WEBVTT - Warner Bros Motion Picture Group Co-CEOs Pamela Abdy & Michael De Luca at Bloomberg Screentime 0:00:02.520 --> 0:00:08.480 Bloomberg Audio Studios, podcasts, radio news. Well, let's get through 0:00:08.480 --> 0:00:11.120 the main stage here at Bloomberg screen Time go into 0:00:11.240 --> 0:00:13.920 a conversation with hambla Abdy and Michael de Luca. They're 0:00:13.960 --> 0:00:17.520 the co chair and CEOs of Warner Brothers Motion Pictures Group. 0:00:17.640 --> 0:00:19.120 I want to start on the state of the movie 0:00:19.120 --> 0:00:21.119 business because you were two of the biggest cinophiles in 0:00:21.160 --> 0:00:25.279 the world, I'd say, and I was listening to an 0:00:25.280 --> 0:00:27.840 appearance you guys made on the SmartLess podcast earlier this year, 0:00:27.880 --> 0:00:29.640 and you were talking about how there are not enough 0:00:29.680 --> 0:00:33.040 movies being made and you're sort of I was struck 0:00:33.080 --> 0:00:36.240 because you guys run a movie studio that would seem 0:00:36.280 --> 0:00:38.800 to be within your power to decide how many movies 0:00:38.840 --> 0:00:42.680 you make, So why don't you and your peers make 0:00:42.760 --> 0:00:43.360 more movies? 0:00:44.159 --> 0:00:46.239 Well, we have made more movies, so you know are 0:00:46.440 --> 0:00:47.879 One of the first things we were tasked to do 0:00:47.920 --> 0:00:49.720 when we got to the studio was increased the output, 0:00:49.800 --> 0:00:51.919 and I think we increased it from I think when 0:00:51.920 --> 0:00:53.800 we got there it was four to six movies and 0:00:53.840 --> 0:00:56.400 we're up to twelve this year, heading towards eighteen hopefully, 0:00:56.480 --> 0:00:58.880 so we're doing our part. I feel like and one 0:00:58.920 --> 0:01:01.320 of the most amazing things. The reason we're so optimistic 0:01:01.320 --> 0:01:04.840 about our business is Warner Brothers achieved four billion in 0:01:04.880 --> 0:01:08.080 worldwide gross this year, the first time since twenty nineteen, 0:01:08.200 --> 0:01:10.320 so at least in terms of our studio, we're already 0:01:10.360 --> 0:01:13.800 at pre pandemic levels. But I think the most significant 0:01:13.800 --> 0:01:16.520 metric is we did it on nine less movies than 0:01:16.560 --> 0:01:19.600 twenty nineteen. We did it on eleven movies, and they 0:01:19.640 --> 0:01:22.319 had twenty shots at it, which I think shows that 0:01:22.319 --> 0:01:25.240 there's a robust theatrical audience just waiting for more movies 0:01:25.280 --> 0:01:26.000 to get made. 0:01:26.160 --> 0:01:28.000 They always talk about, you know, box. 0:01:27.720 --> 0:01:30.560 Offices down anywhere from twenty five to thirty percent, but 0:01:30.680 --> 0:01:33.760 there's also twenty five percent less movies right in the marketplace. 0:01:33.800 --> 0:01:35.800 So that's why we always feel like it's a it's 0:01:35.800 --> 0:01:38.080 a glass half full situation, and if there were more movies, 0:01:38.120 --> 0:01:39.480 you'd see that box office climb. 0:01:39.680 --> 0:01:41.600 Well. One of the reasons that I assume that the 0:01:42.040 --> 0:01:46.000 number of movies is down is how expensive it has 0:01:46.040 --> 0:01:48.360 become to make them. So, as someone who's not part 0:01:48.400 --> 0:01:51.080 of the sausage making process, why does it feel like 0:01:51.240 --> 0:01:54.320 every major studio release now costs two hundred million dollars. 0:01:54.800 --> 0:01:56.240 I don't think every. 0:01:56.480 --> 0:01:59.280 Weapons did not. But can we agree that the cost 0:01:59.320 --> 0:02:01.080 of making movies has gone up a lot? 0:02:01.160 --> 0:02:02.520 Sure, we can absolutely agree. 0:02:02.560 --> 0:02:05.000 I think the way we look at it is a 0:02:05.000 --> 0:02:08.920 diverse slate, right, And we look at different metrics and 0:02:09.040 --> 0:02:12.359 different size movies, and it's really about balancing the slates. 