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RKO, perennially the weakest of the Big Five, declined rapidly under the mismanagement of Howard Hugheswho had purchased a controlling interest in the studio in By the time Hughes sold it to the General Tire and Rubber Company inthe studio was a major by outdated reputation alone.
Invirtually all RKO movie operations ceased and the studio was dissolved in Revived on a small scale init was eventually spun off and now operates as a minor independent company. In contrast, there was United Artists, which had long operated under the financing-distribution model the other majors were now progressively shifting toward.
MGM, in the process of a slow decline, changed ownership twice in the same span as well, winding up in the hands of financier Kirk Kerkorian. The majors almost entirely abandoned low-budget production during this era, bringing the annual average of features released down to Over the following three decades Disney became a powerful independent focusing on animation and, from the late s, an increasing number of live-action movies.
In its first year, Buena Vista had a major success with 20, Leagues Under the Seathe third biggest movie of Movie attendance, which had been declining steadily since the Golden Age, hit an all-time low in From fifteen releases inthe next year MGM was down to five; its average for the rest of the s would be even lower.
MGM, however, was not the only studio to trim its release line. By the mids, the industry had rebounded and a significant philosophical shift was in progress. As the majors focused increasingly on the development of the next hoped-for blockbuster and began routinely opening each new movie in many hundreds of theaters an approach called "saturation booking"their collective yearly release average fell to 81 films during — The studio was sold the following year to Kerkorian, who merged it with MGM.
After a brief resurgence, the combined studio again declined. Meanwhile, a new member was finally admitted to the club of major studios and two significant contenders emerged. It was announced optimistically as the "first major new film company in 50 years". Inthe combined share of the six classic majors—at that point Paramount, Warner Bros.
Disney was in third place, behind only Paramount and Warner Bros. Orion, now completely independent of Warner Bros. Between andParamount, Warner Bros. Warner Communications merged with Time Inc.
Coca-Cola sold Columbia to Japanese electronics firm Sony also in By the early s, both Tri-Star and Orion were essentially out of business: The most important contenders to emerge during the s, New Line CinemaMiramax.2!
In , Disney purchased Miramax Film Corporation from Harvey and Bob Weinstein for approximately $70 million.8 Miramax operated as a separate unit of Disney. The Weinstein brothers continued to run Miramax under the supervision of Disney executives.
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