| MAIN FEATURE >
Money behind make-believe
Written by: Klára Smolová, Jason Hovet, Anita Lišková, Fiona Gaze
Photo: Vojtěch Vlk, Tomáš Kubeš
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| David Minkowski
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Vojtěch Vlk |
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While foreign film companies continue
to focus on this country for productions, a lack of state support
could see this significant source of income going to hungry neighbors.
How much is the industry worth to the local economy?
WHILE MANY TOURISTS will leave Prague with a few dozen photographs,
some fond memories, and perhaps a big hangover, British Mathew
Stillman returned home with something better - his own company.
Now, more than 10 years later, Stillking Films is one of the biggest
players among production companies working in the Czech Republic
that, according to Variety magazine, presided over a USD 300-million
industry in this country in 2003. One of the more substantial portions
of that money (about 15%) has gone to Stillking, which saw turnover
of more than a billion crowns just in film production last year.
Not a bad payoff on Stillman's initial investment in 1993. "He
basically started the company with 500 dollars and a typewriter," says
David Minkowski, Stillking's head producer who joined the firm
in 1995. (Stillman was unavailable for comment.) "The company
started doing videos and commercials [which it still does today].
The first project was a music video for KD Lang," Minkowski
says. It wasn't until 1995, when Minkowski came on board, that
the company got its first full-length job, doing production services
for an American cable-television movie. Still, according to the
producer, it took six years, and the shooting of Bad Company here
in 2001, to get Hollywood to finally recognize the real potential
of Prague and the Czech Republic. "Hollywood realized they
could do more in Prague than just historic films," he says.
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“Mists of Avalon” -
sets created by Film Dekor
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Although the Czech film industry has been striving to survive,
suffering from a lack of state interest and support, foreign film
producers can reap the fruits of a long film-making tradition in
this country. After the unsuccessful privatization of Barrandov
studios - which basically fell apart at the beginning of '90s -
many highly skilled professionals found themselves on the free
market. But it did not take long for them to adjust to the new
situation. Just a few years of exposure to foreign film crews were
enough to make the Czech Republic one of the most demanded locations
for film making in Europe, if not in the world. "Over the
course of the past decade, Prague has become the number one locale
due to the winning combination of its architecture, great stages
and sets, and experienced crews," says Tom Karnowski, an American
producer at Filmworks, based in Los Angeles. Throw in the fact
that the cost of production in Czech Republic is a fraction of
that in western Europe, and you have Karnowski's reasoning for
filming such notable titles as Eurotrip, Shanghai Knights and his
upcoming Everything is Illuminated, planned to shoot in June this
year.
Economic impact
Although it's hard to put an exact figure on the financial benefit
the country's new-found popularity is bringing - the Association
of Audiovisual Producers (APA) estimates that direct investments
of international filmmakers in the Czech Republic reached nearly
CZK 7.5 billion last year - a figure most producers agree is significant.
For instance Alice Kašparová, head of PR at Filmservice Productions,
explains that if the average budget for filming a locally produced
commercial is about CZK 3-6 million, the average budget for a foreign
production is three times that. When it comes to movies, budgets
are naturally several times higher.
Film making provides work for countless individuals and companies.
Not only are jobs directly in production services involved - equipment
rentals, location managers, set designer and builders, make up
artists and post production companies - but there is also the extended
employment to consider, such as travel agencies, hotels, caterers
and transportation firms. "[Foreign shoots] are bringing a
lot of business for hotels and other services," says Aleš
Komárek, who started Reforma Films in 2002 after splitting with
Etic Films, a company he helped found in 1992. Reforma's first
project was providing production services for Terry Gilliam's film
The Brothers Grimm. "It is advertising for the Czech Republic
and Czech culture; this is even greater than an economic impact," Komárek
adds.
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Vin Diesel (left) and
Rob Cohen (director, right) during filming
XXX in Prague (Stillking Films)
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Consider the basic service of accommodation. According to Roman
Jonáš, owner of the TYP agency, focusing on providing complete
travel services to film crews, his clients spend tens of millions
of crowns every year in the Czech Republic. "Ninety percent
of our clients stay in four- or five-star hotels such as Inter-Continental,
Marriott, Radisson or Josef, and the length of their stay varies
from 1-2 weeks to six months," notes Jonáš, who was instrumental
in accommodating such stars as Johnny Depp, Julie Ormond, John
Malkovich and Liv Tyler. Stanislava Cholelová, sales & marketing
manager of MaMaison Residences (Orco Group) confirms that film
crews create about a quarter of the turnover of their long-stay
residences. "This is great business. Right now 27 of our apartments
are occupied by an Italian crew," says Cholelová.