0:02:12.440 --> 0:02:15.480 So there's no one size fits all approach to budgeting 0:02:15.560 --> 0:02:17.760 of film. You have to meet with the filmmaker. You 0:02:17.760 --> 0:02:19.360 have to look at what the story is, who the 0:02:19.400 --> 0:02:23.120 audience is, what genre is. We share it with our 0:02:23.160 --> 0:02:25.080 teams around the world, and we all come up with 0:02:25.080 --> 0:02:27.639 the right size budget for that film. And it's really 0:02:27.720 --> 0:02:30.240 it really leads with being based on the vision. 0:02:30.000 --> 0:02:30.720 Of the filmmaker. 0:02:31.120 --> 0:02:33.799 Right. Okay, that does make me want to I wasn't 0:02:33.800 --> 0:02:35.240 going to get here yet, but I want to zoom 0:02:35.240 --> 0:02:38.880 ahead to the movie you just released one battle after another, 0:02:38.919 --> 0:02:41.720 Paul Thomas A Andason movie. Great movie. Everyone thinks it's, 0:02:41.919 --> 0:02:44.359 if not the front runner for Best Picture one of them. 0:02:45.240 --> 0:02:47.760 You gave one hundred and thirty five million dollar budget 0:02:47.760 --> 0:02:49.720 to a director who never had a movie gross one 0:02:49.760 --> 0:02:52.519 hundred million dollars. Can you walk me through how that 0:02:52.639 --> 0:02:55.239 worked in your the formula you were just talking. 0:02:55.000 --> 0:02:58.960 About not confirming that that's the budget. Okay, however to 0:02:59.040 --> 0:03:02.160 point take in that it's Paul's most expensive movie, I 0:03:02.200 --> 0:03:04.040 think when you know, when we all read it in 0:03:04.080 --> 0:03:07.639 this Pam set in our organization, you know, we are 0:03:07.720 --> 0:03:11.639 really big on sharing the script with our teams, both 0:03:11.639 --> 0:03:14.320 international domestic. Everybody who's got a stake in that movie's 0:03:14.320 --> 0:03:17.679 success gets to weigh in, and we arrive as many 0:03:17.720 --> 0:03:19.679 studios as all the studios do with a model that 0:03:19.760 --> 0:03:22.600 basically informs the green light process. So we read this 0:03:22.600 --> 0:03:24.120 two and a half years ago as a as a 0:03:24.120 --> 0:03:28.040 satirical action comedy with Leo, and you know, because it 0:03:28.080 --> 0:03:30.400 read like the masterpiece it is, we leaned in, like 0:03:30.440 --> 0:03:32.560 if we we set up the kind of you know, 0:03:32.680 --> 0:03:35.320 rigorous analysis that enables us to trigger a green light, 0:03:35.760 --> 0:03:37.880 but if it's a if it's a you know, a 0:03:37.920 --> 0:03:41.720 bold provocative swing, we're just our dna is to lean 0:03:41.760 --> 0:03:43.080 in and give it a shot. 0:03:43.200 --> 0:03:45.480 So Leo's comps kind. 0:03:45.320 --> 0:03:48.040 Of gave it the credibility to say, well, we can 0:03:48.080 --> 0:03:50.840 aim for the high case. But really what carried the 0:03:50.920 --> 0:03:52.680 day was just it read like the movie it is. 0:03:52.680 --> 0:03:54.880 It just read like a masterpiece and one of the 0:03:54.920 --> 0:03:58.600 overriding operating principles at the studio is to is to 0:03:58.680 --> 0:04:01.600 continue that legacy of Warren, whether it was Stanley Kubrick 0:04:01.680 --> 0:04:04.400 or Queen Eastwood or Ben Affleck. But get into these 0:04:04.400 --> 0:04:07.120 situations with the best filmmakers of the day and try 0:04:07.160 --> 0:04:09.200 to bring people, try to bring audiences or a star 0:04:09.320 --> 0:04:13.200 for originality, you know, new masterpieces, new modern masterpieces, and 0:04:13.200 --> 0:04:14.920 that's that's what we feel like Paul's given us. 0:04:15.000 --> 0:04:17.160 So we're going to set aside the masterpiece part of 0:04:17.160 --> 0:04:19.159 the conversation for a second. Do you think that the 0:04:19.200 --> 0:04:20.880 movie will be a commercial success? 