MickeyXtreme's News Archive December 1-2 2006

Saturday December 2, 2006

Decorating tips from a Disney pro
Disney Steadily Building Video Gaming Business
For Disney, Something Old (and Short) Is New Again
Escape Artist
More deals to get done at Disney?

Christmas lasts nearly 365 days a year for some people.

The crew responsible for holiday decorations throughout the Disneyland Resort in Anaheim, Calif., begins work on Christmas decorations in January.

So we figured these designers have learned a trick or two about trimming Christmas trees.

David Caranci, manager of resort enhancement (yes, that's his real title), shares some tree-decorating tips:

1Pick a theme and follow it through the tree and the house. Easiest choice is to go with the theme of your house.

The huge tree at Paradise Pier Hotel in the Disneyland Resort is decorated, natch, in an ocean theme, with fish and jellyfish throughout.

2Customize trees for your kids. Take some of your kids' own toys — those McDonald's Happy Meal trinkets are ideal — and hang them with ribbons and bows.

For a teens' tree, take a pack of blank CDs and hang each of them with ribbon or hooks; the silvery discs reflect light beautifully. You can also download photos of their favorite stars and stick them on the CDs.

3Use LED lights. At the store, they'll cost more than the traditional mini-lights, but you'll enjoy huge savings over time in electricity and light-replacement costs. The LEDs use less power and last longer than standard lights.

The 30-foot tree at Disney's California Adventure park is lit with 10,000 LED lights running on just two 20-amp circuits, according to Caranci.

4Don't be skimpy. Use 100 lights per foot of tree. Also, start by wrapping the lights around the pole or center of the tree first, and then go out, up one side of each branch and back.

5Let it glow. Put the lights on the tree before flocking for a glowing snow effect.

6Pack your tree, from the inside out, with ornaments. Hang larger ornaments near the center of the tree, and use smaller ornaments as you come out. This will make your tree look full and dense.

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Disney Steadily Building Video Gaming Business

The strategy of the Walt Disney Co. to build its video gaming business has begun to pay off at its Buena Vista Games division.

Steadily over the past year and a half, the Burbank-based media and entertainment giant has acquired or started game development studios, the newest being Fall Line based in Salt Lake City.

In the coming year, the company intends to pump additional money into the division to meet the goal of Chief Executive Officer and President Robert Iger to create a significant games business.

As Buena Vista Games grows and Disney executives see the success generated by games for personal computers, Sony and Nintendo game systems, more investment will be put behind it.

“What you are seeing is the continued evolution of our business to becoming a full fledged publisher across current and next generation platforms and with a stronger in-house creative capability,” said Graham Hopper, vice president and general manager of Buena Vista Games.

In a conference call in November to report Disney financial figures for the completed 2006 fiscal year, Iger and Chief Financial Officer Tom Staggs said the company would invest up to $30 million more in 2007 in the video gaming business, an increase of 30 percent over 2006.

In the next five to seven years, the company looks to spend $350 million, the pair said.

Disney’s strategy has been to grow its games business “organically,” Iger said in the conference call, through low-cost acquisitions rather than buying a large existing games publisher.

Action by the company bears out that strategy.

In September, Disney acquired Climax Racing, a London-based creator of racing games. Buena Vista also operates Propaganda Games, a studio it launched in Vancouver; and Avalanche Software, another Salt Lake City studio purchased in 2005.

A half dozen staff members from Avalanche will provide the nucleus of the Fall Line team, which will be headed by Scott Novis, a former general manager with Rainbow Studios.

The two Utah studios will share back-office operations, Hopper said.

“The two of them have their distinct personalities and their own distinct focus,” Hopper said.

Avalanche Software develops games for the PlayStation3 and Xbox360 game systems.

Games developed by Fall Line will be exclusively for Nintendo systems and be based on Disney characters and situations from its films and television shows.

The move to form another in-house development studio shows that Buena Vista Games is being aggressive and building its creative staff in a reasonable manner, said P.J. McNealy, an analyst on the video gaming industry in the Boston office of American Technology Research.

On paper, the new studio looks good because of the talent it can attract, McNealy said.

Opening a separate studio flies in the face of steps other game publishers have taken.

“We are seeing a movement to consolidate studios into big mega-studios, along the lines of what (Electronic Arts) is doing and Buena Vista isn’t necessarily following that plan,” McNealy said.

Fall Line general manager Novis will be familiar with putting Disney characters into the video game world as his former studio was responsible for the “Cars” game based on the Disney/Pixar film.

Rainbow Studios is a division of Agoura Hills-based video game publisher THQ Inc.

THQ is contracted to produce games based on the next four Disney/Pixar films and the formation of Fall Line will not change the relationship between the two companies, Hopper said.

Disney and THQ have had a longstanding partnership and the new Fall Line Studio will produce games taking advantage of the vast catalogue of Disney-created content, McNealy said.

“That’s a different mandate than trying to up end the existing Disney and THQ relationship,” said McNealy, who follows THQ as an analyst.

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For Disney, Something Old (and Short) Is New Again

Moviegoers who have become inured to pre-show car ads and trivia quizzes may soon get something old enough to seem new: cartoon shorts.

After a hiatus of nearly 50 years, Walt Disney Studios is getting back into the business of producing short cartoons, starting with a Goofy vehicle next year. The studio has released a few shorts in recent years — “Destino,” “Lorenzo” and “The Little Match Girl” — but those were more artistic exercise than commercial endeavor. The new cartoons, by contrast, are an effort by a new leadership team from Pixar Animation Studios, now a Disney unit, to put the Burbank company back at the forefront of animation with a form it once pioneered.

“The impetus comes from John Lasseter, who takes the idea from Walt Disney and 100 years of film history,” said Don Hahn, producer of “The Lion King” and “The Little Match Girl,” in a recent interview at his studio office. “Shorts have always been a wellspring of techniques, ideas and young talent. It’s exactly what Walt did, because it’s a new studio now, with new talent coming up — as it should. I think the shorts program can really grow this studio as it grew Pixar, as it grew Walt’s studio.”

Although audiences today are more familiar with his feature films, Walt Disney’s reputation was originally built on shorts. In the 1930s “A Mickey Mouse Cartoon” appeared on theater marquees with the titles of the features, and Disney won 10 Oscars for cartoon shorts between 1932 and 1942. He used the “Silly Symphonies” to train his artists as they geared up to create “Snow White and the Seven Dwarfs.” But after World War II Disney phased out short cartoons because of rising production costs and the minimal amount theater owners would pay for them.

Mr. Hahn said the new shorts would be screened in theaters along with Disney films. “You pay your 10 bucks to see a movie,” he said, “and you get a surprise you hadn’t counted on.” The new shorts will be done in traditional 2-D animation, computer graphics or a combination of the two media, depending on the story and the visual style.

This is not the first attempt at such a revival. Warner Brothers, for example, tried to bring back the classic Looney Tunes characters in new shorts in 2003, but they proved unsuccessful and most of them were never screened theatrically.

Chuck Williams, a veteran story artist who will produce the new films for Disney, said they do not have to become a profit center in order to perform a real commercial function.

“They allow you to develop new talent,” Mr. Williams said in an interview at the Disney studios. “Shorts are your farm team, where the new directors and art directors are going to come from. Instead of taking a chance on an $80 million feature with a first-time director, art director or head of story, you can spend a fraction of that on a short and see what they can do.”

