Full Text COPYRIGHT Broadcasting Publications 1990
Ending speculation over how it will be handling the off-network syndication
of Wonder Years, New World Entertainment (NWE) has reached
an agreement
with Turner Program Services (TPS) to manage the distribution and barter
sales for the likely fall 1992 launch of the program. The Turner Broadcasting
System division, reportedly paid $100 million for distribution rights,
according to a source.
The deal marks the first time that Turner Program Services will distribute a program for an outside program supplier, and hints of other far-reaching distribution and co-production opportunities for both companies.
Under terms of the deal, TPS will be handling domestic distribution, in addition to sales in Canada and Puerto Rico, while New World International will be handling all other overseas sales. Jon Feltheimer, president of New World Entertainment, said the new "relationship" is part of a long-term deal, which is meant to help the independent Hollywood studio utilize TPS's "expertise and physical resources" in distributing and selling barter time for its syndicated movie packages and other short-form programing.
While the marketing plan for Wonder Years will not be formally unveiled to stations until sometime early next month, Feltheimer indicated the half-hour ABC series (which started on the network in March 1988) will be offered on a cash basis, with the "realistic" possibility of one minute of national barter time attached to the cash license fee. Russ Barry, president of Turner Program Services, shied away from discussing specifies of the new arrangement, but said TPS will be receiving a flat fee" for distribution and barter services rendered. However, a New York-based station rep said that TPS put up a 100 million guaranteed rights fee to handle Wonder Years, "hoping they can achieve at least an average $1 million per episode license fee and meet bottom line profit projections by squeezing stations for one minute of local ad inventory." A more realistic" per episode cost of $800,000, or $80 million over four years, said the source, can only be expected if the barter time is attached. Officials at both New World and TPS declined to comment on the $100 million figure.
"When The Cosby Show came into syndication [1988-89] season, Viacom positioned the program as the greatest sitcom in history and got away with attaching one minute of barter," said the rep. "Now Married ... with Children is in the market promising exclusion from prime access rules and is getting away with one minute of barter. If Turner goes with barter on Wonder Years, I don't think stations will be in a frenzy to mortgage ad inventory, on top of bidding for a show that will probably be too high priced to begin with. The trend of cash-plus-barter deals for off-network sitcoms is out of control."
Targeted for the 6-8 p.m. access slots, Feltheimer says 100 episodes are being guaranteed for stripping, although he left open the "outside longshot" that a cable play on one of Ted Turner's two basic cable entertainment networks-superstation WTBS(TV) Atlanta and Turner Network Television-could be worked out in the "distant future." Downplaying such an option, TPS's Barry said there are no plans to sell the show to any cable network, and added that if a cable deal was done, it would follow the broadcast window.
When asked how New World will meet its 100-episode guarantee, Feltheimer
made a veiled reference to a forthcoming announcement, which sources speculate
is a multi-season commitment on Wonder Years from ABC beyond the 1990-91
season. In the unlikely event ABC does not decide to renew the
highly-rated series for a fourth full season, Feltheimer said it is
"probable" that a first-run, barter front-end deal would be offered to
stations, but the program will likely never have to exercise that option."
TPS's Barry added: "I think CBS or NBC would jump at the opportunity to
pick up Wonder Years if ABC dropped the ball. With a flagship 8 p.m. position
leading into Wednesday's schedule, I think ABC has indicated its confidence
in the program."
A window of opportunity may also be opening up for New World's only other long-running network series, Tour of Duty. Feltheimer told BROADCASTING that the recently canceled CBS hour Vietnam War drama could be revived for first-run and off-network play on cable. "Tour of Du could end up on a Turner network, but we really haven't had substantative discussions yet," Feltheimer revealed.
Turner Broadcasting System, which does not yet have a full-time in-house production unit, could also be eyeing an opportunity in its fledgling relationship with New World to establish a ready production pipeline for its various channels of distribution. The publicly-held programing conglomerate lacks a firm foothold in the Hollywood production community, a situation Barry says will be remedied with TBS's financing of co-productions with New World. (In 1986, TBS made a takeover bid for MGM/UA Communications, but then opted instead to buy the MGM film library. Barry says that deal also included the syndicated properties Gilligan's Island and CHIPS.)
"If the distribution arrangement [for Wonder Years] proves to be mutually advantageous to both parties, I think it's fair to assume that the relationship between New World and Turner Broadcasting will expand into other areas," said Barry.
Left in question is the future of New World's New York sales office,
which is headed by Tony Brown, senior vice president and general sales
manager. Eight employes are part of NWE's sales division, and with Wonder
Years the first regular off-network series offering going to Turner, NWE's
remaining inventory consists mainly of movie packages and animated programing.
Other upcoming network programing-Bagdad Cafe on CBS (on midseason status)
and Get
A Life on Fox-is several seasons away from exhibiting any off-network
potential. Feltheimer said meetings have been scheduled with the New York
office to discuss its future role within the studio, while Barry stated
flatly that Turner Broadcasting System has no plans to " absorb" part or
all of NWE.