0:04:21.120 --> 0:04:21.479 I do. 0:04:21.640 --> 0:04:24.520 I'm a believer. It's a marathon with this movie, not 0:04:24.600 --> 0:04:26.719 a sprint. I think it's going to lag out to 0:04:26.800 --> 0:04:28.040 a number that we'll be happy with. 0:04:28.200 --> 0:04:30.640 Yeah, but it's hard. We can't divorce. 0:04:30.680 --> 0:04:33.480 I'd be lying if I said we're divorcing it from 0:04:33.640 --> 0:04:36.760 the pride we have in it, and you know it's it. 0:04:37.360 --> 0:04:41.000 And also with Weapons and Centers, what those three movies 0:04:41.040 --> 0:04:44.040 say about the chances for original films to get made, 0:04:44.120 --> 0:04:45.760 you know, from the best directors working today. 0:04:45.800 --> 0:04:47.440 It's where Warner Brothers. 0:04:47.200 --> 0:04:49.760 Wants to be and it goes into our overall strategy. 0:04:49.960 --> 0:04:52.560 You know, when we met with David three years ago, 0:04:52.920 --> 0:04:56.080 we sat down and we said very clearly, let's bring 0:04:56.160 --> 0:04:58.799 the best storytellers to Warner Brothers. 0:04:59.040 --> 0:04:59.839 And that's what we've done. 0:05:00.040 --> 0:05:03.880 We've tried to do a mix of IP movies genre films. 0:05:03.920 --> 0:05:06.479 It's really about the balance of the whole slate, and 0:05:06.839 --> 0:05:09.719 you know, David us he's been so supportive in that. 0:05:09.839 --> 0:05:12.919 And I feel like this year our slate really, you know, 0:05:13.640 --> 0:05:15.360 shows what our mission is. 0:05:15.400 --> 0:05:18.279 Would you say that David has always been supportive, Yes, 0:05:18.800 --> 0:05:22.840 from day one? And well, okay, we got we have 0:05:22.920 --> 0:05:26.279 We have to address the fact that earlier this year 0:05:26.760 --> 0:05:29.719 he was out there meeting with people. It was he 0:05:29.880 --> 0:05:33.720 was not being very subtle about potentially looking for replacements 0:05:33.720 --> 0:05:34.000 for you. 0:05:34.120 --> 0:05:38.160 Listen, we can't we can't address the speculation and rumors 0:05:38.200 --> 0:05:41.839 and all that stuff. All I can say is, David, 0:05:42.000 --> 0:05:44.200 Mike and I had the privilege of seeing all these 0:05:44.240 --> 0:05:47.919 movies early. We knew what we had with the filmmakers 0:05:47.960 --> 0:05:50.080 and with these stories, and we just couldn't wait for 0:05:50.160 --> 0:05:54.600 audiences to see them. So we David was completely supportive 0:05:54.640 --> 0:05:56.960 of every film and of Mike and I and the 0:05:57.040 --> 0:05:58.080 choices we made. 0:05:58.560 --> 0:06:02.960 Well, you got re upped yesterday, So clearly when you 0:06:03.000 --> 0:06:05.320 go in a tear whatever your boss may or may 0:06:05.320 --> 0:06:08.120 not be thinking for some just ae strategy. 0:06:08.440 --> 0:06:10.920 Well, it got announced yesterday, but as it had been 0:06:10.920 --> 0:06:11.920 done before. 0:06:11.640 --> 0:06:17.640 The hot streak for the year I feel like started 0:06:17.640 --> 0:06:20.680 with Minecraft. Is that fair to say? For a long time, 0:06:20.720 --> 0:06:23.000 movies based on video games, TV shows based on video 0:06:23.000 --> 0:06:25.240 games didn't work, And that's totally flipped in the last 0:06:25.279 --> 0:06:28.559 couple of years. We just had David talking about about 0:06:28.680 --> 0:06:32.200 Call of Duty. What do you think has there been 0:06:32.240 --> 0:06:34.680 some change in culture as to why these movies are 0:06:34.720 --> 0:06:37.480 now working or is it. 0:06:36.600 --> 0:06:38.240 I think it all goes back to talent, you know, 0:06:38.320 --> 0:06:40.560 Like we don't. I think it's dangerous to traffic and 0:06:40.600 --> 0:06:43.880 blanket statements or any any genre, any adapting from any medium. 