Over the weekend, the divorce proceedings between DreamWorks and Paramount were worked out, with a settlement reached for about 40 projects in development, per VARIETY.
DreamWorks will take the lead on 15 to 20 films, and Paramount will retain the option of co-finance and co-distribute. Paramount will lead on another 15-20 films with DreamWorks retaining its option to co-finance.
Filmmakers are still being contacted on the affected projects, so the two companies declined at this point to list the films. These include two Steven Spielberg vehicles: THE 39 CLUES and THE TRIAL OF THE CHICAGO 7 and a Sacha Baron Cohen comedy DINNER WITH SCHMUCKS.
Paramount is taking on the reminder of the 200 DreamWorks-developed projects with no input creatively or financially from DreamWorks. Those involved in the negotiations expected them to drag on through the rest of the year, but with DreamWorks' new financial deal with Mumbai-based Reliance last month, some type of co-financing deal was expected.
The deal was completed by Viacom general counsel Michael Fricklas and Paramount vice chairman Rob Moore for Paramount and David Geffen and attorney Skip Brittenham for DreamWorks. Geffen is not joining the new independent DreamWorks.
DreamWorks still needs to finalize a deal for a new distribution pact (minus the projects covered by the Paramount deal), that is still likely to go to Universal. Also, the majority of DreamWorks' employees are expected to move to the new company with principals Spielberg and Stacey Snider, although Paramount has offered DreamWorks president of production Adam Goodman an exec position to oversee the DreamWorks projects now at Paramount.
"We have had a great run with the DreamWorks team both creatively and financially," said Paramount chairman and CEO Brad Grey. "We look forward to building on our joint successes as Paramount plans for the future."
Moore said on Sunday that Paramount wanted to keep a good relationship with DreamWorks and Spielberg, who is a producer in the TRANSFORMERS franchise as well as three other Paramount films in development. Also, had a deal not been reached, DreamWorks would have had to start off with a blank development slate.
Spielberg added, "Brad [Grey] is a friend, and I am pleased to be able to continue to work with him and his team with whom we have shared many successes."
