introduced Keane Lee to Martin, stating, "Keane is both a director and a screenwriter. I believe he's an excellent scriptwriter."

Martin wasted no time and asked, "May I have a look at the script?"

Siebel replied, "Certainly."

Keane-Lee handed Martin a printed copy of the script, noting, "This one's specifically prepared for Jennifer."

Martin accepted it and said, "Please give me a moment."

He requested coffee and began reading the script titled "Romantic Trouble." As the title implied, it was a romantic comedy primarily revolving around a heroine named Jennifer.

Tailored indeed, even sharing the same first name.

The plot was intriguing. The protagonist, Jennifer, had a new boyfriend, yet during intimate moments, she consistently imagined herself with her ex-boyfriend, engaging in conversations with him.

As Martin sat down to examine the script, it became evident that the screenwriter had woven numerous nude scenes into the narrative for the leading lady.

Having extensive knowledge of Hollywood, Martin easily deduced that Jennifer Siebel would be required to disrobe in these sequences. While such scenes were common for Hollywood actresses, Jennifer had another public identity to consider.

Martin felt the need to clarify, "Jennifer, are you cast as the heroine?"

Jennifer responded with a smile, "Certainly, this play was custom-tailored for me by Keane."

She demonstrated her shrewdness, understanding Martin's unspoken concern, and continued, "Gavin thoroughly reviewed the script and endorsed my role as the heroine, believing it has the potential to become an artistic masterpiece."

Nodding, Martin closed the script and handed it to Keane-Lee. He inquired, "Have you estimated the budget required for the production?"

Keane-Lee, well-prepared for this question, presented a detailed shooting plan, stating, "I've meticulously planned every aspect. With Jennifer as the lead and no need for additional star power, we can comfortably manage it within a $5 million budget."

Although he wasn't investing his own money, Martin diligently reviewed the plan and remarked, "The plan looks solid."

He couldn't personally execute all the details but had read enough scripts to offer a rough assessment of their substance.

Keane-Lee modestly smiled and said, "I've completed several works, although none have made it to theaters yet."

Martin tucked away the plan and assured, "I'll have our company conduct a professional evaluation. Please allow a few days, and I'll notify you once we have news."

Siebel had waited a long time for a chance to be the leading lady and was willing to be patient for a few more days. She expressed, "My biggest wish right now is to complete a project as the heroine. Whether it ends up in theaters, on TV, or on the Internet, as long as it reaches the audience, I'll be content."

Martin reassured her, saying, "Theatrical distribution might be challenging for this type of film. It involves significant costs for finding a distribution company and marketing, which might result in losses."

He was still looking out for potential investors.

Sibel stood up, smiled, and shook Martin's hand, stating, "I'm placing my trust in you."

Martin gently shook her hand and responded, "Await my call."

The two left behind a copy of the script and the plan and exited the room.

The so-called evaluation mainly fell upon Martin's shoulders. He began by contacting Thomas to explore the possibility of involving young actors in the project. Following that, he informed Wu Maoting about the available opportunity.

Shortly thereafter, Wu Maoting arrived at Davis Studio and examined the script and plan provided by Martin. Martin preemptively addressed the investment, stating, "The budget for this project is approximately $5 million, and it carries some risks. Theatrical distribution might be challenging, so we'll explore TV stations or online streaming platforms depending on the situation."

Wu Maoting swiftly reviewed the materials, recognizing this as an opportunity to demonstrate his sincerity. After all, he had previously switched from Davis Studio and Pacific Pictures to Warner Pictures, which didn't end well.

Wu Maoting declared, "I'm fully committed to investing in this project!"

Martin shook hands with him, affirming, "Davis Studio will do its utmost to ensure its success."

This project was an unfamiliar territory for Martin, one without any recollection of past experiences, making it an exploration.

With the project solidified, Martin, through Thomas, enlisted a reliable producer to oversee its development.

His attention then briefly shifted to the Oscars.

At the annual Oscar nominees luncheon, Martin received yet another Best Actor nomination for "Benjamin." Alongside him, David Fincher secured a nomination for Best Director.