0:06:43.960 --> 0:06:45.719 So I don't know how other people do it, but 0:06:45.720 --> 0:06:47.520 we look at adapting from a video game the way 0:06:47.560 --> 0:06:49.359 you look at adapting from a book or a play 0:06:49.440 --> 0:06:51.400 or anything it's not a movie, and just try to 0:06:51.440 --> 0:06:55.839 apply the same basic rules of common sense. Do we 0:06:55.839 --> 0:06:57.479 have the right writer, Do we have the right writing team, 0:06:57.520 --> 0:06:59.640 do we have the right filmmaker. I think anything can 0:06:59.680 --> 0:07:03.720 become a great movie if the filmmakers are castwell got it. 0:07:04.880 --> 0:07:09.040 That was followed by Sinners Big Swing. Were you at 0:07:09.080 --> 0:07:11.040 any point nervous about how it was going to do? 0:07:11.560 --> 0:07:13.960 No, I mean, I think from the moment we read 0:07:14.000 --> 0:07:18.920 the script, Ryan is just a singular visionary filmmaker. The 0:07:18.960 --> 0:07:20.760 moment we read the script, we saw it on the 0:07:20.800 --> 0:07:24.360 page collaborating with him. I mean, I just think what 0:07:24.440 --> 0:07:28.280 this movie has meant to audiences and how it's ignited 0:07:28.360 --> 0:07:31.440 them in conversation. I mean, there was this amazing moment 0:07:31.480 --> 0:07:33.040 that happened over the course of the film. When it 0:07:33.080 --> 0:07:36.000 was released, there was an open letter written to the 0:07:36.000 --> 0:07:39.800 studio and to Ryan from a young man from Clarksdale, Mississippi, 0:07:40.000 --> 0:07:42.960 who drove ninety minutes twice to see the film because 0:07:42.960 --> 0:07:46.560 Clarksdale doesn't have a movie theater, so we brought a 0:07:46.600 --> 0:07:49.600 movie theater to Clarksdale, Mississippi, and we went down there 0:07:49.600 --> 0:07:52.400 for the weekend and we met members of the community 0:07:52.480 --> 0:07:56.920 and this young man who is an organizer, and it was, honestly, 0:07:57.000 --> 0:07:59.240 it was one of the most special moments of my career. 0:07:59.320 --> 0:08:03.080 I can't tell you the conversations that were had and 0:08:03.200 --> 0:08:07.200 the audience feeling that movie, feeling that music, meeting the 0:08:07.280 --> 0:08:10.760 musicians who live and who Ludwig and Ryan gathered for 0:08:10.800 --> 0:08:14.360 the you know, from the Delta Blues to create this movie. 0:08:14.720 --> 0:08:17.720 You can't take that away. That is the power of storytelling. 0:08:18.560 --> 0:08:20.600 You talk about wanting to be in business with the 0:08:20.600 --> 0:08:23.040 best filmmakers. We have Ryan coming on later today, So 0:08:23.040 --> 0:08:25.960 I'm curious what like you've worked with between the two 0:08:26.000 --> 0:08:29.160 of you, probably most of the best directors in Hollywood. 0:08:29.520 --> 0:08:32.360 What is it that sets Ryan apart from his peers. 0:08:32.400 --> 0:08:34.480 Is there something specific about him that you feel like, 0:08:35.400 --> 0:08:35.760 you know, we. 0:08:35.760 --> 0:08:39.160 Love all our children kind of a thing. But but 0:08:39.200 --> 0:08:41.320 I'll tell you, I'll tell you straight up. Ryan is 0:08:41.360 --> 0:08:45.800 all heart. And you know, he did a thing. We 0:08:45.840 --> 0:08:47.560 didn't think it was going to become a marketing tool, 0:08:47.559 --> 0:08:50.160 but he did a thing where he explained it was 0:08:50.160 --> 0:08:52.800 for code act. You know why he picked the film 0:08:52.800 --> 0:08:54.760 formats he picked and why. I mean, he's just talking 0:08:54.760 --> 0:08:56.560 about purfs and things that I should know. I mean 0:08:56.640 --> 0:09:00.080 I kind of know, but he makes it completely not 0:09:00.080 --> 0:09:04.440 only understandable, but he managed in an instructional thing for 0:09:04.559 --> 0:09:08.880 Kodak to connect with cinephiles of like, Hey, the subtext 0:09:09.080 --> 0:09:11.760 was I made this for you. I took the time 0:09:11.880 --> 0:09:15.119 to really pour over what would be the best presentation 0:09:15.200 --> 0:09:18.640 of this story for you with theatrical audience, and they felt, Wow, 0:09:18.679 --> 0:09:19.840 this guy made it for us. 0:09:20.080 --> 0:09:21.439 I'm going to go see it on a big screen. 