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Boxoffice-July.1997

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Inspectorate, GAI, will receive a portion of<br />

the profits in return for its officers directing<br />

dirty cars to the machines. The studio hopes<br />

to earn $2 million annually—same as its<br />

current budget—from the side business, for<br />

which it took out a $3 million loan. Some<br />

would argue that Russia's government<br />

should devote itself to cleaning up its politicians<br />

rather than its cars. Sergeyev's justreleased<br />

film "Schizophrenia" draws a<br />

startlingly bleak picture of the new Russia<br />

with its story of a former KGB officer who<br />

carries out hits on prominent figures. The<br />

film's veracity has been ensured by its main<br />

consultant, Alexander Korzhakov, himself<br />

a former KGB officer as well as President<br />

Boris Yeltsin's former bodyguard. The plot<br />

is reportedly based on a true account by a<br />

Russian mafia godfather.<br />

SAVED BY THE BELL<br />

MADRID—Spain is another European<br />

country grappling with the threat of reduced<br />

government funding for film productions.<br />

Most recently, the Culture Ministry narrowed<br />

the subsidies available to movies by<br />

requiring that a film generate at least<br />

$350,000 in boxoffice receipts before it can<br />

qualify for a subsidy, up 67 percent from the<br />

former requirement. The plan also lowers<br />

the ceiling for subsidies, which can compose<br />

no more than one-third of a film's<br />

budget, from $ 1 .4 million to a little over $ 1<br />

million.<br />

Some good news, however: The<br />

country's telecom behemoth, Telefonica, is<br />

considering investing in local productions<br />

as a way of smoothing the film sectors'<br />

opposition to the perceived competition of<br />

digital TV, which should be launched in<br />

Spain by the summer. Telefonica, which is<br />

a semi-public company, has had discussions<br />

with producer Andres Vincente<br />

Gomez's Lola Films, as well as other companies.<br />

Telefonica's representative in the<br />

talks is producer Pedro Perez, a former head<br />

of the Spanish producers federation,<br />

FAPAE. According to Telefonica, the<br />

telecom would create a financing and sales<br />

operation similar to that operated by the<br />

media group Prisa. And on the wholly private<br />

end of the spectrum, at least one production<br />

and financing company, Sogetel,<br />

has pumped up its commitment to films. So<br />

far this year, Sogetel has co-production<br />

plans with six different entities, as well as a<br />

commitment from broadcaster Tele 5 to<br />

fund three of its films in the next two years.<br />

SHORT TAKE<br />

HAMBURG—Ten European countries<br />

will band together to promote their films<br />

around Europe, an example of lightweights<br />

and middleweights teaming up to battle a<br />

champion heavyweight—America. Film<br />

export federations from the United Kingdom,<br />

Austria, Germany, France, Switzerland,<br />

the Flanders half of Belgium, the<br />

Netherlands, Spain, Portugal, and Italy<br />

have establishecl the European Film Promotion.<br />

The organization will be based in<br />

Hamburg and its board will consist of president<br />

Claudia Landsberger of Holland Film,<br />

Bruno Barthemy of Unifrance, and Christian<br />

Dorsch of the German Export Union.<br />

The union seeks to promote members' films<br />

collectively at international festivals.<br />

Q&A:<br />

ANICA'S ALBERTO<br />

FIORETTI ON<br />

ITALIAN CINEMA<br />

Italy's ANICA (National Association for the Cinematography and Audiovisual<br />

Industry) has a challenge tougher than a two-day-old biscotti<br />

ahead of it.<br />

The trade association for movie producers and distributors,<br />

as well as others in the audiovisual industry, is facing one of the bleakest<br />

periods for Italian cinema. Production in 7 995 reached a postwar low of 75<br />

films. Although that number improved by 24 films in 1 996, domestic films<br />

got only 20 percent of Italy's market. Abroad, the figures are even worse.<br />

Italian exports are below 2 percent elsewhere in Europe and even lower in<br />

the United States, according to a 1996 study. The slashing of government<br />

funds for promotion abroad is one reason. Others say that, except for the<br />

occasional "11 Postino, " the Italian industry hasn 't returned to the days when<br />

lira rained down upon the glory of Federico Fellini and Michelangelo<br />

Antonioni. Alberto Fioretti, ANICA's foreign-department representative,<br />

discusses what his organization intends to do about it.<br />

That's why we are<br />

now discussing a<br />

joint promotion<br />

between Italy and<br />

France. That could he<br />

a good idea, because<br />

in some countries<br />

if you go alone,<br />

you are lost.<br />

not the minister for<br />

<strong>Boxoffice</strong>: How is ANICA dealing with Italian cinema's low period?<br />

ALBERTO FIORETTI: ANICA works with the government department for<br />

movies and discusses from the point of view of the producer how to improve the new<br />

low. As you know, we have some problems selling Italian films abroad, because, as<br />

everywhere, the Americans are powerful in distribution. So we try to improve<br />

distribution abroad. Our minister<br />

now is<br />

money, he's the minister for the<br />

culture, Mr. (Walter) Veltroni,<br />

and he's starting a new formula<br />

for promoting Italian film<br />

abroad. That's why we are now<br />

discussing a joint promotion between<br />

Italy and France. That<br />

could be a good idea, because in<br />

some countries if you go alone,<br />

you are lost.<br />

<strong>Boxoffice</strong>: You say the<br />

American distribution machine<br />

is the reason Italian<br />

films have trouble with distribution<br />

abroad?<br />

FIORETTI: They make a lot<br />

of good pictures, and the people<br />

are used to the American style.<br />

So every country—like France,<br />

like us. like Germany—finds<br />

some difficulties in promoting<br />

and distributing film in foreign<br />

countries. Even in markets where we're usually successful, like South America<br />

[because of similarities in language], we have some problems now, because even<br />

these countries are used to American films.<br />

<strong>Boxoffice</strong>: How else do you plan to improve distribution abroad?<br />

FIORETTI: We .still continue to attend all the festivals—Beriin. Cannes. Moscow—and<br />

make a couple of Italian promotions. Maybe we have to use more media<br />

promotion, to do something in television, to improve the forum for promotion.<br />

<strong>Boxoffice</strong>: Italian film has a good reputation in the United States. What<br />

caused the decline of popularity of Italian films in the United States and<br />

elsewhere?<br />

FIORETTI: I read something in the States where they say there is no more Fellini.<br />

But that's not true. The problem is to educate the audience to go to see an Italian film.<br />

Maybe there is a chance, because the people are grow ing tired of the usual American<br />

film with the violence. I don't say that all the American pictures are like that, becau.se<br />

many are very good, but the people now maybe would like to go see more European<br />

film. That's important also for the country identity, the cultural identity.<br />

<strong>Boxoffice</strong>: How Mould you characterize Italian cinema right now?<br />

FIORETTI: From the cultural point of view, it is good. It starts again in a new<br />

direction. The number of films is down from before. Before we made 100, 150<br />

features. Now we are making 65 or 70 features. So the quantity is down, but the qualitv<br />

is good. The last success is "II Ciclone" [directed by Leonardo Pieraccioni]. which<br />

made probably 50 billion lira in our state.<br />

^n

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