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mdavidn • yesterday at 8:42 PM • 3 replies • view on HN

The entertainment industry has a long history of making successful movies appear unprofitable on paper to avoid paying royalties.

https://en.wikipedia.org/wiki/Hollywood_accounting

Replies

whartung • yesterday at 10:35 PM

From the movie "Bowfinger" [0]

  Dave: But movies cost millions of dollars to make.
  Robert K. Bowfinger: That's after gross net deduction profit percentage deferment ten percent of the nut. Cash, every movie cost $2,184.
[0] https://www.imdb.com/title/tt0131325/?ref_=nm_flmg_job_1_acc...
EdwardDiego • yesterday at 9:56 PM

The massive battle Peter Jackson had with the studio after none of the LoTR movies made a "profit" was very telling.

Oh, and it's even an example in that Wiki article you linked lol

jrflowers • yesterday at 9:20 PM

My favorite example of this is when Warner Brothers said that Malibu’s Most Wanted wasn’t profitable because they spent so much money marketing Harry Potter that year.

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