0:09:21.720 --> 0:09:24.640 Ryan's ability to connect with his audience both in the 0:09:24.679 --> 0:09:27.160 material and then just talking about his movies is really 0:09:27.240 --> 0:09:29.960 unique to Ryan, and we're now making every director do it, 0:09:30.559 --> 0:09:31.720 even if they have to get training. 0:09:33.720 --> 0:09:36.880 One thing that was really well publicized leading up to 0:09:36.880 --> 0:09:39.120 the film's releases. In order to get the rights, you 0:09:39.200 --> 0:09:41.840 had agreed to give him ownership, I think twenty five 0:09:41.920 --> 0:09:44.400 years after the fact. Why do you think that became 0:09:44.440 --> 0:09:46.600 such a talking point and have you done that with 0:09:46.640 --> 0:09:48.000 other filmmakers previously. 0:09:48.800 --> 0:09:52.040 I think I just think there was an outsized spec 0:09:52.200 --> 0:09:54.960 you know, conversation about it because it was unique, but 0:09:55.000 --> 0:09:57.320 it was unique to this movie, and it was unique 0:09:57.320 --> 0:10:00.920 to Ryan's you know, to this deal. Think the importance 0:10:00.960 --> 0:10:03.760 of this movie and how it's affected audiences is what 0:10:03.800 --> 0:10:07.079 we should all be talking about, because, honestly, I went 0:10:07.120 --> 0:10:10.480 to the theater that opening weekend and seeing audiences on 0:10:10.559 --> 0:10:11.960 seventy MILIAMUIN or Imax. 0:10:12.000 --> 0:10:13.559 It's the greatest feeling in the world. 0:10:16.120 --> 0:10:17.959 Both of you talked about the codec video. One of 0:10:18.000 --> 0:10:20.120 the things that I think Mindcraft and Centers shared is 0:10:20.160 --> 0:10:25.600 they both developed a lot of momentum online which felt organic, 0:10:26.840 --> 0:10:28.719 and so I'm curious when it feels like a lot 0:10:28.720 --> 0:10:31.880 of things become hits almost beyond your control, how do 0:10:31.920 --> 0:10:34.680 you plan for that when you're thinking about green lights, 0:10:34.679 --> 0:10:37.040 when you're thinking about marketing, because you obviously can't factor 0:10:37.080 --> 0:10:38.720 in like, well, this one's going to go viral on 0:10:38.760 --> 0:10:40.320 TikTok and this one'st. 0:10:40.640 --> 0:10:41.080 Well, you know. 0:10:41.160 --> 0:10:45.120 The first one of the things Davids asked us with was, 0:10:45.320 --> 0:10:47.840 you know, even though we inherited the organization, what's the 0:10:47.920 --> 0:10:51.160 right balance for the era that we're in. So that 0:10:51.200 --> 0:10:54.280 involved a reorg of marketing and distribution. So when we 0:10:54.320 --> 0:10:57.600 elevated the next generation of marketing leadership at the studio, 0:10:58.160 --> 0:10:58.960 we talked. 0:10:58.640 --> 0:11:00.520 About virality a lot. 0:11:00.559 --> 0:11:03.359 We talked about where audiences are getting their movie advertising 0:11:03.400 --> 0:11:05.840 now and what the kindling is for each project to 0:11:06.120 --> 0:11:10.320 light those bonfires online and getting that core audience, whether 0:11:10.360 --> 0:11:12.880 it was the gamers on Minecraft or the African American 0:11:12.880 --> 0:11:16.800 audience on Sinners really White Hot over something you know 0:11:16.800 --> 0:11:18.240 that we knew they were going to like and being 0:11:18.240 --> 0:11:22.439 able to amplify that heat to the general audience really 0:11:22.440 --> 0:11:25.320 became the corner of the realm in our new marketing department. 0:11:25.440 --> 0:11:28.000 So while you can't plan for it, you can arrange 0:11:28.040 --> 0:11:30.920 the chess pieces to take advantage of it if it happens. 0:11:31.840 --> 0:11:34.240 Are we going to get sequels to either Minecraft or Sinners? 