Relativity Media has establishedGun Hill Road II, an independent co-financing package that provides discreteand separate funds for both Sony Pictures Entertainment and Universal Pictures.
The arrangement will provide production funds for a total of 19 features, 11from Sony and nine from Universal, one of which is a co-production between thetwo.
The pictures will be released broadly between the last quarter of 2006 and theend of 2007.
Each title under the Gun Hill II programme was selected for financing basedupon the strength of its respective film package, including cast, director,production teams and studio management.
The studios will retain creative control and worldwide distribution rights totheir respective films. Relativity retained Deutsche Bank to underwrite thedebt and help structure the deal.
"There is perhaps no greater vote of confidence in the strength of ourfilm slate than the commitments we have secured through Gun Hill I andII," Bob Osher, chief operating officer of Columbia Pictures, said.
"We are pleased to extend our agreement with Relativity Media and we aregrateful to Deutsche Bank for aiding in structuring these arrangements. We lookforward to a mutually beneficial relationship among Sony, Relativity andDeutsche Bank for years to come."
"We are proud to continue our relationship with Relativity via the secondround of financing through Gun Hill II," Rick Finkelstein, president andchief operating officer of Universal Pictures, said.
"This deal once again allows Universal the benefit of managing its riskwhile at the same time retaining control of worldwide marketing anddistribution."
"We are fortunate to be in business with Sony and Universal,"Relativity's Ryan Kavanaugh said. "The relationship developed over thelast number of months encouraged a new funding vehicle and we hope that throughGun Hill II we will continue this fine working relationship."