It is not surprising that Mr. Lasseter is using short films to train and test the artists: he and his fellow Pixar animators spent almost 10 years making shorts, learning how to use computer graphics effectively before they made “Toy Story”and the string of hits that followed. Pixar continues to produce a cartoon short every year, and has won Oscars for the shorts “Tin Toy,” “Geri’s Game” and “For the Birds.”

Four new shorts are in development at Disney: “The Ballad of Nessie,” a stylized account of the origin of the Loch Ness monster; “Golgo’s Guest,” about a meeting between a Russian frontier guard and an extraterrestrial; “Prep and Landing,” in which two inept elves ready a house for Santa’s visit; and “How to Install Your Home Theater,” the return of Goofy’s popular “How to” shorts of the ’40s and ’50s, in which a deadpan narrator explains how to play a sport or execute a task, while Goofy attempts to demonstrate — with disastrous results. The new Goofy short is slated to go into production early next year.

The idea for “Home Theater” came from the experience Kevin Deters, one of its two directors, had buying a large-screen TV. “For years I’ve been saying to my wife, let’s get a nice, large TV, because I’ve been suffering with a 30-inch screen,” he said. “She finally acquiesced around the time of the Super Bowl. When we went shopping, we discovered the stores had ‘Delivery in Time for the Big Game!’ and similar promotions, some of which appear in the film.”

Over the years the studio has tried unsuccessfully to update the classic characters. Mr. Deters and his co-director, Stevie Wermers, for instance, unhappily recalled “Disco Mickey,” the 1979 album that suggested the trademark mouse could boogie like John Travolta. The cover featured Mickey in a white suit and open shirt, swinging his hips.

“You don’t want to put Goofy on a skateboard,” Mr. Deters said. “There’s no reason to attempt to make him hip and cool. Goofy isn’t cool. He’s the ultimate domesticated man, as the ‘How to’ shorts showed. I relate very well to him as the guy who’s sort of a schlub on his couch.”

“How to Install Your Home Theater” will be made with a fairly small crew: despite the triumph of computer animation, Disney still has a number of talented traditional animators who are eager to draw again.

“The Goofy short will be very funny, but we won’t have to spend a lot of money and time on it, which won’t diminish it one bit,” Mr. Hahn said. “Obviously there’s a financial component to these films. We have to make them responsibly. But the big investment is for the long haul. We’re saying we believe in new talent and new techniques, and they’ll pay dividends in 10 to 20 years, just as we’re reaping the benefits now from the investment we made 25 years ago, training John Lasseter and Andrew Stanton and Tim Burton and John Musker and Ron Clemmons.”

Disney also intends the new talent to reflect an increasingly diverse work force. For most of its 100-year history American animation has been the creation of male artists, a situation that is slowly changing.

“It’s kind of shocking to realize that once the Goofy short gets made, I’ll officially be the first woman director at Disney Feature Animation,” Ms. Wermers said. “Considering that probably more than 50 percent of the audience for the short will be female, because of moms taking the kids, there should be more female voices out there.”

Ms. Wermers is not alone in her sense that Mr. Lasseter and his fellow Pixar alumni are already having an impact.

“I feel Disney is a very different place than it was a year ago,” said Chris Williams, a story artist who is developing “Golgo’s Guest” and “Prep and Landing,” “and the shorts program is just part of that. It’s become a very exciting place to work.”

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Escape Artist

Walt Disney Pictures must be the most enduring entertainment brand ever created. Look at the studio’s peers, all forged, like Disney, in the 1910s or ’20s. What does it mean, many decades later, to be a Warner Brothers picture, an MGM film or a Paramount movie? Who cares anymore that one was once the home of Humphrey Bogart and Bugs Bunny, another of Judy Garland and Gene Kelly, the third of Preston Sturges and Hope and Crosby? As brands, the studios are meaningless to most contemporary audiences, of interest only to people who can hear melodies in the names Rupert Murdoch and Sumner Redstone. Disney, however, is still Disney. When my mother was a little girl, she knew what she was getting with a Disney picture. So did I when I was a kid. And so do my kids today (although, at the ages of 10 and 8, they’re now more interested in the tween shows on the Disney Channel). And what were/are we getting? Wholesome family entertainment with cheerful humor, wisecracking sidekicks, happy forest creatures, scary parts, some occasionally disturbing psychological or social implications, and often — this is the part my mom, the softy, has hated her whole life — a dead animal. Plus a sentimental ending. While the recipe has coarsened in the hands of the studio’s more recent stewards, the basic idea remains.

But you, most likely being one of the vast majority of the world’s citizens who at some point in their lives have seen a Disney feature or short or TV show, already knew that. A subject you probably know less about is the man who built the studio and gave it his name: Walter Elias Disney, the subject of Neal Gabler’s meticulously researched, sometimes engrossing, sometimes illuminating, sometimes wearying biography. Forty years after his death at the age of 65 from lung cancer — he was a heavy, lifelong smoker — the man himself has largely receded. Those of us old enough remember the midcentury mustache and the warm but ragged “Uncle Walt” voice, familiar from his gig as host of his “Wonderful World of Color” TV show. Otherwise, he’s the George Washington of popular culture: familiar but indistinct, ubiquitous but remote. Like his most famous but oddly personality-less creation, Mickey Mouse, Disney became a talking, moving logo. He himself was complicit in this, at once fostering it and resenting it. Gabler quotes him telling a colleague: “I’m not Walt Disney anymore. Walt Disney is a thing. It’s grown to become a whole different meaning than just one man.”

The job of his biographer, of course, is to grapple with both the meaning and the man. And grapple Gabler does, over the course of 633 pages of text and another 218 pages of appendix, source notes, bibliography, acknowledgments and index, but Disney proves a tough nut to crack. Perhaps because he and his works loom so large in nearly every living American’s childhood imagination, the lap for our national story time, he often seems to have been preserved in bland, archetypal amber. As Gabler writes in his introduction, “There was always something in Disney that pegged him not just as a populist but as peculiarly American, and though an early biography of him was subtitled ‘An American Original,’ he was less original in many respects than quintessential.” This is a kinder, less condescending echo of what Disney’s first serious biographer, the critic Richard Schickel, wrote about him shortly after his death: “To me, Disney was a type as well as an individual, and part of his fascination for me was that he was a type that I have known and conducted a sort of love-hate relationship with since I was child — the Midwestern go-getter.” Gabler and Schickel both have a point, but let’s face it: typecasting doesn’t set the stage for incisive biography. Neither does Gabler’s subtitle, “The Triumph of the American Imagination,” so broad and generically uplifting as to be meaningless; it could be the name for one of those World’s Fair-style corporate propaganda pavilions at Disney World’s Epcot, promising a Disney no fleshier than one of his beloved “audio-animatronic” robots. Great Moments With Mr. Disney — presented by Monsanto!