0:11:35.240 --> 0:11:37.520 You're definitely going to get a sequel to Minecraft. You know, 0:11:37.679 --> 0:11:41.920 Sinners is such a singular vision from a signature filmmaker, 0:11:42.360 --> 0:11:44.720 and it wasn't really set up to be an expanded universe. 0:11:44.760 --> 0:11:47.520 We just think it's again another cinematic masterpiece. We're lucky 0:11:47.559 --> 0:11:47.800 to have. 0:11:48.000 --> 0:11:48.679 Yeah. 0:11:48.720 --> 0:11:54.840 Cool. One more question about this year's slate. You have 0:11:54.880 --> 0:11:57.600 I think the only all of the horror movies to 0:11:57.600 --> 0:11:59.720 gross more than one hundred million dollars, and nothing else 0:11:59.800 --> 0:12:04.600 has worked at that level other than our movies are good? 0:12:05.160 --> 0:12:08.640 Can you give some explanation for why your horror movies 0:12:08.679 --> 0:12:11.120 have worked better than others, including those from some people 0:12:11.160 --> 0:12:12.800 who've had a lot of success in the in the 0:12:12.840 --> 0:12:13.800 recent history. Sure. 0:12:13.840 --> 0:12:14.480 I mean I got to call it. 0:12:14.640 --> 0:12:17.840 Richard Brenner, who pitched a perfect game for us this year, 0:12:17.880 --> 0:12:22.360 and his second Lieutenant Dave Newstetter, when we looked at 0:12:22.679 --> 0:12:25.240 the ip that Newline was sitting on, you know, reactivating 0:12:25.240 --> 0:12:28.360 the Final Destination franchise, you know, adding to the Conjuring 0:12:28.559 --> 0:12:29.760 universe or priorities. 0:12:30.120 --> 0:12:31.079 But we always try. 0:12:30.920 --> 0:12:33.600 To when we're doing legacy sequels, we think it's really 0:12:33.640 --> 0:12:37.120 important to innovate within the genre or innovate within the franchise. 0:12:37.160 --> 0:12:39.440 So I think one of the reasons they overperformed, aside 0:12:39.440 --> 0:12:41.920 from the fact that you know, we supercharged the marketing 0:12:41.920 --> 0:12:48.280 department with fresh thinking, is Final Destination wasn't just another chapter. 0:12:48.679 --> 0:12:50.600 It was an idea by John Watts, you know, from 0:12:50.640 --> 0:12:54.600 the Spider Man trilogy, and it's kind of a fun story. 0:12:54.640 --> 0:12:56.840 He had a first date with his with his soon 0:12:56.880 --> 0:12:58.680 to be wife at a Final Destination movie. 0:12:58.720 --> 0:12:59.200 So it was an. 0:12:59.080 --> 0:13:01.120 Incoming call that new and got John Watch was like, hey, 0:13:01.160 --> 0:13:02.400 do you mind if I come up with a story 0:13:02.400 --> 0:13:04.120 for Final Destination And they were like. 0:13:04.160 --> 0:13:05.280 Yeah, that'd be great. 0:13:05.840 --> 0:13:09.480 And then Zach and Adam who directed, brought this incredible 0:13:09.480 --> 0:13:11.800 sense of humor, and you know they did they did 0:13:11.840 --> 0:13:13.840 a real remember when they were when they were presenting 0:13:13.840 --> 0:13:18.240 to us of they worshiped the premise. Their approach to 0:13:18.320 --> 0:13:22.000 it was fresh and innovative, kind of give universal props 0:13:22.000 --> 0:13:24.440 for bringing that to Jurassic Park and through the Fast 0:13:24.480 --> 0:13:28.280 and Furious franchises. We think with franchises that are particularly 0:13:28.320 --> 0:13:30.480 long in the tooth, you really have to innovate within 0:13:30.520 --> 0:13:33.319 the genre. So I think Final Destination overperformed because of 0:13:33.400 --> 0:13:35.240 Zach and Adam and just the thinking that went into 0:13:35.240 --> 0:13:38.720 it from John Watts and Michael Chavez. With conjuring, he 0:13:38.800 --> 0:13:41.199 received the reins you know from from James Want and 0:13:41.280 --> 0:13:44.280 Jayson Blum and kind of became the creative clearinghouse and 0:13:44.360 --> 0:13:46.920 his path. I think the common element is none of 0:13:46.960 --> 0:13:49.480 them were phoned in. None of them were Oh it's 0:13:49.520 --> 0:13:51.920 a bunch of executives in a room saying milk that franchise. 