Viacom, Paramount, MGM, Lionsgate in JV for New Channel

NEW YORK, April 21: Viacom
and its Paramount Pictures unit, along with Metro-Goldwyn-Mayer Studios (MGM)
and Lionsgate, have formed a joint venture to create a premium television
channel and VOD service that will feature new and classic feature films, as
well as original television series.

Content on the new
as-yet-unnamed channel will be drawn from five studios: Viacom’s Paramount and
Paramount Vantage units, MGM, United Artists and Lionsgate. The new venture
will have access to Paramount and Paramount Vantage titles released
theatrically on or after January 1, 2008, and MGM, United Artists and Lionsgate
titles released theatrically on or after January 1, 2009. The venture’s
programming slate will have exclusive access during the pay-TV window to such
recent films as Iron Man, Star Trek,
Pink Panther 2, Cloverfield, The Curious Case of Benjamin Button, Shutter Island, GI Joe, Love Guru and Valkyrie, along with others currently in production,
including planned new installments of Robocop and Outer Limits.

In addition, the new
venture will have access to motion picture titles spanning the libraries of the
five studios. These include Braveheart, Forrest Gump and the
Mission: Impossible, The Godfather and
Star Trek franchises from
Paramount; the James Bond,
Pink Panther and Rocky franchises from MGM; and Dirty Dancing, Reservoir Dogs, Crash,
Monster's Ball, the Saw franchise, the Tyler Perry catalogue and The Blair Witch Project from Lionsgate. The new venture will also feature
new original television series created by the five studios. Viacom will provide
operational support to the venture, including marketing and affiliate services
through its MTV Networks division.

Philippe
Dauman, the president and CEO of Viacom, said: "This venture has the
potential to be a game changer for the industry. We are building an innovative
service that will use traditional and new digital distribution technologies to
bring great film and television entertainment directly to the consumer. By
combining the two output of Paramount with MGM and Lionsgate, two film and
television powerhouses, we are creating a premium film and television
programming brand with unique flexibility to bring consumers the very best
blockbuster movies and innovative TV series. We are extremely pleased to be in
business with MGM and Lionsgate in this exciting new venture, which will
provide our companies with a strong presence in the premium TV marketplace well
into the future."

Brad Grey, the chairman
and CEO of Paramount Pictures, said: "For close to a century, Paramount
has produced and distributed some of America's best-known and beloved
films—a tradition that continues today, with an outstanding lineup set
through 2009. That commitment to great entertainment is matched by Paramount's
focus on creating new and innovative platforms that offer more access and
flexibility to consumers. We look forward to launching this historic premium
entertainment service with a strong slate that includes new releases like Cloverfield, Iron Man and Star Trek alongside
Paramount’s legendary library."

Harry E. Sloan, the
chairman and CEO of Metro-Goldwyn-Mayer Studios, commented: "At MGM, we
are very pleased to have found two partners that share our vision of providing
first-run movies and premium-quality original television programming across
linear and digital platforms in a new way. Our approach delivers unique
flexibility for program distributors as well as consumer options that will
provide the highest quality entertainment. The newly revitalized MGM, under the
direction of Mary Parent, the chairman of the worldwide motion picture group,
is preparing to bring top projects to the venture including the newly acquired
Robert Ludlum’s The Maratese Circle,
which will star Denzel Washington, as well as franchised movies based on James
Bond, Pink Panther and Thomas Crown."

Jon
Feltheimer, the co-chairman and CEO of Lionsgate, added: "We are
excited to be working with two of the most respected studios in the business to
start a new venture which marshals the historic legacy of the past, the filmed
entertainment leadership of the present and a vision for the digital
marketplace of the future. Our prestigious and prolific libraries, diverse and
commercially powerful new feature film releases and enormous television series
development expertise combine to make this a formidable and uniquely compelling
entertainment service from day one. This is a true next-generation premium
content offering for the consumer."

—By Irene Lew