About how
much money is generated by such secondary services provided by
restaurants, hotels, or retailers? "So far there are only
rough estimations," says Ludmila Claussová of the newly established
Film Commission, a non-governmental agency aimed at assisting foreign
filmmakers (see sidebar p. 25). "We plan to assign analysis
that should sum up direct investment into film sector and indirect
into other services," she explains. The results of the study
will be used for marketing and strategic comparison with other
European countries, and could describe potential growth for the
Czech film industry, as well as barriers. Such studies could provide
a glimpse of what may happen if state institutions don't change
their outlook, and assist in creating suitable conditions for attracting
foreign filmmakers.
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Sean Connery (with
wife) and Peta Wilson at the European premiere of The League
of Extraordinary Gentlemen in Prague
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Business vs. bureaucracy
For the time being, however, state authorities seem reluctant to
recognize this full economic benefit. "Our price policy is intended
to discourage filmmakers from using prime locations," says Pavel
Vlach, deputy mayor of Prague 1, refering to popular spots such as
Charles Bridge, Old Town Square, or the tiny streets of Malá Strana
and Staré Město. The going rental rate is ten crowns per square meter
a day (plus additional fixed fees - CZK 250,000 a day for Charles
Bridge) but according to Vlach, the ideal charge would be CZK 100
per m2 daily, with a certain flexibility. With commercials, for example,
the fee would be higher, but for documentaries about Prague, free
of charge. "Eighty percent of filming in Prague is for advertising,
where you see nothing from Prague, or you don't recognize it," claims
the deputy mayor. Although he admits that in 2003 the filmmakers
brought some CZK 3 million to the coffers of Prague 1 alone, and
that more money is spent on other fees and services, Vlach does not
find the figures significant.
Perhaps not surprisingly, professionals in the film industry strongly
disagree with this view, and are concerned that such an approach
may cause the Czech Republic to lose its advantage to Hungary or
Romania, two countries that have begun aggressive self-promotion
(see sidebar p. 25). According to Karnowski, destinations east of
the Czech Republic have some drawbacks in comparison, but also stand
as a potential threats to the country's leadership in the industry.
In fact, the Czech Republic has already lost several projects to
its competitors. For instance the Oscar-winning Return to Cold Mountain
was filmed in Romania, even though the infrastructure there is below
Czech standards, so all equipment and staff had to be imported. "You
can see that producers are looking elsewhere, although they have
good service, equipment and personnel here," says director of
AFM Lighting Europe, Roman Porkert.
Producers in the Czech Republic maintain that this shouldn't cause
many worries. Miroslav Oberman, legal representative of Panther Rental
Prag (a firm that rents grip, light and camera equipment all around
the world), claims that some foreign film makers lured by the incentives
had bad experiences, and have returned to Prague and the environs.
Karnowski is one such film-maker. "My experience was much harder
in Hungary," he says. "We pretty much had to start at square
one. It is easier to come here [Prague] and just get started since
things are already set up." Nevertheless, this should be a wake
up to Czech officials to start doing something to help attract foreign
producers, for example, tax incentives. "This could definitely
be improved," says Reforma's Komárek. Stillking's Minkowski,
however, doesn't see any quick exit by producers. "They've been
saying that for a couple of years," he notes. But he does warn
that the Czech Republic shouldn't become complacent. "Prague
will always have to be competitive to keep the film industry interested," Minkowski
says. "At the end of the day, producers are going to follow
the dollar," he adds with a smile.
| Czech
film productions: better with EU?
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Pavel
Strnad
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Photo:
V. Vlk
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Production services
for foreign films also benefit Czech filmmakers. "We
have all the facilities [we need] here," says
Pavel Strnad, head of Negativ Films, which has produced
Rok ďábla and Návrat idiota, among others. Still,
even with the large amount of production dollars
coming to the country, Czech filmmakers say it's
not any easier to get financing for their projects.
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It's as bad as it was ten years ago," Strnad
says. "The state support [for filmmaking] is
so low I think it's a miracle Czech films are still
being made." His company, which completes a
few projects each year and last year had turnover
of CZK 28 million, usually works with a EUR 500,000
budget - a figure that he says shocks many of his
western counterparts. But he remains optimistic. "The
government is now preparing a law that should bring
more money," Strnad points out. That law (proposed
in March) is based on a French style of funding,
where a portion of box-office and distribution sales
are recycled back to filmmakers.