0:13:52.240 --> 0:13:55.439 You know, it was talent first, So Michael's excitement, Zach 0:13:55.480 --> 0:13:59.000 and adams excitement. Audiences I think can tell when something 0:13:59.040 --> 0:14:01.160 is not prefabricated or phoned in, when it has a 0:14:01.200 --> 0:14:03.880 reason to be and we always think that's the filmmakers, 0:14:03.920 --> 0:14:05.800 so we were able to I think that's why those 0:14:05.800 --> 0:14:09.480 horror films overperformed. And then Zach is it. Kreiger is 0:14:09.520 --> 0:14:11.160 just a breath of fresh air for an audience. I 0:14:11.160 --> 0:14:13.920 still think that star for originality. He's just like a 0:14:13.960 --> 0:14:15.240 really exciting new presence. 0:14:15.400 --> 0:14:17.360 Yes, the director of Web Yeah, yeah, Weapons. 0:14:17.520 --> 0:14:19.640 I mean that was one of the best scripts I've read, 0:14:19.680 --> 0:14:21.200 and like probably last. 0:14:21.000 --> 0:14:23.280 And just the just the quality of it. Yeah, I 0:14:23.360 --> 0:14:25.360 think it was key to that movie overperforming. 0:14:25.440 --> 0:14:27.840 That's the other thing that's important is the script. You know, 0:14:28.560 --> 0:14:30.880 it all starts with the story, and it all starts 0:14:30.920 --> 0:14:33.160 with the script. And if it's on the page and 0:14:33.200 --> 0:14:36.120 you have the right filmmaker that approaches especially some of 0:14:36.160 --> 0:14:39.280 the IP with zero cynicism because they love the IP, 0:14:39.520 --> 0:14:42.640 they love these characters. I just think that magic comes 0:14:42.680 --> 0:14:44.960 together and that with the marketing is what makes it. 0:14:45.000 --> 0:14:47.440 Although, to go back to your earlier question to Pam's point, 0:14:47.600 --> 0:14:49.960 I think one of the reasons negative costs have climbed 0:14:49.960 --> 0:14:51.960 out of control. And this is just was my experience 0:14:52.000 --> 0:14:56.720 as a producer studios when they green light something without 0:14:56.720 --> 0:14:58.840 a lock script and you're writing or in production or 0:14:59.200 --> 0:15:01.880 got rivid preprint, and then you're fixing in posts to 0:15:01.920 --> 0:15:04.640 make a release date, you cost balloon. So if you 0:15:04.640 --> 0:15:06.320 can really be it's hard, But if you can really 0:15:06.320 --> 0:15:09.480 be disciplined about locking that script before green light and 0:15:10.120 --> 0:15:12.760 not having to have to face twenty thirty forty percent 0:15:12.800 --> 0:15:15.120 of the movie reshot and post, especially on a special 0:15:15.120 --> 0:15:18.800 effects movie, you can maintain some cost controls. We we 0:15:18.920 --> 0:15:21.240 lowered the average native costs at the studio from like 0:15:21.480 --> 0:15:23.760 you know, one sixty eight to one twenty eight or 0:15:23.760 --> 0:15:27.240 one oh six even this year, and it just takes discipline. 0:15:27.520 --> 0:15:29.520 We're going to ask the audience the question so that 0:15:29.800 --> 0:15:31.720 so that we don't have to make you choose between 0:15:31.720 --> 0:15:35.200 your children. Okay, but I'm still going to ask you 0:15:35.240 --> 0:15:35.880 for your thank you. 0:15:35.960 --> 0:15:37.280 It's very compassionate of you. 0:15:38.360 --> 0:15:40.600 Which director has had the best career? I guess that 0:15:40.680 --> 0:15:42.600 really depends on what is that? What is it are 0:15:42.640 --> 0:15:44.800 you talking about commercially? Are you talking about who's just 0:15:44.840 --> 0:15:47.160 made the best movies, who's made the most interesting range 0:15:47.160 --> 0:15:47.720 of movies. 