Opening the weekend of February 11, 2000 in the U.K., TOY STORY 2 has

already broken box office records. Playing on 495 screens, the sequel

grossed US$12.8 million in its first three days. The feat even beat out

bohemeth-grossing STAR WARS EPISODE 1, which made only $12.5 million in its

first U.K. weekend. So far Buena Vista International, which is distributing

the film outside the U.S., said the movie has already grossed $332 million

worldwide. Playing on 3,334 screens outside the U.S. this past weekend, TOY

February is our annual motion-capture and stop-motion issue, and we have

plenty in store as usual. Sharon Schatz interviews Brian Nilles of leading

motion-capture technology firm, Vicon Motion Systems. Gregory Singer goes

behind the scenes on one of the many projects which uses Vicon's

technology, while Laura Schiff introduces us to Webbie Tookay, a new

motion-capture personality. On the stop-motion side of things, Wendy

Jackson covers Aardman Animations' current high flying times as they work

Animha Productions, a unique association of professionals dedicated to

independent film production and animation workshops, is working on a peace

film project created by Prakash Moorthy in India and Animha's Dave

Brunskill in England. The film will include single drawings and paintings

done by 5-7 year-old children from around the world, and all children are

invited to participate. The subject is "a mother sending her child to

school." Drawings should reflect the national identity of the child, using

Two years ago, following the theatrical release of "Anastasia," Fox was

expanding its commitment to animation. Fox Family Films, one of Twentieth

Century Fox's four film divisions, was being renamed Fox Animation Studios,

to reflect the division's new plan to focus solely on animated feature

films, including stop-motion, mixed media (live-action mix) and digital

production. Several animated projects were on the development slate then,

including "Dark Town" with Henry Selick, "Santa Calls" with Blue Sky|VIFX,

ATOMFILMS, a leader in next-generation entertainment, announced that JOHN

MARCOM, former President of Time Inc. International, will join as the new

senior VP of worldwide revenue and media strategies. In his new role,

Marcom will coordinate worldwide on-line and off-line sales of AtomFilms'

growing library of short-form entertainment. During his stint at Time Inc.,

Marcom oversaw a catalog of more than a dozen national and international

news, business and lifestyle publications. Joining Time Inc. in 1993,

CINAR ENTERTAINMENT has filled the newly created seat of president with

PETER MOSS. In his position effective March 1, Moss will focus on

developing CINAR's entertainment business in North America, Latin America

and Asia. Before joining CINAR, Moss served as programming and production

VP for YTV, Canada's youth network. Moss has regularly worked in pre-school

programming with the Children's Television Network and the CBC.

On February 3, 2000, Pixar reported financial results for its fiscal fourth

quarter and year ending January 1, 2000. For the quarter, Pixar posted

record profits of US$9.6 million, or $0.19 per diluted share. These results

are compared to profits of $1.1 million, or $0.02 per diluted share,

achieved in the 4th quarter of 1998. Revenues for the quarter were $24.9

million, compared with $3.1 million a year-ago. For the year, Pixar held

profits of $49.2 million, or $0.99 per diluted share, compared with $7.8

In association with Children's Television Workshop and IF/X Productions,

CineGroupe will be producing 40 half-hour episodes of SAGWA, THE CHINESE

SIAMESE CAT for PBS KIDS. The series is adapted from the award-winning

children's book by Amy Tan, author of THE JOY LUCK CLUB. SAGWA follows the

title character's escapades through Ancient China. Each episode will

include 11-minute segments and related interstitials woven together by

music, folk stories and fairy tales. The executive producers of the project

February is our annual motion-capture and stop-motion issue, and we have

plenty in store as usual. Sharon Schatz interviews Brian Nilles of leading

motion-capture technology firm, Vicon Motion Systems. Gregory Singer goes

behind the scenes on one of the many projects which uses Vicon's

technology, while Laura Schiff introduces us to Webbie Tookay, a new

motion-capture personality. On the stop-motion side of things, Wendy

Jackson covers Aardman Animations' current high flying times as they work

STARDUST ENTERTAINMENT FILMPRODUKTION is a studio located in

Berlin-Potsdam, Germany, specializing in computer animation (3D) and visual

effects. The CGI studio is equipped with the most advanced wireless

motion-capture system by Motion Analysis. In addition to its staff of 50

CGI professionals from 15 different countries, currently based at the

studio in Germany, Stardust Entertainment is cooperating with CGI studios

in Romania, Italy, Spain, Belgium and Asia. Currently in production on a 26

Three new Scandinavian markets surrendered their airwaves to Pokemania.

Worldwide sensation POKEMON was recently sold to TV4 in Sweden, TV2 in

Denmark and TV2 in Norway. The show will hit the new territories in January

and February 2000. Lacey Entertainment, the international distributors of

the series, also announced the sale of the Pikachu-vehicle to ATV in Turkey

and Noga Communications' Children's Channel in Israel. In Europe, POKEMON

began broadcasting in September 1999 on Germany's RTL2, The Netherlands'

Three new Scandinavian markets surrendered their airwaves to Pokemania.

Worldwide sensation Pokemon was recently sold to TV4 in Sweden, TV2 in

Denmark and TV2 in Norway. The show will hit the new territories in January

and February 2000. The international distributor, Lacey Entertainment, also

announced the sale of the Pikachu-vehicle to ATV in Turkey and Noga

Communications' Children's Channel in Israel.





The Pokemon phenomenon began in America in 1998 with the release of the

On Friday, January 14, 2000, Walt Disney International-Latin America

announced the launch of the Disney Channel Latin America and an exclusive

satellite television distribution agreement with Galaxy Latin America, LLC

for DIRECTV service in Spanish-speaking Latin America. "Launching the

Disney Channel in Latin America in 2000 is an exciting initiative for the

Walt Disney Company," said Diego Lerner, president and managing director,

WDI-Latin America. "As we have in other parts of the world, we will now

Twentieth Century Fox Home Entertainment and Lucasfilm Ltd. announced the

simultaneous worldwide VHS release of George Lucas' STAR WARS: EPISODE I

THE PHANTOM MENACE. Young Jedi wanna-bes around the globe will snag their

copy the week of April 3 - 8, 2000. The biggest box office hit of 1999 and

second highest-grossing motion picture of all time worldwide, will official

go on sale in North America on Tuesday, April 4, 2000. The US$922 million

January 1997 saw the passing of filmmaker Renzo Kinoshita and curator

Louise Beaudet. Annecy Festival Director Jean-Luc Xiberras died a

year ago. Although they worked in very different areas, the three of

them shared a passion for animation, and dedicated their lives to

helping the animation community define itself.





Renzo Kinoshita was an accomplished filmmaker -- his major work,

"Made in Japan" won the Grand Prix at the New York International

Trivandrum, India-based TOONZ ANIMATION INDIA PVT. LTD. named TOM TILBURY

to their exec staff. Base of operations for Tilbury will be Los Angeles,

where he will helm all sales and marketing for the studio's operations in

India and the U.S. Tilbury joins Toonz Animation from Cambridge Animation

Systems were he served as VP of International Distribution.

Interactive Television Entertainment (ITE) has secured two new

territories for its show HUGO JUNGLE. The show will start airing March

1, 2000 on Nat 7 in Malaysia and January 17, 2000 on BKTV in Serbia and

Montenegro. Extensive use of the Animation Mask System, and animated

links between each playing scenario, make HUGO JUNGLE a unique live

interactive cartoon show.



In