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Hollywood,USA also Caught Up in the Financial Crisis

For some people, there was a thought that the movie industry in Hollywood wouldn't get hit by the financial crisis. It turns out that the industry got hit quite hard. Banks aren't so confident to lend producers sums of money for months.

While income from theaters nationally decreased, the income from DVD sales aren't good either.The problem got more complicated when the Screen Actors Guild will make a strike again.
As the city of angels, LA is getting to be a more and more expensive place to produce a television series says an executive in the industry.



Other states like Illinois, Michigan and New York gave tax incentives up to 40 percent for movie or TV production. Two top serial TV had moved to New York.One is 'In Treatment'(HBO) and the other is 'Ugly Betty'(ABC). The governor ,Arnold Schwarzenegger is worried of this situation and asked the State legislators to pass the incentives.
Total box office movies produced this year was 67 less than last year.Paramount says it will only produce 20 movies per year not 25.Time Warner closed its New Line Cinema business unit.
It's been tough for the economy at Hollywood these days. (source BW)
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