Simon and Robert Galvin finalized their deal, and Westeros Company received a $30 million deposit from the other party that very night.
At an agreed price of $70 per share, 4.13 million shares were worth nearly $290 million. Including the 570,000 shares previously sold, Westeros Company would recover over $320 million in total funds after liquidating all its Motorola stock.
Motorola eagerly announced the repurchase of Westeros Company's shares that same evening. However, the company's stock price inevitably fell below $60 the next day. In the following days, the media continued to buzz with comments from various parties on the transaction, but Simon had already completely put the Motorola matter behind him.
Compared to the initial investment of around $250 million, recovering over $320 million in just over two months was a significant profit, no matter how you looked at it.
At the same time, Simon also initiated his plan to acquire New World Entertainment.
To minimize acquisition costs, James Raybould devised a strategy of first acquiring enough shares at a low price from the open market and then making a public offer. The initial buying process would take two weeks and didn't require Simon's direct oversight. After New Year's Day, he returned to Los Angeles.
The year officially entered 1988.
In Hollywood, Robin Williams' 'Good Morning, Vietnam', which premiered on December 25th with a very limited release of four screens, quickly garnered unanimous praise from North American film critics. 'Variety', the authoritative Hollywood magazine, lauded the film as "an exciting cinematic journey", and Robin Williams' performance, in particular, received a strong reaction.
Although it hadn't yet opened widely, the success of 'Good Morning, Vietnam' was already anticipated. Daenerys Entertainment was clearly no longer in a position to sign Williams for 'Dead Poets Society' at a low price.
However, Simon's main concern was still 'Rain Man'.
After their first meeting, United Artists Chairman Tony Thomopoulos requested that Simon personally meet with him after Christmas to discuss the film's collaboration. Simon didn't return to Los Angeles until after New Year's Day, so this matter naturally couldn't be discussed.
During this period, Simon also heard that Michael Ovitz had again recommended the project to Michael Eisner, hoping Disney would collaborate with United Artists, but nothing came of it.
After inquiring in detail about Amy's meeting that day, Simon generally understood why Robin Williams suddenly changed his mind and why Ovitz re-recommended 'Rain Man' to Eisner.
However, Simon's current influence hadn't reached the level of a Spielberg, where his interest in a project would attract intense attention or even a bidding war. Eisner, as the head of Disney and certainly not lacking in personal judgment, would naturally not invest in a film that all of Hollywood had little faith in, simply because Simon might be interested.
Thomopoulos wanted to talk to Simon personally, but Simon hadn't returned, still making a large sum of money on Wall Street.
After some deliberation, United Artists ultimately didn't dare to undertake the project alone. The matter dragged past New Year's Day, and while Daenerys Entertainment appeared very composed, Thomopoulos couldn't hold back and proactively called Amy.
Before Simon's return, Amy and Thomopoulos negotiated for two days and finally came up with a rough cooperation plan.
United Artists would package and sell the copyrights for 'Rain Man' and 'The Hobbit' to Daenerys Entertainment for $2 million. 'Rain Man' would be solely produced by Daenerys Entertainment. MGM-United Artists would acquire the full distribution rights for 'Rain Man' in North American theatres, video, and television broadcasts, while Daenerys Entertainment would retain the international distribution rights.
Other details included MGM-United Artists guaranteeing a minimum of 1,000 screens for the December 16th release date at the end of the year. Daenerys Entertainment would be responsible for the promotional and distribution costs of 'Rain Man', and MGM-United Artists would receive 15% of the North American box office as a distribution commission, among other things.
In simple terms, this was a contract heavily skewed towards MGM-United Artists.
United Artists would invest almost no capital and still receive 15% of the net North American box office for 'Rain Man'. With two A-list stars, Tom Cruise and Dustin Hoffman, and a directly secured hot Christmas release date of December 16th, even if the film turned out to be terrible, it would still manage to trick audiences into a few tens of millions of dollars at the box office.
Moreover, for subsequent video and television distribution, United Artists also insisted on a revenue-sharing agency, which again reserved room for 'manoeuvring' in future distribution operations.
At MGM headquarters in Beverly Hills, Tony Thomopoulos signed his name on the contract, then looked up at Simon Westeros, who was signing at the other end of the conference table. Even though he still felt there was something peculiar about the whole affair, his eyes held a hint of seeing a fat lamb ready for slaughter.
However, Thomopoulos also didn't know if this could truly be considered self-comfort.
As a veteran producer who had been in Hollywood for decades, Thomopoulos was not lacking in his own cinematic instincts.
After meeting with Amy before Christmas, Thomopoulos had considered completely cutting out Daenerys Entertainment and producing 'Rain Man' independently. However, when he discussed this project with MGM-United Artists owner Kirk Kerkorian, it was directly vetoed.
United Artists currently had very little cash on hand. To produce 'Rain Man' independently, the company would only be able to finance it through a combination of copyright pre-sales and bank loans.
The entire Hollywood community had little faith in this project, so United Artists naturally couldn't secure much pre-sale funding from exhibitors. Therefore, most of the film's production budget would have to come from loans. Including future distribution investments, United Artists would incur at least $20 million in debt.
For Simon Westeros, who was currently flush with cash, $20 million might not be much, but United Artists would find it very difficult to bear the risks involved. If the project failed, the United Artists brand could once again fall into obscurity.
After the signing ceremony and a simple luncheon, Simon and his entourage left Beverly Hills and returned to Santa Monica.
Inside Simon's SUV, Amy looked at Simon, who was reviewing the contract, and said, "Regarding 'Charlie's Angels,' Columbia Pictures is sticking to $7 million and won't lower the price any further. Simon, if you think it's acceptable, we can sign the contract tomorrow".
In Simon's memory, Drew Barrymore, who had acquired the TV series rights to 'Charlie's Angels' in advance, easily earned $120 million through reruns and DVD distribution after the film version was released.
Many people considered $7 million an exorbitant price, making him a complete sucker, but Simon didn't think it was high at all: "Sign it. Also, you should contact Warner Bros. soon about 'Batman' and also the 'Superman' rights held by Alexander Salkind".
Amy was a little puzzled: "Aren't you planning to buy DC anymore?"
Simon shook his head helplessly and said, "When I was in New York, I contacted Steve Ross, wanting to discuss this in person, but I was directly rejected over the phone. I also gave Ross an offer, but received no response".
Steve Ross was the chairman and CEO of Warner Bros. Inc., controlling the entire Warner system. Warner Bros. Pictures was just a part of Warner Bros. Inc. Warner had not yet merged with Time Inc., but negotiations between the two companies had already begun last year.
Amy pressed on, "So how should we approach this?"
Simon considered for a moment and said, "First, contact Warner to acquire the rights to 'Batman', even if we only get half. But we must ensure Daenerys Entertainment has complete control over the project. Once we secure 'Batman,' then you can contact Alexander Salkind about 'Superman.' Even if it means throwing money at it, we need to snatch up the 'Superman' rights. Oh, and 'Wonder Woman' too; let's acquire the rights to that female superhero as well".
Batman, Superman, Wonder Woman.
If he could get his hands on the three giants of the DC Cinematic Universe from his memory, he would essentially control the entire DC.
Amy, hearing the excitement in Simon's voice, smiled and asked, "Do you want 'The Flash'?"
Simon paused, came to his senses, and said with a wry smile, "Warner isn't stupid. Okay, just make sure you get 'Batman.' That's the most important thing. Let's not mention anything else for now".