0:15:48.800 --> 0:15:50.040 It's kind of fun to throw that up the dough 0:15:50.080 --> 0:15:51.200 and see how your audience will. 0:15:51.120 --> 0:15:52.840 Will get the answer. To get the answer, yes, we 0:15:52.880 --> 0:15:56.160 will see how the audience deals. I Like I said, 0:15:56.160 --> 0:15:57.480 I wasn't going to ask you a lot about M 0:15:57.480 --> 0:15:59.440 and A, but I do have to ask you, how 0:15:59.440 --> 0:16:02.680 are you guys feeling about the spin of your company 0:16:02.720 --> 0:16:05.480 and what is kind of what is the mood internally 0:16:05.560 --> 0:16:07.400 about the changes to come. 0:16:07.560 --> 0:16:09.240 Yeah, we're I mean, listen, we're focused. 0:16:09.240 --> 0:16:11.760 As you know, we announced earlier that we're splitting the 0:16:11.760 --> 0:16:15.200 company too into two different entities, and that's where we're 0:16:15.200 --> 0:16:18.200 focused on. And really nothing has changed the day to day. 0:16:18.560 --> 0:16:21.400 We're co CEO's of the movie business. We're planning our 0:16:21.440 --> 0:16:24.320 slates for twenty six, we're planning our slates for twenty seven, 0:16:24.640 --> 0:16:27.280 so nothing has changed, and we're feeling really excited. 0:16:27.000 --> 0:16:28.840 As you can imagine. You know, when there's a good 0:16:28.880 --> 0:16:31.000 run at a studio, morale is pretty high. So we 0:16:31.520 --> 0:16:34.920 have great morale at the studio right now. The team 0:16:34.960 --> 0:16:37.400 has clicked, you know, almost like a tribe or a family. 0:16:38.400 --> 0:16:41.520 It's been two years of transformation, and this slate was 0:16:41.600 --> 0:16:44.400 kind of the inaugural slate of the new Warner Brothers, 0:16:44.440 --> 0:16:45.960 so everyone's morale is very high. 0:16:46.240 --> 0:16:48.640 But as far as the moment we. 0:16:48.680 --> 0:16:50.240 Ran, you know, we just figured there's always going to 0:16:50.240 --> 0:16:52.600 be speculation and we just try to keep our heads 0:16:52.600 --> 0:16:54.280 down and stick to the job at hand. 0:16:54.400 --> 0:16:56.600 And what has the response been like internally when you 0:16:56.640 --> 0:16:58.520 have sort of constant headlines about the guy who is 0:16:58.560 --> 0:17:00.040 just here buying your company. 0:16:59.720 --> 0:17:05.479 You know, our north start, our north star is do 0:17:05.560 --> 0:17:06.040 the work. 0:17:06.280 --> 0:17:08.359 Keep your head down and do the work. There's always 0:17:08.440 --> 0:17:10.840 going to be speculation in our business. We're in a 0:17:10.920 --> 0:17:13.639 you know, a massive time of disruption, and everyone's going 0:17:13.720 --> 0:17:16.160 to constantly be saying, what's going to happen next, who's 0:17:16.200 --> 0:17:18.240 going to be there, who's you know, you can't focus 0:17:18.280 --> 0:17:18.480 on that. 0:17:18.520 --> 0:17:19.800 You have to focus on the work. 0:17:19.960 --> 0:17:23.119 And I think what's so exciting about Warner Brothers right now, 0:17:23.119 --> 0:17:25.160 even though it's an over one hundred year old company, 0:17:25.520 --> 0:17:28.520 we all approach it with like startup energy. So it's 0:17:28.600 --> 0:17:31.240 just it's actually a really great time to be making 0:17:31.280 --> 0:17:32.320 movies and TV. 0:17:32.520 --> 0:17:34.880 Our teams, you know, have our our teams are used 0:17:34.880 --> 0:17:36.000 to it because it's you know. 0:17:35.880 --> 0:17:37.760 It's this company has been bought and soul. 0:17:37.720 --> 0:17:40.119 Right or some of the some of the inherited Warner people, 0:17:40.160 --> 0:17:43.280 you know, understand this feeling. But to Pam's point about 0:17:43.280 --> 0:17:46.719 startup energy, when when when we started to work for David, 0:17:47.160 --> 0:17:50.040 you know, his one of his edicts to us is, 0:17:50.119 --> 0:17:52.640 you know, challenge all assumptions. You know, the business has 0:17:52.680 --> 0:17:54.760 to transform, it has to adapt to the moment we're in. 0:17:55.160 --> 0:17:57.200 And we talked about Moneyball a lot you know, because 0:17:57.280 --> 0:17:59.560