Gabler’s book is much, much better than that, which won’t be surprising to his previous readers. A veteran journalist and critic, he is the author of “An Empire of Their Own: How the Jews Invented Hollywood,” a now-classic study of early Hollywood seen as a drama of assimilation, with the studios’ all-American secular myths a kind of bulwark against anti-Semitism. His follow-ups were a definitive biography of Walter Winchell and a book-length essay called “Life the Movie: How Entertainment Conquered Reality.” While Disney isn’t exactly virgin territory for biography, criticism and general rumination, Gabler has gone the extra mile, interviewing dozens of Disney’s still-living colleagues and snuffling through every last box and shelf, he says, of the Disney corporate archive. “Scholars are fortunate,” he writes, “that Walt, who practically from childhood had an inflated sense of his own importance, seemed to keep everything ... and the archive has retained nearly all of this detritus. ... I endeavored to read every letter, memo, story-meeting transcript, financial ledger, chart, desk diary, annotation and doodle.” We should ask no less of a scrupulous biographer, I guess, but one of this book’s flaws is that the drama of Disney’s life — and there was a lot of it — is sometimes lost in, or slowed down to a crawl by, dense thickets of minutiae. For instance, you may be surprised to know that despite employing such hard workers as Mickey Mouse, Donald Duck, Snow White, Dopey and Bambi, the Disney studio had limped along financially, frequently teetering on the edge of ruin, from its founding in 1923 until the grand opening of Disneyland’s cash-flow faucet in 1955. But, if you are like me, you will probably not want to read about every loan, every capitalization, every renegotiation with the Bank of America.

Arguably, there is no more important figure in American popular culture. Only adequately gifted as a cartoonist and animator, as a producer and studio head he was the goad that turned animation from a crude entertainment into an art form; he was as well the auteur behind some of Hollywood’s most enduring works. (“Our product is practically eternal” is how his brother and business partner, Roy, who wore the green eyeshades in the family, put it in an interview with The Wall Street Journal.) Walt drove himself and his animators mercilessly, pushing the boundaries of the medium, demanding greater and greater realism and ever richer expression. He produced the first cartoon to take full advantage of synchronized sound (Mickey Mouse’s 1928 debut, “Steamboat Willie,” a bigger risk than it might seem in hindsight, since at the time no one knew whether audiences would accept voices coming from drawings); the first color cartoon (“Flowers and Trees,” 1932); the first cartoon feature (“Snow White and the Seven Dwarfs,” 1937); and that singular melding of high-, low- and middlebrow culture, “Fantasia” (1940), a bonkers masterpiece that pushed the medium to the brink of abstraction. Not a bad 12-year run.

For a time in the ’30s the studio was a near-utopian animation academy, a kind of grove of cartooniana. Gabler quotes Disney growling at a storyman who asked if the studio was taking full advantage of the medium: “This is not the cartoon medium. It should not be limited to cartoons. We have worlds to conquer here.” Still, though he claimed authorship of all his creations in the public eye, it was sometimes hard even for insiders to explain what, precisely, Disney did. “Walt himself compared the cartoons to a symphony,” Gabler writes, “with him as the conductor who took all the employees — the storymen, the animators, the composers and musicians, the voice artists, the ink and paint girls — and got them to ‘produce one whole thing which is beautiful.’ ” At other times Disney likened himself to a bee, dropping his loads of pollen here and there around the studio.

Aside from pushing for technical advances, he was also the studio’s best storyman, pushing equally hard to get the narratives right, famed among his employees for acting out scenes with hammy abandon. The notes from a “Snow White” story meeting give a sense of what a Disney performance could be like at its most engaged: “Birds disturb dwarfs at work — ‘The Queen!’ Wham! Over rocks — thru’ the trees — swing on vines — ‘Tarzan’ to the rescue — slip off log over stream — down cliffs — sandbanks — see Queen beating it. ... Dwarfs back at house — ‘Too late.’ Pull hats off — one leads in prayer — Sobbing pierces hush — all weep and sob.”

The making of “Snow White” was probably the climax of his creative life, and in the telling it’s the highlight of Gabler’s book, with Disney a Patton in sweater vests, exhorting his troops further and further toward perfection, nearly breaking the studio’s back in the march to complete what could have been a folly. “Walt lived every sprocket hole of this film,” one animator said. “It was the love of his life at that time,” said another. Fortunately, the passion paid off. At the Los Angeles premiere, Clark Gable and Carole Lombard teared up along with the dwarfs while Snow White lay on her funeral bier. Critics loved the film, non-movie-star audiences too, and it would go on to gross a record $6.7 million. But after “Pinocchio” and “Fantasia” sank at the box office, and the harmony of the studio was shattered by a 1941 strike, the wind went out of Disney’s sails as a filmmaker. For the rest of his life, with a few exceptions, making movies was a job.

Should “Walt Disney” have been subtitled “The Taming of the American Imagination”? This is one of the main raps against Disney, that he sanded down the rough edges of childhood narratives, of folk and fairy tales and more personal works like “Peter Pan,” until there was nothing left but smooth, bland surface. This perception prevails, I think, largely because his legacy as a filmmaker has been colored by the merely competent and sometimes drecky fare his studio turned out later in his life — the lesser animations, the dopey live-action comedies and tear-jerkers. “We’re making corn,” he told a studio artist in the ’60s. “But it’s got to be good corn. Let’s make it the best we possibly can” — a far piece from the producer who had worlds to conquer. Even more to the point, his films have probably been overshadowed by the theme parks, the passion of his later years, in which he and his corporate heirs came as close as anyone could to the odd but lucrative goal of perfecting ersatzness. But the perception of Disney as the Great Homogenizer, or what Robert Hughes once called “the Old Master of masscult,” doesn’t reckon with the richness of his early and best work, the dark, dangerous, unstable world of “Snow White” or the weird nightmare that is “Pinocchio,” where boys turn into donkeys and loved ones are swallowed by whales. Disney took somewhat rudimentary forms, at least with fairy tales, fleshed out their psychology and, perhaps even more important, added humor. I’ll say it if no one else will: Disney’s “Snow White” is scarier and funnier than the Grimms’, even 70 years on. Also, not that “everyone does it” is a defense, but Disney was hardly alone in giving source materials a good Hollywood spackling.

Though Gabler superbly shows how the pictures got made, he doesn’t really bring the films themselves to life. His main analytic feat is to provide a psychological through-line for Disney’s art and career: that as a reaction to a deprived childhood in which he bounced around the Midwest while his dour, demanding, anhedonic father failed at one occupation after another — “I was working all the time,” Walt once said of his youth. “I mean, I never had any real playtime” — he spent the rest of his life craving both escape and control, and that he melded those two possibly conflicting impulses into his rigorously constructed fantasies and fantasylands. At times, though, Gabler rides this theme a little too hard, running in tight rhetorical circles like a collie trying to corral a lowing, restless herd of cattle. Sometimes, too, the effort can lead to baggy writing: “It had always been about control, about crafting a better reality than the one outside the studio, and about demonstrating that one had the capacity to do so. That was what Walt Disney provided to America — not escape, as so many analysts would surmise, but control and the vicarious empowerment that accompanied it.” Sure. But, so broadly put, isn’t this true of Hollywood in general, and, for that matter, pretty much any kind of art, period?

If Gabler’s Disney can seem both elusive and the trim sum of a few neon parts, maybe that’s because the scope and impact of the achievement are so broad while the protagonist himself is frustratingly narrow. A problem with the book — and it’s Disney’s fault, not Gabler’s — is that Disney, the man, isn’t the best companion for a 600-plus-page marathon. Largely friendless, moody, impatient, not much interested in sex or acquisition, increasingly unpleasant and imperious as he grew older, he was a workaholic and not, it seems, much else. “No matter what you were talking about, he’d get back to this goddamn studio,” Ward Kimball, one of Disney’s greatest animators, was once quoted as saying. “He wanted to talk about it. This was him. This was his sex! This was everything. ... The orgasms were all here.” (Gabler provides a nice snapshot of Disney’s lukewarm marriage when he quotes the wife, Lillian, during the period Walt was in heedless thrall to “Snow White”: “I can’t stand the sight of dwarfs. ... I predict nobody’ll ever pay a dime to see a dwarf picture.”) At the same time, Disney was opaque even to colleagues he was in the trenches with. “He never made his motives clear,” one key employee said. “When I added up 30 years of employment, I found I understood him less at the end.” Gabler paints a vivid portrait, and a generous one in comparison with those of some earlier biographers, but in the end it’s a vivid portrait of a cold fish.

