Time Magazine 2009 Annual Report Download - page 17

HBO-branded services are distributed in more than 50 countries in Latin America, Asia and Central Europe,
primarily through various pay television joint ventures. In 2007 and 2008, Home Box Office acquired additional
interests in HBO Asia and HBO South Asia and additional interests in HBO Latin America Group. In January 2010,
Home Box Office purchased the remainder of its partners’ interests in HBO Central Europe.
Launched at the beginning of the Fall 2006 broadcast season, The CW broadcast network is a 50-50 joint
venture between Warner Bros. and CBS Corporation. The CW’s schedule includes, among other things, a five night-
10 hour primetime lineup with programming such as Gossip Girl,90210,Melrose Place, One Tree Hill, Life
Unexpected, America’s Next Top Model, Vampire Diaries, Smallville and Supernatural, as well as a five-hour block
of animated children’s programming on Saturday mornings.
During 2009, the Company acquired an approximately 31% interest in Central Media Enterprises Ltd., a
publicly-traded broadcasting company that operates leading networks in seven Central and Eastern European
countries.
Filmed Entertainment
The Company’s Filmed Entertainment businesses produce and distribute theatrical motion pictures, television
shows, animation and other programming and videogames, distribute home video product, and license rights to the
Company’s feature films, television programming and characters. All of the foregoing businesses are principally
conducted by various subsidiaries and affiliates of Warner Bros. Entertainment Inc., known collectively as the
Warner Bros. Entertainment Group (“Warner Bros.”), including New Line Cinema LLC (“New Line”). The New
Line business has been operated as a unit of Warner Bros. since July 2008 and as a subsidiary since January 2010.
Warner Bros. produces feature films both wholly on its own and under co-financing arrangements with others,
and also distributes its films and completed films produced by others. Warner Bros.’ feature films are produced
under the Warner Bros. Pictures and Castle Rock banners. Warner Bros.’ strategy focuses on offering a diverse slate
of films with a mix of genres, talent and budgets that includes several “event” movies per year. In response to the
high cost of producing theatrical films, Warner Bros. has entered into certain film co-financing arrangements with
other companies, decreasing its financial risk while in most cases retaining substantially all worldwide distribution
rights. During 2009, Warner Bros. released 18 original motion pictures for worldwide theatrical exhibition,
including Harry Potter and the Half-Blood Prince,The Hangover,Sherlock Holmes,The Blind Side and Invictus.Of
the total 2009 releases, two were wholly financed by Warner Bros. and 16 were financed with or by others.
Warner Bros. distributes feature films for theatrical exhibition to more than 125 international territories. In
2009, Warner Bros. released internationally 11 English-language motion pictures and 33 local-language films that it
either produced or acquired. After their theatrical exhibition, Warner Bros. licenses its newly produced films, as
well as films from its library, for distribution on broadcast, cable, satellite and pay television channels both
domestically and internationally, and it also distributes its films on DVD and Blu-ray Discs and in various digital
formats.
New Line produces feature films, which are distributed by Warner Bros. New Line’s strategy, like Warner
Bros.’, focuses on offering a diverse slate of films with an emphasis on building and leveraging franchises. During
2009, New Line released eight films, including He’s Just Not That Into You,The Final Destination, Friday the
13th and Ghosts of Girlfriends Past.
Warner Home Video (“WHV”), a division of Warner Bros. Home Entertainment Inc. (“WBHE”), distributes
DVDs and Blu-ray Discs containing filmed entertainment product produced or otherwise acquired by the
Company’s various content-producing subsidiaries and divisions, including Warner Bros. Pictures, Warner
Bros. Television, New Line, Home Box Office and Turner. Significant WHV releases during 2009 included
Harry Potter and the Half-Blood Prince, The Hangover and Gran Torino.
Warner Premiere, a division of Warner Specialty Films Inc. established in 2006, develops and produces filmed
entertainment that is distributed initially through DVD and Blu-ray Disc sales (“direct-to-video”) and short-form
content that is distributed through online and wireless platforms. Warner Premiere produced 8 direct-to-video titles
in 2009. In addition, in 2009, Warner Premiere Digital produced several short form animated series such as
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