It has been nearly six years since the release of The Return of the King, but its international distributors still look back on the three years of the trilogy’s distribution as one of their most lucrative periods ever.
As I explained in Chapter 9 of The Frodo Franchise, LOTR was technically an independent film, produced by New Line, then an independent company. It was financed in the traditional indie way, through sales of distribution rights to independent distributors abroad and through licensing fees for the tie-in products. Although those distributors had to pay hefty fees up front, before the film had even been made, and although they were naturally nervous about the prospects for success, they ended up happy and rich.
Indeed, New Line was the biggest supplier for many of these independent distributors. When it got absorbed into Warner Bros. early last year, that source of supply dried up. About a year ago, I wrote an entry on “Observations on Film Art,” discussing the companies that were possibly stepping in to take New Line’s place. Among the companies I mentioned was a relative newcomer to the American distribution scene, Summit Entertainment. At that point Summit had only released a few insignificant films in the US, though it had been producing films since the mid-1990s. Its main claim to fame was a long and successful track record for selling American movies to distributors abroad.
Summit’s producing efforts got a big boost in 2006. Paramount famously put Twilight into turnaround early in the year, and in October a producer brought it to Summit. (For a good background account, see this LA Times story.) In late 2008, Twilight was slipped into the original November 21 slot that had been announced for Harry Potter and the Half Blood Prince. Although it wasn’t as immediately successful as the second entry in the series has been, it built into a hit. After less than two weeks in distribution, The Twilight Saga: New Moon has made an estimated $230 million domestically and is a big hit abroad as well.
Mike Goodridge, the editor of Screen Daily, has pointed out that the Twilight phenomenon is in some ways parallel to that of the Rings trilogy:
When New Line Cinema was absorbed into Warner Bros in early 2008, many of the world’s leading independent distributors lost one of their key suppliers of Hollywood-level product. Companies such as Entertainment in the UK and Metropolitan in France had gone through good times and bad with New Line over the years, but when they were good, as in the case of The Lord Of The Rings trilogy, they were very, very good.
Goodridge cites some figures to back this up:
Seeing E1 Films in the UK take nearly $20m in the UK, SND in France scoring $17m, Eagle in Italy $14.3m and Aurum in Spain $13.7m last weekend brought back the heady days of The Lord Of The Rings openings. In Australia, Hoyts Distribution brought in $13.3m for the biggest opening ever in the territory. In New Zealand as well, it took the all-time crown, the $1.9m gross beating, you guessed it, The Lord Of The Rings: The Return Of The King.
Aurum, by the way, only exists today because of its success with the trilogy.
In my book, I suggested that LOTR, despite being a blockbuster, was enormously beneficial to international independent and foreign-language cinema. Now the Twilight series looks like it will have a similar, sustained effect. According to Goodridge:
What The Lord Of The Rings proved and the Twilight Saga reaffirms is that this kind of independent success is good for everybody. The Twilight distributors will have more money to invest in financing and acquisitions, benefiting other independent productions, while sales companies struggling to get films off the ground in a turgid distribution world will hopefully encounter a renewed buoyancy in the international markets.
The parallel is even stronger if we recall that LOTR was picked up by New Line when it was put into turnaround by Miramax.
The Hobbit will extend the franchise, but it won’t bring the same benefit to foreign distributors. New Line no longer handles its own financing or distribution. Warner Bros. will finance the film (perhaps with help from MGM if that studio manages to survive and put its economic affairs in order) and will distribute the film. There will presumably be no presales to independent distributors abroad.
There’s presumably no causal connection between the trilogy and the parallel Twilight phenomenon. Still, it’s good to see a similar windfall going to independent cinema around the world.