Though his wife and two daughters were attentive during Disney’s final illness, he happened to die alone. Gabler quotes one of his nurses writing to the family afterward: “I took care of Walt in his final days, and just want you to know that the poor man was so fearful.” How bizarrely cruel to take the effort to point that out, but maybe she thought she was sticking up for him. By the end of the book, though, even his biographer seems tired of him. Gabler finishes his volume with a description of the Forest Lawn plot where Disney’s ashes are interred — no, he wasn’t frozen — and then concludes with, at least as I read it, the slightest hint of a sneer: “Walt Disney had at last attained perfection.” Who would have thought the story of Uncle Walt would end with such a chill in the air?

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More deals to get done at Disney?

Baseball executives begin gathering at Disney World tomorrow in Lake Buena Vista, Florida.

Each general manager hopes the annual winter meetings are the start of a trip to the Magic Kingdom - next fall's World Series.

A year ago it started for Detroit Tigers GM Dave Dombrowski in American Airlines lost baggage line at Palm Springs. Dombrowski found his bags eventually and a way to get the Tigers to the World Series for the first time since 1968 before losing to the St. Louis Cardinals.

A year ago the Blue Jays were prime-time shoppers landing the best closer available (B.J. Ryan) and the most in-demand starter (A.J. Burnett).

GM J.P. Ricciardi has signed the best DH available (Frank Thomas), re-signed catcher Gregg Zaun and signed infielder Royce Clayton, but there is more work to do.

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Friday December 1, 2006

Disney expected to cut up to 160 animation jobs
Euro Disney bid claim faces AMF probe
Mickey Mouse Penthouse Debuts For "Big Cheeses" of All Ages Beginning in December 2006
Disney says movie theaters to survive tech attack
Ranut Disney-Themed MP3 Player: Good For Kids, Lousy For You
Sacramento to Host Fab Five Signing
Grammy Award-winning singer Beyonce stars in Walt Disney World Christmas Day Parade
For tweens, it's back-to-school night as Disney phenomenon hits the stage
Where is Walt Disney when we need him?
ABC Radio Features Disney Theme Parks During Two Holiday Shows
Microsoft, Disney Dominate Corporate Media Coverage, Wal-Mart Drops To Fifth
Comcast's C-TV: Channeling Disney
ABC Reigns As Sweeps King
Producer sues over Patient film
Patrick Henry Hughes wins Disney award
Soldier's kid to Disneyland

Disney expected to cut up to 160 animation jobs

Walt Disney Co. on Friday said it would cut jobs in its animation unit as the media company sought to be flexible in timing of its films.

A company source said that about 20 percent of a work force of about 800 animators and other workers -- roughly 160 people in the Southern California unit -- would be affected.

Pixar, the computer animation unit acquired by Disney, was seen avoiding cuts as it had an "appropriate number of employees," the source said.

A union representative said Disney animators expected cuts to be focused on those who make the movies, as opposed to designers.

"Most of the cuts will come in the production end," said Animation Guild Business Representative Steve Hulett.

"After a careful review process, the management team at Walt Disney Animation has determined that each film will dictate its own appropriate production schedule. The result of this necessitated a reduction in staff," the Disney statement said.

Hulett said that Disney was lengthening the amount of time it takes to make movies to 18 months from 12 months.

Studio Chairman Dick Cook was not available for comment.

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Euro Disney bid claim faces AMF probe

AMF, regulator of Euronext Paris, said it has launched an investigation into the announcement by recently-listed Swiss company Center-Tainment AG that it plans to launch a bid for Euro Disney SCA, L'Agefi reported.

'We have received nothing from the company. We have opened an inquiry,' the financial daily cited the AMF as saying.

Ulf Werner, chairman of Center-Tainment AG, said at a news conference in Paris yesterday that his company will launch a bid in coming days' and he would notify Paris bourse regulator AMF yesterday of his intentions.

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Mickey Mouse Penthouse Debuts For "Big Cheeses" of All Ages Beginning in December 2006

Beginning Dec. 1, 2006, Disneyland Hotel at Disneyland Resort in Southern California will boast an unique, and certainly one of the most "Disney," VIP lodging experiences in the world – the all-new Mickey Mouse Penthouse. Designed for "big cheeses" of all ages, the penthouse offers spectacular views of the 500-acre resort (including Disneyland park, Disney's California Adventure park and the Downtown Disney District) via floor-to-ceiling windows. Guests will also experience a happy mixture of luxury, technology and whimsy including one-of-a-kind décor, artwork and magical touches that bring to life all the fun that Mickey represents.

Eligible guests and mail-in participants will be selected randomly as part of the unique Disney Dreams Giveaway promotion during the "Year of a Million Dreams" celebration at Disneyland Resort. An overnight stay in the over-the-top penthouse - that includes a meet-and-greet with Mickey Mouse, dinner at the famed Blue Bayou restaurant and being grand marshal of a Disneyland parade - is one of the dream surprises awarded most days beginning Dec. 1 to a Disneyland Resort guest who is randomly selected by early afternoon (visit disneyparks.com/rules for more information). Mail-in winners will receive a prize of comparable value.

The swanky penthouse, featuring an interior design of "Mickey's" signature colors of black, white, red and yellow, occupies an expansive 1,600 square feet and includes an open living room, dining and kitchen area, two bedrooms and two and-a-half bathrooms. Classic Mickey Mouse imagery and three-dimensional artwork dominate the design scheme throughout the penthouse. Photos and sketches from the Disney library, featuring images of Walt and Mickey rarely seen by the public, are prominently displayed.

As guests enter, Mickey will magically appear inside a foyer magic mirror, personally welcoming them to this one-of-a-kind penthouse. In the living room, guests will encounter very stylized contemporary décor featuring eclectic furnishings and motifs of Mickey. A giant impression of Mickey Mouse fills the ceiling above, as glowing lights enhance the mood of the room. Hardwood floors and colorful area rugs accent the living room while the formal dining area seats eight guests. A built-in media wall is the focal point of the living room and features three flat screen TVs and a state-of-the-art home theater system worthy of Mickey's status as one of Hollywood's brightest stars.

The master bedroom features a number of luxury amenities including a king-size bed, lounge chairs, a 37" flat panel TV and a DVD player, and is decorated with animation maquettes of Mickey Mouse in many of his most famous film roles. (Maquettes are three-dimensional models used by Disney animators to effectively render a character in two dimensions and are highly sought-after collectibles). The master bath includes a steam shower, Jacuzzi tub and a double vanity with a built-in TV in the mirror. Unique glass tiles on the shower walls bring the magic of Mickey Mouse to life as the familiar image of Mickey appears only when the warm water of the shower hits the tiled wall.

The second bedroom has a playful feel and is the perfect setting for little ones who wish to have the locale double as a playroom. The main "conversation piece" in the room is a cutting edge animator's station, a high-tech table that adds to the Mickey Mouse and animation-inspired storyline. The desk will help budding artists take sketching to a whole new level as they draw their favorite character and watch it come to life through the magic of Disney technology. The bedroom also features a Mickey Mouse built-in armoire with a flat panel TV, DVD player and video games.

