Paramount Drops Financing Deal

In the news to me category, it turns out that Paramount Pictures had a $450 million, 30 movie film deal with Deutsche Bank. That deal included Transformers 2, GI Joe and Star Trek. Apparently Paramount has changed its mind "The deal terms had evolved to a point where they were unattractive when compared to alternative sources of financing available to Paramount," said spokeswoman Patricia Rockenwagner. The termination of the deal doesn't affect current movies in production, just future ones in the works.

I am guessing they know they got mega hits on their hands and the money they are going to give back to the bank versus what they could have kept without the financing deal was pretty darn big. Usually financing deals are to help soften the blow if a picture fails. Thanks to Chris for the link.