Official Says Europe Willing to Do Lunch

An influential European official involved in film and television policy-making assured Hollywood on Tuesday that Europe will be open to discussions about loosening its restrictive film and television policies.

But Joao de Deus Pinheiro also warned that European countries may impose further “shrewd protectionist measures” unless their moribund entertainment industry recovers.

Pinheiro, European commissioner for culture and audiovisual policy, traced protectionist sentiment that came to a head in December’s Geneva trade talks to the poor shape of Europe’s film and television production. In the eventual trade agreement reached under the General Agreement on Tariffs and Trade, Hollywood was unable to get audiovisual issues included--thus missing an opportunity to have European protectionist measures eased. Some countries, for example, impose quotas on U.S. films broadcast on television.

“If the industry picks up and it is seen as picking up, then all these measures will fade away,” Pinheiro predicted.

His remarks came during a luncheon speech and news conference at the American Film Market in Santa Monica.

Hollywood gets about 50% of its box office revenue from overseas.

Reflecting the seriousness of the issue, many of Hollywood’s top leaders have been meeting with Pinheiro this week while he is in town.

Pinheiro said European Union officials plan to draft a “green paper” on audiovisual issues, although the paper’s eventual purpose remains vague. “What it means is not to identify remedies, but rather to stir the discussions,” Pinheiro said.

Jack Valenti, president of the Motion Picture Assn. of America, said the trade group has offered its input but hasn’t been invited to give it yet.

“The only thing I hope is that they don’t make things sterner, tougher and increase the governmental regulatory thicket through which one must pass,” Valenti said.

Separately, Pinheiro denied reports that he is out to lower the boom on United International Pictures, which distributes movies in foreign markets for Universal Pictures, Paramount Pictures and MGM/UA. Reports have quoted Pinheiro as opposing an extension of an antitrust waiver to UIP. He said he was only expressing the widely held view of European business, not his personal opinion.