"These special guests will feel extremely pampered in this unique, magical interior environment," said Wing Chao, executive vice president, Master Planning, Architecture and Design, Walt Disney Imagineering. "We want guests to walk away saying, 'This was a dream come true.' "

The Mickey Mouse Penthouse is just one of the highlights of the "Year of a Million Dreams" celebration that began on October 1. For 15 months, Disneyland Resort will celebrate dreams coming true, making literally millions of dreams, large and small, come to life for eligible guests. Many money-can't-buy experiences—from exclusive Dream FASTPASSES for popular Disney attractions to around-the-world vacations or a stay in the special Mickey Mouse Penthouse at the Disneyland Hotel—will be awarded at random. Throughout the celebration all guests are able to meet and play with Disney Princesses at Disney Princess Fantasy Faire, duel with Darth Vader at Jedi Training Academy, create mayhem with Pirates in New Orleans Square and join in the fun of the High School Musical Pep Rally. The "Year of a Million Dreams" continues throughout 2007.

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Disney says movie theaters to survive tech attack

Theatrical releases of movies will withstand the onslaught of new formats for watching film, from computer downloads to high-definition discs, Walt Disney Studios Chairman Dick Cook said on Thursday.

Cook expected to see studios experiment with making hit movies available for Web download earlier, but he believed the "window" between theatrical and DVD releases would not change much anytime soon.

"The theatrical experience is still the most important experience in the pipeline," Cook told the Reuters Media Summit in New York. "I don't see much shrinking (of windows) in the foreseeable future. We are comfortable where it is now."

Walt Disney Co. (DIS.N) Chief Executive Bob Iger set off a storm of protests from movie theater owners last year when he suggested that the window could one day collapse, making movies available simultaneously in theaters and on DVD.

Cook's comments that he saw no significant change to the window -- already down to about 4-1/2 months from 6 months -- echoed other speakers at the summit, including Blockbuster Inc. (BBI.N) CEO John Antioco, Netflix Inc. (NFLX.O ) CEO Neil Hunt and Regal Entertainment Group (RGC.N) CEO Michael Campbell.

A host of technologies are expected to improve movie watching outside theaters, but one of the most anticipated, high-definition DVDs, is having trouble as all the competing technologies tend to confuse consumers, Cook said.

"It seems like so much of this is going to be happening at the same time," Cook said. "The confusion factor is, I think, something that we are going to be living with for a long time. The marketplace will decide, but you hope it's sooner rather than later."

Earlier this year, Disney laid off about 20 percent of its studio workforce and said it would make fewer movies but more Disney-branded films in an effort to turn the division around. Before that, it had not marked a profit rise in four quarters.

Cook said the studio was still considering to what extent to use private equity investment as a hedge against the risks the studio is taking in making more big-budget films.

Disney also hopes 3D films will help invigorate the theater experience, and aims to announce its first release of a live-action 3D film next year, Cook said.

Cook said Disney had slipped from being the leader in the animation market before it bought Pixar because of the technologies it used and the movie subjects it choose.

"We got away from musicals, we got away from fairytales, we got away from all-audience kinds of movies," he said. "I think it showed in audiences. You know they're never wrong."

These shortfalls were exacerbated by the fact it takes three to four years to make an animated movie.

"So you can lose a decade in a blink of an eye," he added.

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Ranut Disney-Themed MP3 Player: Good For Kids, Lousy For You

Over in Japan, Ranut is releasing a line of Disney-themed portable music players built around 256MB of flash memory. Granted, 256MB can effectively be rounded down to 0MB for most of us here, but your kids might still get a kick out of it. Other than being branded with familiar Disney characters like Minnie Mouse, it's pretty much a bare-bones, by-the-numbers MP3 player. Oh, and supposedly it only works with Windows. Looks like a winner for sure.

In this iPod and (if Microsoft has its way) Zune-dominated world, is there any room left for the little guy, especially when it relies on cartoon characters to generate sales? I'd take the under, personally.

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Sacramento to Host Fab Five Signing

Northern Californians will have a rare opportunity to meet the voices and talents behind the world’s most famous Walt Disney characters at this once-in-a-lifetime event. On December 2nd, noon to 4pm, the voices of Mickey, Minnie, Donald, Goofy and Pluto will all be on hand to unveil “Arriving in Style,” Disney’s first official lithograph portraying the Capital City. Commissioned by Disney’s Collector’s Edition, the painting was brilliantly created by Disney artist Manny Hernandez, who will also be on hand to sign limited edition lithographs. The event is open to the public and the cost for entrance into the Sacramento Railroad Museum is $8 for adults, $3 for kids aged 6 – 17, 5 and under free.

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Grammy Award-winning singer Beyonce stars in Walt Disney World Christmas Day Parade

Grammy Award-winning singer Beyonce (second from right), star of the upcoming film "Dreamgirls," poses Nov. 29, 2006 with three of Disney's "dream" girls -- (L-R):  princesses Jasmine, Belle and Cinderella -- at Walt Disney World Resort in Lake Buena Vista, Fla.  She was at the Magic Kingdom to tape a segment for the "Walt Disney World Christmas Day Parade," which will air Dec. 25 on ABC-TV.  Beyonce, who sings "Silent Night," will be joined on the Emmy Award-winning holiday special by Italian tenor Andrea Bocelli, the cast of "High School Musical," singer Daniel Powter and more.

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For tweens, it's back-to-school night as Disney phenomenon hits the stage

Sometimes 12-year-old Sarah Atkinson only needs to hum a few notes of "Breaking Free," the hit song from the Disney Channel's made-for-TV movie "High School Musical," before her friends at San Francisco Day School join in. "It's fun because everyone else knows the songs and you just burst into singing," Atkinson says.

Atkinson has watched the movie "like, 30 times." So have many of her friends. They've also downloaded most of the music through iTunes or bought the soundtrack, joining the hordes of tweens -- members of that coveted 8- to 14-year-old market -- who have snapped up more than 3 million copies of the album, becoming the Billboard charts' No. 1 entry six weeks into its release.

It might seem an unlikely phenomenon in an age when little girls play with big-eyed, scantily clothed dolls, and raunchy rap lyrics flow from the airways into kids' impressionable ears. "High School Musical" is as squeaky-clean -- some might say corny -- as TV can get: the story of a star-crossed basketball jock (Zac Efron) and a math whiz (Vanessa Anne Hudgens) who both secretly dream of singing in the high school musical and must beat out the school's mean kids to do it. There are no bad words, no sex -- not even a kiss -- just big song-and-dance numbers and a cast so sweet-eyed and apple-cheeked you could bake a pie with them.

But "High School Musical" has captivated tweens, boasting nearly 8 million viewers in its initial broadcast in January, and more than 26 million viewers during the month following, according to Nielsen Media Research. So just imagine the shrieking chorus today, when thousands of Bay Area girls -- and more than a handful of boys -- will have the chance to scream their preteen heads off at "High School Musical: The Concert," at the San Jose HP Pavilion for one night only. As Disney Channel president of entertainment Gary Marsh says, this tour featuring five of the movie's six stars is "a way to deepen the emotional experience the audience has connected to this property." Read: Get them to buy more "High School Musical" products.

