Spain's Morena Films and Switzerland's ZodiacPictures have agreed to develop two new feature films together, starting withEnglish-language comedy Swiss Boarding School.

School (workingtitle) is set in an uppity institute in the Swiss Alps which is turned upsidedown by the arrival of an outrageous Spanish student. Morena regular writerJuan Carlos Rubio (Slam) will script the film for a planned 2005 shoot.

"The concept is to combine elements from differentcountries to give the films an international scope, a la pan-European hit L'AubergeEspagnole", says Pedro Uriol, whooversees Morena's teen label Happy Hour.

"We are both interested in making commercial moviesfor teen audiences and our company philosophies are the same: first we developa project and draft a good script, then we decide on a director," addsZodiac's Lukas Hobi, producer of Swiss box office hit Ready, Steady,Charlie!

Hobi and Uriol met atCannes this year when both were selected as "Producers on theMove." Each company will propose one project and take the majority stakein that film.

Happy Hour is developing another new comedy with EstudiosPicasso about two couples forced to jump through a series of bureaucratic hoopsin order to obtain prime housing in over-crowded Madrid. Rubio will write thescript, tentatively titled 100 Square Meters (100 Metros Cuadrados).