The share price of UK studios Pinewood Shepperton has fallenover 20% this week to £1.43 on news of the likely loss of The Watchmenshoot.

Pinewood Shepperton has confirmed'sreport on Monday that Paramount Pictures are re-evaluating plans to shoot the$120m superhero thriller in the UK.

PinewoodShepperton said it has a contract for film stage hire with Paramount for TheWatchmen, which it expects will be honoured.

Ina statement, the company said: "In the likely event that filming does notcommence at Pinewood Shepperton, the studios will not benefit from anticipatedincremental revenues from the film of some £2.2m of ancillary services andfurther stage revenues."

The Watchmen is set to be directed by PaulGreengrass.

PinewoodShepperton is attempting to diversify its revenue streams so that it is not soreliant on hosting large budget film shoots at the studios. Last week itannounced that it had acquired Teddington TV studios.