"High School Musical" is not the first Disney Channel production to capture tweens' hearts -- and their parents' pocketbooks. Disney's lock on preteens began in 2000 when, seeing that a vast market was too old for Nickelodeon and too young for MTV -- the company launched teen queen Hilary Duff in her hit TV show, "Lizzie McGuire." Further successes like "The Suite Life of Zack and Cody" launched Disney to top viewership in the 9- to 14-year-old market, and shows like "The Cheetah Girls" and this year's "Hannah Montana" have rolled music into the program mix, turning TV watchers into music buyers.

But "High School Musical" was the Disney Channel's first shift from movies that featured music into what Marsh calls "the next step: a full, break-into-song-and-dance musical." And its appeal, he says, was simplicity: "It's 'Romeo and Juliet' meets 'Grease.' But we said, let's set it in contemporary times."

Director and choreographer Kenny Ortega saw the potential appeal right away, though he underestimated the phenomenon "High School Musical" would become -- he thought of the $5 million production as "a little project to get me going in long-form film again." A Redwood City native who danced in the San Francisco production of "Hair" before going on to choreograph movies like "Pretty in Pink," and, most famously, "Dirty Dancing," Ortega jumped on "High School Musical" because he related to the story line.

"I was an athlete who was torn between track and dance," he says. "I was a kid who was bullied. I saw this character Troy looking for the courage to step forward and be fearless and say, 'I'm this, too,' and that really hit home."

For "High School Musical," this former choreographer for Madonna kept the moves absolutely age-appropriate. "There were people who were concerned about whether I could pull back," he says. "But it didn't even enter the equation." Kids still loved the cheerleading-meets-hip-hop steps, which they can now copy during a "dance lesson" extra on the "High School Musical" DVD.

And the musical has spun off new stars in that dependable Disney Channel way. Corbin Bleu, "Musical's" Chad Danforth, now has his own much-hyped movie premiering next month, "Jump In!": the tale of a young boxer who discovers a love for double-dutch jump roping. Monique Coleman, "Musical's" Taylor McKessie, has appeared on "Dancing with the Stars." Efron, "Musical's" endearingly flop-haired Troy, is now starring in a film version of the Broadway musical "Hairspray," which is why he won't appear in this arena tour. But the other five leads will be live onstage, dancing and singing numbers like the hip-hop inflected "Get Your Head in the Game" and the salsa-tinged "Bop to the Top."

And all six will be back for "High School Musical 2," which starts rehearsal in February and shooting in March. All that's been revealed of the plot is that the gang will reunite during a summer at a country club where Troy works as a lifeguard.

One thing is certain: The "High School Musical" merchandising machine won't let up during the wait for "High School Musical 2." High school theater programs are now licensing rights to mount their own "High School Musical" stage shows. The young adult novel tie-in to "High School Musical" became a New York Times best-seller. Marsh says more than 100 "High School Musical" products -- like an "I Love Zac" purse at kids clothing shop The Limited Too -- will be in stores for Christmas.

The musical's popularity is so unstoppable that even 14-year-old Sara Ach says she can't resist it. "It's kind of cheesy but not so cheesy that you sit there thinking, 'When's this going to end?' " she says.

Meanwhile, Atkinson says, "I think it being a musical makes it different from a regular teen movie thing." As for what she wants in her stocking this year? "I asked for the DVD for Christmas."

High School Musical: The Concert: 7 tonight. HP Pavilion, 525 W. Santa Clara St., San Jose. Tickets: $38.50-$58.50; (408) 998-8497 or www.ticketmaster.com.

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Where is Walt Disney when we need him?

Where is Walt when you need him? Hollywood desperately needs his sprit this season. His fantasies faded along with Christmas in the movie theaters.

In the really old days, when Disney was the only maker of animated children's movies, Walt stuck to the fantasy, creating an out-of-this world experience, so once in the story, the audience got to forget about adult issues like global warming and its impact on the Arctic.

No more. Those days are gone. Just look at the animated children's movie "Happy Feet." Don't get me wrong, I loved the movie: the music (Prince is one of my favorites); the overall theme (a passionate, light-on-his-feet penguin can change the world despite the old birds' heavy feet coupled with doom and gloom mentality); and the love (odd bird out gets beautiful bird).

It's just the conflicts between the "Annilators" (which resemble ships like the Exxon Valdez) and the march of the penguins were too real world to count as animated fantasy.

And just to push real world appication a bit further they had to throw in vignettes of real world news clips near the end of the movie covering the plight of global warming and existence of endangered species.

Come on, it's technically the "Holidays." Hollywood, lighten up and just give us pure, sugar-coated fantasy minus the heavy pounds of real-life application.

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ABC Radio Features Disney Theme Parks During Two Holiday Shows

During Christmas week, many ABC radio affiliates will air Merry Christmas from Walt Disney World & Christmas Around the World from The Walt Disney World Resort. Check your local radio affiliates beginning December 18th for this special holiday programming.

Merry Christmas from Walt Disney World is a three-hour family special originating from the “merriest place on earth” and is hosted by Desperate Housewives’ star Teri Hatcher. This unique radio program will be packed with contemporary holiday music and cherished yuletide memories from celebrity guests. Hatcher will share the spotlight with Disney friends Donald Duck, Goofy, Mickey and Minnie Mouse. Together, they’ll bring the festive sights and sounds of Disney World to life for millions of radio listeners across the country

Scheduled to appear are Luke Wilson, Tim McGraw, Hugh Grant, Chris Rock, Beyonce, John Travolta, Mariah Carey, Tim Allen, Angelina Jolie, Evangeline Lilly, Disney Channel stars Miley Cyrus, cast members of High School Musical and a special correspondent from the Disneyland Resort in California, Desperate Housewives’ James Denton.

Christmas Around the World from The Walt Disney World Resort (Dec 24-25)

For the fifth consecutive year, ABC Radio Networks will broadcast Christmas Around the World from The Walt Disney World Resort. This award-winning, market-exclusive programming event will feature holiday music, yuletide remembrances and celebrity interviews.

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Microsoft, Disney Dominate Corporate Media Coverage, Wal-Mart Drops To Fifth

They give good image. For the fourth straight quarter, Microsoft and The Walt Disney Co. finished one-two atop the Delahaye Index, which studies and analyzes how news coverage--top print and TV outlets--reflects and helps shape the corporate reputations and perception of the 100 largest companies in the United States.

Financial performance proves to be the strongest driver of corporate perception--for better and worse. General Motors, for example, benefited most by the phenomenon--finishing 13th for third-quarter 2006 after finishing 100th (or dead last) in the first quarter.

"While there is still a lot of negative coverage for GM, stories that were completely negative earlier are now more balanced," says Matt Merlin, research director for Delahaye. Yet even positive straight news stories usually include a paragraph or two at the end noting GM's struggles. "A lot of recent coverage has been about their environmental initiatives," he adds, "which don't even mention the car company troubles."

Conversely, a rough quarter of news coverage for Hewlett-Packard, which weathered an ongoing corporate spying scandal, dropped the company from 10th-place to last.

"That's probably the biggest thing on the radar this quarter," Merlin notes. "Several weeks of a barrage of negative news, when you've got stories like that coming out every day. It's tough."

Each company's score is based on how many positive and negative reputation-driving attributes are found within each story. There are five categories judged: stakeholder relations, financial management, products and services, organizational integrity and organizational strength.

New to the top 10 is Motorola, which had much positive press coverage for its rising stock and acquisition of Symbol Technologies, earning an eighth ranking.

Two companies, Microsoft and Wal-Mart (which finished fifth), had top rankings, despite a significant amount of negative publicity.

