ShowBiz Expo Panel to Address Runaway Production

ShowBiz Expo will launch at 9 a.m. on June 1 with a keynote paneladdressing runaway production, one of the most important issues facingthe production community in the United States today. The session willinclude experts from various facets of the industry.

Moderator Bruce Doering of the International Cinematographers Guild(ICG) will be joined on the panel by Stephen Katz of the Center forEntertainment Industry and Data Research (CEIDR), Jean Prewitt of theAmerican Film Marketing Association (AFMA), Bryan Unger of theDirectors Guild of America (DGA), and Steve Dayan of Teamsters Local399.

“The topic of runaway production has been a top concern formany members of this industry,” said Peter Caranicas, Director ofShowBiz Expo and Publisher/Editor-in-Chief of Film&Video magazine.“Producers find that it’s often more cost effective toshoot in Canada and elsewhere outside the United States, but that hasmeant a loss of jobs here and an erosion of the productioninfrastructure.”

According to CEIDR’s findings, the shift in production formotion pictures has dramatically accelerated since Canada introducednew production subsidies in 1998. In that period the value ofproduction in Canada grew by $610 million, while in the U.S. itsuffered a $560 million decline. A recent Department of Commerce studyestimates that runaway productions cost the US economy as much as 10billion per year.

It’s not just the smaller productions that are moving to savemoney, according to CEIDR. The organization has also found thatprojects with budgets greater than $50 million in Canada rose from oneto five (400%), while in the U.S. they dropped from 31 to 26 (minus16%) In the critical $5 to $50 million mid-budget range there was 94%increase in Canadian production over three years contrasted with a 35%reduction in the US.

The goal of the panel is to foster a constructive dialogue in thefilm production community about this issue and inspire ideas to keepproductions at home that still satisfy the need to produce viableentertainment in a free-market economy.

Panel moderator Bruce Doering, who is the National ExecutiveDirector of the ICG, stated that the topic of runaway production is acritical issue within the film industry today. “I think ShowBizExpo should be congratulated for hosting a symposium discussing thistopic, which is without question the number one issue on the minds ofmost rank and file members and independent producers working in thisindustry,” he said. “It would be hard to have an event likethis that does not deal with this issue, given its importance to allsectors of the industry.”

CEIDR cofounder Stephen Katz will provide an update on his 2000production report on based on his current research.. He will outlineincentives offered by other countries and their negative effects on USproduction industry.

Bryan Unger, Western Executive Director of the DGA, will discuss theefforts made by the DGA and 16 national organizations over the lastthree years to get federal and state runaway production legislationpassed. He will discuss the progress being made on Senate Bill 1278 andthe companion House Bill HR 3131 which would provide wage based taxincentives to curb runaway production. Brian will also discuss ongoinglegislative action at the state level.

Jean Prewitt, AFMA President and Chief Executive Officer, will shareher expertise on trade negotiations and the use of tax incentives, asopposed to tariffs. AFMA is the trade association of independentdistributors and producers of motion pictures and televisionprogramming worldwide.

Steve Dayan, Business Agent for Teamsters Local 399, will discussthe local’s position in support of both wage-based tax incentivesand tariffs.

ShowBiz Expo, the annual gathering of the entertainment productioncommunity, will take place on June 1-3, 2002 at the Los AngelesConvention Center. Now in its 19th year, the event features 300exhibitors displaying the latest in film, video and digital technology,plus a full conference program addressing today's key issues inentertainment production.

Additional information about ShowBiz Expo may be found atwww.showbizexpo.com. Tel: 323.653.8053 or 800-800-5474. Fax:323.653.9920.