Print and Advertising expenses are those costs incurred by a distributor in releasing a film theatrically in US cinemas. These costs recoup before production costs and usually are equal to or exceed the production budget. Film Financial Services has a long history of providing P&A financing to individual pictures as well as slates.
Our recent transactions include P&A for the feature film Ratchet & Clank based on a PlayStation video game franchise, and a new $150 million fund "Studio Partners P&A Fund" which is a joint venture with Aperture Media Partners, and research, analytics and market strategy firm Screen Engine.
The Studio Partners P&A Fund has the following characteristics:
- P&A Financing of $5-30 million per picture
- Minimum guarantees in select cases
- Release pattern, screens, schedule and P&A budget worked out with distributor in consultation with producer
- Loans resulting in overall cost to producers more favorable than if a studio provides the P&A
- Most of the Fund's investments are for releases over 1000 screens and go through the Fund's co-distribution arrangements with major and mini-major studios.
- The occational Fund investment for releases on 600-1000 screens go through other independent distributors such as Freestyle, The Orchard, etc.
- The Fund's industry marketing consultants help producer and distributor with media planning
- Audit to double check distributor
- Also arrange distribution in China