"[Microsoft and Wal-Mart] are both good examples of a kind of phenomenon in the index where, even though there is a certain percentage of constant negative coverage, they are seen as bellwethers of their industry," Merlin says. "If there is any kind of story on retail, Wal-Mart is going to get mentioned. More so, as Wal-Mart is perceived as a bellwether of the economy as a whole."

Wal-Mart got an added boost with news of strong back-to-school sales. Plus, a Maryland judge overturned a state health-care law specifically written to affect the retailer.

Verizon also returned to the top 10, coming in 10th by exceeding second-quarter forecasts and dropping its music download fees.

Other members of the Delahaye Index top 10 include IBM and Time Warner at three and four; Boeing and Citigroup at six and seven; and Intel at ninth, down from fourth place, following news of declining profits, balanced by the introduction of a news series of microprocessors.

The index draws its reporting analysis from the top 50 largest-circ daily newspapers, top news and business news magazines, all network news programs and top cable news channels, as well as PBS, Bloomberg and several other key news outlets.

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Comcast's C-TV: Channeling Disney

It was the Walt Disney Co.'s (DIS) annual meeting, known for its bouncy music and armies of costumed characters running through the aisles. For Robert Iger, Disney's new CEO, the Mar. 10 gathering was also time to shake up the digital media world. After clicking off the company's successes, Disney's new top guy unveiled a plan to stream shows from Disney's ABC network such as Desperate Housewives and Lost on the ABC Web site. The Disney faithful, assembled at the Arrowhead Pond in Anaheim, Calif., cheered. Mickey and Minnie loved it, too.

But across the country, at the Philadelphia headquarters of Comcast (CMCSA), executives of the cable giant saw new opportunities dancing in their heads. Comcast's cable customers already had access to Disney and ABC programming, but Comcast execs wanted a way to make the shows and movies available to broadband and video-on-demand (VOD) customers, too. "When we heard that Disney was going to put Desperate Housewives online for free, we wanted it for online and VOD as well," says Steve Burke, Comcast Cable president and the parent company's chief operating officer.

Iger's announcement—and Comcast's efforts to get the shows for itself—were just the latest wrinkle in what had become the media world's longest-running story: when Disney and Comcast would finally nail down an agreement that would extend the cable giant's right to carry Disney's ESPN sports channel. The negotiations had spanned four years, two Disney CEOs, and a nasty hostile takeover battle in which Comcast bid $66 billion in 2004 to buy Disney.

Online TV Allies

The two sides ultimately reached an agreement, announced on Nov. 21, that covers a broad range of rights, including Comcast's ability to use some ABC shows for its massive VOD effort as well as broadband. But that's just part of a far-reaching agreement that may become the model on which the new media world soon operates.

Indeed, BusinessWeek.com has learned that within weeks Comcast is expected to announce a new TV portal, code-named C-TV, that Disney will help promote through the use of film and TV clips that Comcast would use online. Down the road, the two companies may work more closely together to provide ABC, Disney Channel, and other kinds of programs for the portal as well, according to sources at both companies.

What's more, Disney is expected to help Comcast test the notion of showing movies on demand at the same time the movies are available in DVD stores—effectively shortening the lag time before cable gets access to those films. It's a development certain to drive major DVD retailers like Wal-Mart (WMT) nuts. "The deal is all about Comcast wedging itself into an online content company and using Disney as a partner to get there," says UBS analyst Aryeh Bourkoff, who follows both companies.

The notion of the two companies working together would have seemed far-fetched not that long ago, when venomous barbs flew in the wake of the 2004 takeover bid. That bid helped seal the fate of then-Disney CEO Michael Eisner, who resigned a year later and was replaced by his second-in-command, Iger. But the just-announced deal that Comcast and Disney struck shows how far the two companies have come. It represents the change in the media landscape that content at the click of a button has wrought.

Comcast Gains VOD Muscle

Under pressure in the broadband era from the likes of News Corp.'s (NWS) MySpace, which already streams TV shows on its site, and the TV-over-Internet ambitions of telephone companies such as AT&T (T), Comcast needs to beef up its own broadband offerings in a jiffy. And Disney, eager to shed its Eisner-era image of a slow-moving company, has hurried to be the first to embrace new technologies under Iger, who cut the industry's first deals to make Disney-produced movies and TV shows available from Apple's (AAPL) iTunes store.

Still, the deal was no piece of cake for either company. The epic talks kicked off in 2002, when Comcast insisted on renegotiating a year-old deal for ESPN that had several years to run. Why? Comcast had recently purchased AT&T's cable unit, gaining the size under its existing contract to demand a 10% discount to the huge price tag that ESPN charges cable operators to carry its programming. (Kagan Research currently estimates that cable operators pay $2.91 per subscriber each month for ESPN, compared to $1.67 for Fox Sports or 89 cents for TNT.) In the end, Disney, which had been getting an estimated 20% annual hike for the sports channel, accepted far less—about 7% a year—but also won several concessions in other areas, including the terms it got for shows that it will give to Comcast for VOD and broadband use.

The deal almost immediately makes Comcast an even bigger power in the VOD world. With more than 8,000 programs available each month—most of them free—Comcast has served up more than 3 million programs in the last two years, it says, and 1 million in just the last three moths. Until now, however, Disney was the lone holdout among major media companies and wasn't providing its programs to Comcast—despite a must-see lineup that includes not only its top-rated ABC shows but popular shows from Disney Channel and its soap-opera channel, SoapNet.

Test to Deliver Movies Sooner

More important from Disney's point of view, the deal gave it access to more than 24 million Comcast TV subscribers and another 11 million high-speed Internet customers. Disney intends to sell ads for most of its shows. (Disney reported that it had streamed more than 11 million episodes of Lost, Desperate Housewives, and other shows in the first month the ABC site was up and running). Disney sells ads for those streams, but to make sure, it got a guarantee from Comcast to cover a minimum amount of ad sales of the ABC shows.

Even more interesting is where the agreement goes from here. Disney has told Comcast it is willing to participate in a test in two markets, in which it would offer movies on demand three or four months after the movies show up in movie theaters—the same time DVDs are shipped to retailers such as Wal-Mart. Disney has already ruffled feathers among retailers like Wal-Mart and Target (TGT) by offering its movies on Apple's iTunes site at prices that the large retailers believe are below their wholesale price (see BusinessWeek, 9/11/06, "The Empire Strikes Back"). But this could send folks to Comcast instead of Wal-Mart to buy the DVDs. For Iger, who has said he wants to experiment with narrowing the "windows," it is a toe in the water.

For Comcast, Disney presents a formidable ally in taking on telcos and others in the battle to deliver movies and TV shows over the Internet. C-TV, the new TV portal due in the coming weeks, is expected to help consumers organize their videos—be they consumer-generated or shows that they have streamed or downloaded from other sites. But down the road, Comcast wants to make episodes of TV shows available online, giving it the ability to offer custom-made channels for shows like Lost or Desperate Housewives. ABC hasn't agreed to that, but the lines of communication are open since both companies are eager to experiment in the broadband world, according to sources with knowledge of the deal.

Getting the Deal Done

So how did these two companies get so chummy after their knock-down, drag-out takeover battle in 2004? Part of it is the practicalities of doing business—ESPN still needed Comcast's subscribers to sell advertising for its sports shows while Comcast would likely see some of its subscribers flee to satellite if it didn't carry Monday Night Football games on the channel. But the partnership owes as much to the diplomatic skills of new CEO Iger, who has charmed onetime adversaries like Apple CEO Steve Jobs, who clashed repeatedly with former CEO Eisner. At one point in the talks, Iger made available to Comcast ESPN's high-definition coverage of the World Cup soccer games, which Comcast used to market to new subscribers.