More funding from this law would also be welcomed
by other Czech filmmakers, especially after a record-breaking
year that saw Czech films earn CZK 257 million in
distribution, according to the Czech Film Center. "Raising
money for a film is difficult every time," says
Jaroslav Bouček, head of Buc Film, which has produced
many Czech serials and such films as Anděl Exit and
Babí léto. Others in the industry see alternatives. "We
have to view Czech films in the context of Europe," says
Milk & Honey's director Tomáš Krejčí. He believes
Czech filmmakers should look for suitable European
partners to get films made. "The European co-production
system is the model to go by," he says.
This could be more prevalent in the future as the
Czech Republic takes advantage of membership in Eurimages
and the EU "Media" programs, both clubs
that support filmmaking with everything from training
to financing. Many production companies, including
Stillking and Partnership, are also starting to develop
local films that have a more international appeal,
thus increasing worldwide sales.
Jason Hovet |
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| Czech talent for
export
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Jaromír
Švarc
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Photo:
V. Vlk
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THE SAYING ABOUT "golden Czech hands" probably doesn't
apply more aptly in any sector than the film industry. The
years of isolation, when advances of modern technology penetrated
Czechoslovakia only slowly, paradoxically contributed to the
experience of domestic professionals. "Before the regime
change people knew that if they wanted special effects they
had to help themselves," says Roman Porkert, the director
of AFM Lighting Europe, which provides lighting equipment.
Today producers place great value on this ability to improvise.
Tomáš Krejčí, the director of Prague Studios and Milk & Honey
Films, says that the craftsman-like skills of backdrop builders
and other professionals is exactly what sets Prague apart from
other cities. "This is what Prague has to offer - high-quality
and affordably priced work by artisans," he says. As an
example he points to the recent shooting of Hellboy and Alien
vs Predator, which were very difficult from the point of view
of graphics.
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Five years ago, film makers brought along an entire crew, including
grips and lighting technicians. Today just a director and his
main cameraman come, and the rest are hired here," Porkert
notes, adding that AFM Lighting used to import equipment from
its London headquarters. "But there were more and more
projects arriving, so in 1996 we opened a Czech branch, with
Czech employees," he explains. Today AFM is headquartered
in the former lighting technology building at Barrandov Studios,
it has 15 full-time employees, and it's one of the largest
such firms on the market. According to Porkert, local professionals
have learned a great deal in the last ten years. "Today
they're as good as their foreign counterparts," he says.
Miroslav Oberman, an executive of the Czech branch of Panther
Rental, one of the largest suppliers of grips, lighting, and
camera equipment in the world, concurs. His company entered
the market back in 1994, and Oberman notes that his steady
staff includes a few technicians from the former Barrandov
Studios. "Czechs are already starting to travel the world
for work," he says.
For an example of such exports one needn't look far. Recently
Film Dekor, under the leadership of the experienced architect
Jaromír Švarc, became the first foreign firm to build backdrops
for the renowned Italian Cinecitta studios, where it created
replicas of ancient Rome for the filming of an American serial.
In 2001, Švarc and his firm were nominated in Hollywood for
the 54th annual Emmy award for the sets for film Mists of Avalon,
for which they had to build the entire Camelot castle. Either
Švarc or part of his fourty-member team also took part in preparing
the sets for such films as Joan of Arc, Shanghai Knights, Van
Helsing, and Hellboy.
Klára Smolová, Jason Hovet |
| Finding the
right faces
Local production of foreign films
has given rise to a booming casting business, and posters
around Prague seeking faces are a modest indication of how
much. Casting agencies such as Casting Barrandov, Cine-Jessy,
Klackson, and Soňa Ticháčková, have thousands of faces categorized
in their computer databases.
In some cases it may mean a chance for local talent to be
more widely recognized; local actors such as Marek Vašut,
Miroslav Táborský, and Karel Roden, have gained worldwide
recognition. "I think the foreign productions here did
help them," says Nancy Bishop, freelance Prague-based
casting director whose casting credits include The League
of Extraordinary Gentlemen, Blade II, Hellboy, and Van Helsing. "In
Roden's case, the producers of 15 Minutes were looking for
Czech actors to play clearly eastern European roles in the
film and knew of Roden's work from The Scarlett Pimpernel," says
Bishop, who cast Roden in the BBC miniseries in 1999. Roden
recently enjoyed major roles in Blade II and Hellboy.
