California Business Minute™

Hi, I am Tim Johnson and welcome to the California Business Minute.

The California Film Commission has awarded the annual $100 million in tax subsidies
allocated by the state for 2011.

There were 176 applications this year compared to 70 last year. The number approved
dropped from 32 last year to 27 this year, reflecting the higher cost of some
productions. There were more TV series and fewer features this year.

Those that qualified include the feature films Argo, Dunderheads, Nina, and the
independently financed features Bachelorette Party, Decoding Annie Parker, Lovelace,
Lowdown, Suicide Kings 2, Trust Me and Vocal Chords of Freedom. Cable TV series
include Franklin and Bash, Justified, Men of a Certain Age, the Nine Lives of Chloe
King, Pretty Little Liars, Rizzoli & Isles, The Protector, and Perception. The two
TV series returning to California are Body of Proof and Torchwood.

Based on information provided with the applications, the film commission projects
these projects combined will spend an estimated $662.1 million within the state.
This includes $233.6 million in wages and $428.6 million in expenditures outside
of wages. The productions getting state tax incentives are expected to employ 3,048
cast members, 3,307 crew and 49,778 extras/stand-ins (measured in "man-days").

The film commission will continue to accept applications for a waiting list. Some
of the projects picked in the lottery will fall out either because they never get
made or for other reasons, and then the funds will be re-allocated to the next
project on the waiting list.

The commission estimates that since the program was enacted in 2009, it has been
responsible for $2.2 billion in direct spending within the state, including $736
million in wages paid to "below the line" crew members. (Below the line are other
than the stars, director, producers and writers).

I am Tim Johnson and this has been the California Business Minute.