Moreover, Iger and Burke were friends before Burke left Disney in 1998 for Comcast. And, while the two didn't talk during the takeover battle, they reconnected soon after Iger became Disney CEO at the annual Allen & Co. media conference, where they went fly-fishing at Idaho's Salomon River. There they talked about the deal's hard-to-negotiate details. And when the talks bogged down, says Burke, Iger would step in to get stalled talks back on track. "Whenever there was a deadlock, Bob was the guy we went to," says Burke, "and he was always a voice of reason."

Where will this deal take Comcast and Disney? Hard to tell. Comcast has all kinds of plans. Someday it wants to be able to show first-run movies to its customers—maybe for $30 a pop—the same day that they play in movie theaters. Iger has ruminated in the past that perhaps it will happen that way, and was promptly excoriated by major theater owners. Don't expect to see Pirates of the Caribbean III playing at a Comcast system near you anytime soon. Still, for a pair of companies that were once at each other's throats, their recent chumminess is remarkable. And it may end up profoundly changing the media world.

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ABC Reigns As Sweeps King

ABC should celebrate its November sweeps victory--prudently.

ABC won the November sweeps outright over CBS--the first time in seven years. The last time the Alphabet net hit No. 1, it was pounding its prime-time schedule with back-to-back nightly episodes of "Who Wants To Be A Millionaire." This November, it averaged a Nielsen preliminary 4.1 ratings/11 share. CBS came in second with a 3.8.

That's the good news. The bad is that ABC is down 6%, versus last November's sweeps 4.4 number, when it tied with CBS. While ABC lost some steam in some arenas--a 20% decline for "Lost"--it had other major successes: "Grey's Anatomy" winning big on Thursday night, and rookie shows "Ugly Betty" and "Brothers & Sisters" rooting into their respective Thursday 8 p.m. and Sunday 10 p.m. time slots.

CBS landed in second, down 14% versus the November sweeps of 2005. CBS lost some ground on Monday with its comedies. On Thursdays so far, "Grey's Anatomy" has bested "CSI: Crime Scene Investigation." CBS had no major home-run stories. Still, it touted some singles and doubles: "Criminal Minds" keeps gaining on "Lost." "Jericho" appears to have earned a solid place at 8 p.m. on Wednesday.

NBC made progress by coming in third--improving 12% to a 3.7/10, up from 3.3/9 last November. Shows like "Heroes" on Monday and "Sunday Night Football" help lift the network higher.

Fox, however, lost ground. Coming in at fourth place with a 2.9/8, Fox was down from a 3.2/9--a 9% decline versus the November sweeps of last year. But as usual, this isn't the whole story for Fox. Its big shows, "American Idol" and "24," have yet to breathe new life into the network. Those shows start in January.

The CW should be completing its first November sweeps slightly ahead of last year's WB average. (Final numbers were not released by press time.) The WB was at a 1.5 among 18-34 viewers last November.

For the season as a whole, The CW is up 7% over The WB's 18-34 numbers. But media-buying executives were expecting much more from the new network, which positioned itself as offering "the best of the best," in terms of top WB and UPN shows.

That said, the CW closed out the November sweeps in strong fashion. Its tandem of "America's Next Top Model" and "One Tree Hill" helped the network win Wednesday night among 18-34 viewers with a 3.0/9, the last night of the sweeps. That lead spilled over to the 18-49 demo, where it surprisingly earned a big 2.3/6, tying the CW for fourth with November sweeps winner ABC.

National advertisers, of course, could care less about the sweeps periods. But for 70% of the country's TV stations, it's crucial in setting local ad rates. Still, that 70% number is falling, due to increasing people meter usage at the local level, where stations and local advertisers can get viewer and demographic data year-round.

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Producer sues over Patient film

Saul Zaentz said in court papers filed in Los Angeles that he created a joint venture to co-finance The English Patient and share in its profits.

Zaentz alleges Miramax "used fraudulent and unfair accounting", according to trade magazine the Hollywood Reporter.

Walt Disney and Miramax were unavailable for comment.

The papers said The English Patient, which swept the board at the Oscars in 1997, cost $35m to produce and made $100m at the box office.

Illustrious career

Zaentz won the Academy Award for best picture for the World War II drama starring Ralph Fiennes, Juliette Binoche, Willem Dafoe and Kristin Scott Thomas.

The filed papers claim that Miramax used inappropriate accounting practices to try to show it still had to recoup costs associated with the acquisition, distribution and marketing of the film.

Zaentz has also won best picture Academy Awards for Amadeus and One Flew Over The Cuckoo's Nest.

Last year, he settled a $20m (£10m) case against New Line Cinema over profits for the Lord of the Rings films.

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Patrick Henry Hughes wins Disney award

University of Louisville band member Patrick Henry Hughes is this year's recipient of the 2006 Disney's Wide World of Sports Spirit Award, given each year to college football's most inspirational figure.

Disney's Director of Sports & Recreation Planning and New Event Development Kellen Winslow, an NFL Hall of Famer, will present the award to Hughes and his father, Patrick John Hughes, during The Home Depot 2006 College Football Awards at the Atlantic Dance Hall at Walt Disney World Resort on Thursday, Dec. 7.

The 16th annual awards show is scheduled for 7-9 p.m. ET and will be televised live on ESPN.

Despite being born with a rare genetic disorder that left him with no eyes and the inability to fully straighten his arms or legs, Hughes is excelling as college freshman. With his dad guiding his way, Hughes is a trumpet player in the University of Louisville marching band, a concert pianist who has performed at the Kennedy Center in Washington, D.C., a recording artist and a straight-A student.

"Patrick Hughes lives his life stretching the boundaries, doing things he has been told he couldn't do," said Reggie Williams, Vice President of Disney Sports Attractions and a former NFL star. "While we at Disney's Wide World of Sports are also stretching the boundaries of our typical criteria for Disney's Spirit Award, we feel strongly that Patrick's life should be an example to others. Because marching bands play such a significant role in creating the aura of college football games, we felt it fitting to present Disney's Spirit Award to Patrick, a gifted musician and amazing person.''

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Soldier's kid to Disneyland

A free trip to Disneyland sounds like a dream come true. For one Lafayette teenager the trip of a lifetime is also helping her heal.

Jordan Fontan can hardly contain herself. This seventeen-year-old is counting the days until she leaves to go on an all expense-paid trip to Disneyland, not only that, she gets to meet Arnold Schwarzenegger and go on a shopping spree.

"The shopping I'm really excited about."

But Jordan isn't lucky; she's going on this trip because her father died last June. Jacques Fontan was killed in combat in Afghanistan.

"I think about him everyday."

The trip is made possible by an organization called Snowball Express, founded after September 11th, the group helps fallen soldier's families.

"It's gonna be a wonderful experience. The healing that's going to take place being with other kids who have gone through this."

Jordan recalls the last time she heard from her dad by e mail.

"He just told me how much he loved me. How much he wished he would've been there for me."

Before Jacques died he did manage to send one more message to his daughter. A picture.

"That was the last thing he ever sent to me. Was a picture of us on some go-carts and Disneyworld."

That memory along with some new ones will help this teenager go on.

Jordan goes on her trip December 15th. The group Snowball Express expects about 1500 kids to make the trip.

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