Lorimar-Telepictures and HBO reached agreement.
Under the agreement, Home Box Office will acquire pay-TV rights to the motion pictures released by Lorimar-Telepictures for the next three years. Craig Baumgarten, president of Lorimar Motion Pictures, said the company can elect to ask HBO to accept the films on an exclusive basis, triggering the payment of a premium. The two companies also agreed that Lorimar will distribute HBO made-for-pay-TV movies to overseas markets as well as to networks, syndicated TV and home video markets in the United States. Baumgarten said the deal could be worth up to $100 million to his company.