The 1969 classic The Italian Job also highlighted the peculiarities of movie studio accounting…
This article comes fromDen of Geek UK.
On its original box office run, its receipts were said to be just shy of $10 million.
The film was a big success, although it struggled to hit in America.
Youd think that first film would have long proven a sound investment for Paramount Pictures.
Ad content continues below
But apparently not so.
And in it, he does yes!
blow the doors off Hollywood accounting just a little.
And on said statement, Paramount was continuing to claim thatThe Italian Jobhad made a loss.
After factoring in gross receipts less distribution fees, the films fortunes seemed promising.
The statement reports that the film was just over $6 million in the black.
But then further charges are applied.
$9,440,000, an amount just shy of three times the cost of making the film itself.
Paramount charged interest on its own money that it spent to make the film, in effect.
For the amount they spend and risk, their financial return isnt that high.
Its accounting is of importance for those on any kind of profit share.
After a high profile court case, the studio and writers settled out of court.
Thus, who knows,The Italian Jobmay finally be in profit now.
If not, the planned TV series based on the original film may finally tip it into the black…