To be sure, casting means local jobs. "We needed hundreds
of extras for the crowd scenes Terry Gilliam wanted in Brothers
Grimm; and Van Helsing, not cast by us, also required hundreds," says
Jessica Horváthová, who founded Cine-Jessy in 1990 and now
has over 100 films and TV series under her belt. "Depending
on how many actors are needed, the budget for a casting is
typically 100 to 500 thousand crowns," she says. Cine-Jessy
is known for its "Silver Pages", a catalogue of
faces from its database, now in its fourth annual update.
Acting personally as casting director, Horváthová regularly
travels the countryside, going to theaters in search for
new talent.
It's something Soňa Ticháčková, who founded the eponymous
agency at the same time, says is the only way to keep the
business fresh. "We now have 30,000 faces in our archive," she
says. Her agency cast all roles in Dark Blue World, The Barber
of Siberia, Samotáři, and the Oscar-winning Kolya. Aside
from increased success, what has changed most over 14 years? "Computers,
digital cameras, mobile phones, and email have made our lives
immeasurably easier," says Ticháčková, who recalls the
days of struggling with an answering machine.
David Friday |
| Support
(not) in sight
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Ludmila
Claussová
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Photo:
V. Vlk
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THE Film Commission, an institution
created to assist foreign film-makers, began operating early
this year. But it was the Czech Film Chamber, not the state,
that was responsible for its creation. "Its primary
function is to provide film makers with an information service,
and to represent them in negotiations with authorities. Newcomers
want to know, for example, which locations we can offer them,
or where they can get the required permits," says Ludmila
Claussová, representative of the Film Commission.
In other countries similar institutions operate under ministries
of culture or economics. "In Austria there is a film
commission under an agency for attracting investments. In
Germany they are parts of film funds, which are financed
by regional governments," Claussová explains. However,
such facilities are only now becoming active in post-communist
countries. In Hungary, a film commission has existed since
1999, and the country is the most accomodating in its support,
so Budapest is becoming the favorite destination for foreign
film makers. "The Czech Republic has extremely diverse
landscapes and a great cinematographic tradition. Hungary
has a few castles and nothing else, but it has a government
that understands the contributions of film making and is
able to set better conditions," says Jaromír Švarc,
an architect and the owner of Film Dekor. The audiovisual
law that was approved in Hungary in December 2003 offers
producers a rebate of 20% of money spent, and allows investors
to deduct 20% of expenditures on Hungarian or co-produced
films.
The Czech Republic isn't considering similar taxation or
other advantages. "The state thinks that film is an
industry that can fend for itself, so it essentially functions
without governmental support," Claussová says. "But
other countries are on the alert, and the small ones in particular
are discovering the film industry's potential," she
adds. Nevertheless, lobbying before state institutions is
a necessary activity of the commission; for this country,
it's mainly a question of taxation or financial relief.
Anita Lišková |
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Location, location, location
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Tomáš Krejčí
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Photo:
V. Vlk
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Increased film production in the Czech Republic has also
breathed new life into old, bankrupt factories. "Barrandov
studios are full, so productions are renting so-called 'wild
studios' in abandoned factories like ČKD, Avia Letňany, Letov
or even in winter sport stadiums," explains Jaromír
Švarc, art director and owner of set-building company Film
Dekor.
For instance, in 1999 Prague Studios opened three stages
in the old plane factory in Letňany, including the largest
soundstage in continental Europe. According to Tomáš Krejčí,
general director of Prague Studios (as well as director of
Milk & Honey Films), the USD 1.5 million renovation is
already paying off, with annual turnover exceeding this investment
- thanks mostly to foreign shoots. Expansion is also a buzzword
around the studio, with talk of growing bigger, as well as
building a "digital media art factory".
Not only does Prague Studios offer moviemakers an alternative
facility to Barrandov's 11 stages, but it also makes Prague
and the Czech Republic a more versatile location. In some
of its early uses, Prague Studios housed a desert (for the
U.S. miniseries Children of the Dune), recreated the streets
of wartime Amsterdam (Diary of Anne Frank), and supplied
a huge aquarium for some shots in Mission Impossible 1. "I
think it would be short-sighted to say producers are only
coming to shoot Prague," Krejčí points out.
Lukáš Bech, freelance location manager, claims that he and
his colleagues have more than 10,000 photos with over 1,000
locations from all over the country, ready to present to
potential clients. As they say, apart from the sea and the
desert, this country can offer anything. But in his opinion,
Prague remains popular mainly due to its architectural blend
of styles. "One can find original architecture here
that can easily simulate either the atmosphere of western
Europe or of old eastern Europe," Bech explains, adding
that Prague has also the best infrastructure and authorities
experienced at dealing with film crews.
Jason Hovet, Klára Smolová
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