In Hollywood, on Universal City Plaza Avenue, inside the president's office of Focus Features, a subsidiary of Universal Pictures.
James Schamus, one of the co-chairmen of the new Focus Features, which had just merged this year from three independent film companies—Good Machine, Universal Focus, and USA Films—was looking through a film distribution request sent by Capet Pictures.
"A story about two Americans in a foreign Tokyo, who find it difficult to integrate due to cultural and language differences, and are drawn to each other by loneliness—an extramarital affair between an older man and a young woman—ultimately finding new belief in the infinite possibilities hidden in life."
"The director is Sofia Coppola?"
"Yes, Francis Coppola's daughter!"
The assistant responded, "Capet Pictures is a newly established small company that participated in the development of my big fat greek wedding and underworld."
"lost in translation was independently produced by Capet Pictures, and the cost was not high!"
As one of the founders of Good Machine before the merger, James Schamus knew from the film's cast and setting that its production budget would definitely not exceed 5 million US dollars.
Good Machine's ace collaborating director was the Chinese director Ang Lee; from Pushing Hands all the way to crouching tiger, hidden dragon, which was released the year before last, Ang Lee's collaborators were always Good Machine.
The success of crouching tiger, hidden dragon goes without saying; with a budget of less than 20 million US dollars, it earned over 200 million US dollars globally, setting a box office record for Chinese films.
"A new director, a new producer; let's see how things go after the film is shot," Focus Features was not short of independent films seeking to join them. Although the Coppola family had capabilities, business was business.
Not only that, Capet Pictures didn't just send it to Focus Features; they also sent the plan to other independent film distribution companies like Sony Pictures Classics, Paramount Vantage, and Fox Searchlight Pictures.
Let's see who would be interested in distributing lost in translation.
As for Miramax and Lionsgate Films, Charles decided against them because they had too many films to distribute.
Miramax, not to mention, distributes almost thirty films every year, and there are simply too many films that only last a few days in theaters. In recent years, it has started to engage in large-budget productions.
Lionsgate Films is similar; it also distributes a large number of films each year, and not to mention those that only spend a few days in theaters, even more go straight to the DVD market.
An art-house film like lost in translation doesn't hold much appeal for Lionsgate's pursuit of horror, thrillers, gore, violence, political-religious, and other non-mainstream B-movies.
"Miramax is the overlord of the independent film world. If they distribute it, the manipulability of awards will be much greater," Evelyn was chatting with her son at Capet Pictures.
"They love to hold onto films too much; it's too normal for a film to be held for a few years before release, and now they are involved in several big productions, so their minds must be on those films." Miramax is very strong, that is undeniable.
At this year's Cannes Film Festival, Miramax acquired the North American and five European countries' rights, including Italy, to the Chinese film Hero, spending 20 million US dollars.
Charles knew that Hero pioneered Chinese blockbusters, with an unprecedented investment of 31 million US dollars in China.
It was scheduled to be released in China at the end of the year, but when was it released in North America? In 2004, almost two years later.
Otherwise, Hero's box office in North America should have been more than 50 million US dollars, plus the DVD market and several European regions, Miramax made a comfortable profit from this deal.
"You know, lost in translation is just a script right now. Distributors won't easily sign a distribution contract with you. The main creators don't have any appealing heavyweight filmmakers," Evelyn was still worried that her son would fail.
Charles waved his hand and smiled, "No hurry, let's shoot it first. Then we'll send copies to these independent distribution companies."
"Even if we don't get a distribution contract, we'll just go to film festivals."
As for leveraging Tom Hanks' connections, he didn't invest in this film, so who would care?
"Perhaps the Coppola family will have resources by then," Evelyn was also open-minded; the Hollywood network has always been useful.
"The underworld crew has already left for Budapest. Aren't you going?"
"Yes, I'm definitely going. Mubao Pictures has earned over 2 million US dollars in tax rebates from German film investors, and now they seem to be starting overseas distribution pre-sales. The film hasn't even started shooting, and they probably want to earn back 10 million first." Charles also liked this kind of operation; it should be said that Hollywood liked it the most.
Germany's policy was too attractive; it not only offered tax subsidies to film investors, but more importantly, it did not require the film to be shot in Germany or use German actors.
It only required the film's copyright and future profits to belong to German investors, but German investors needed to produce the film. They could not directly purchase finished films.
For Hollywood, this was simple! First, sell the film's copyright to German investors, then lease it back at a price about 10% lower for production and distribution, and sign a future copyright repurchase agreement.
In the hands of German investors were film production agreements and distribution agreements entrusted to Hollywood, and everyone was happy.
However, Germany's policy loopholes should be gradually closed within the next two or three years. It is still very difficult to secure film tax rebate policies; they have a certain quota each year, depending on the film's suitability, shooting locations, and cast.
In this regard, the advantages of major studios are not comparable to independent films; commercial blockbusters contribute much more to local tourism or cultural enhancement than art-house films.
"I'm a producer, so I definitely have to go see it. For Capet Pictures' production costs, I have to work."
Charles planned to go to Budapest, Hungary, in a week. However, Charles now had over a million in funds that he needed to spend.
First, Capet Pictures needed to move to a new location, as the current office was completely inadequate. Second, he needed to acquire scripts or ideas.
Then, the company needed to hire people. It was not feasible to work alone anymore; not even having an assistant was simply unacceptable.