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November 6, 2015

Weekly Update from Kelly Graham-Scherer, Los Angeles Representative: November 6,2015

Happy Friday everyone, 

Please find an abbreviated report this morning as I'm headed out momentarily to attend the American Film Market's Finance Conference in Santa Monica. The conference kicks off several days of AFM-related activities and I have a number of meetings scheduled with visiting Ontario producers over the next week or so.

The dramatic revival of California's film and television industry was front page news in last Sunday's Los Angeles Times. As reported below, tax credits introduced this year have increased shooting days of scripted television series by 54% over the same three-month period last year. The entertainment industry employs about 250,000 people and contributes nearly $60 billion in goods and services annually, or roughly 10% of Los Angeles County's gross product..

The Times also took an in-depth look at what the latest in a string of box office flops means for Warner Brothers. As detailed below, the studio's vaunted brand has been bruised by a rash of misfires this year.

The way in which we consume content is continuing to evolve and, as a result, so are the expectations for new fall television shows. As reported in the Times below, the absence of cancellations for faltering shows is another sign of the tectonic shifts underway in the television industry: thanks to digital recording and streaming, millions of viewers no longer watch shows when they are first telecast — making network executives reluctant to kill a program that may be quietly building an audience that's not being counted by traditional ratings.

Finally this week, yet another Times article examined the massive $5.9 billion deal in which Activision Blizzard Inc. will buy mobile video game phenomenon King Digital Entertainment of “Candy Crush” fame. As reported below, Activision is making a massive bet on a sector expected to grow by 15% a year, a trajectory that could reach $45 billion in sales annually by 2018, as video games migrate at light speed from consoles to mobile devices.

You'll find the full text for the linked articles below my signature. Please feel free to distribute this e-mail widely and to get in touch with comments or links for inclusion.

Warmest regards,


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