Eisner Was Wise to Let Pixar Go
Whatever his shortcomings, Michael Eisner was wise enough to see that a deal in which Disney was required to share production costs yet receive only a distribution fee was a bad deal for the company (“Pixar Chief Disparages Disney’s Creativity,” Feb. 5).
By the same token, Pixar’s Steve Jobs should remember that a deal is a good deal only if it is good for both sides. It’s hard to imagine any studio in Hollywood making a deal wherein it shares the liability of production costs but has no profit participation beyond a distribution fee.
One mediocre film and a seemingly good deal becomes a financial drain -- all the more so when a studio has paid handsomely in the form of sharing production costs yet has no participation in back-end profit.