Directors Make Deal With Execs -- Pact With Studios May Pressure Writers Guild

Jan 18, 04:43 PM

"Two words describe this agreement - groundbreaking and substantial," said Gil Cates, chairman of the Directors Guild of America's negotiations committee. "There are no rollbacks of any kind."

Among other things, the three-year agreement establishes key provisions involving compensation for programs offered on the Internet.

That issue has been a key sticking point between striking writers and the studios, which broke off talks on Dec.7.

The writers' walkout has halted work on dozens of TV shows, disrupted movie production, turned the glitzy Golden Globes show into a news conference and threatened the upcoming Academy Awards ceremony.

The deal between directors and the Alliance of Motion Picture and Television Producers, which represents studios, was lauded by top executives from eight major companies, including Fox, Paramount Pictures Corp., The Walt Disney Co., CBS Corp., Sony Pictures Entertainment, Warner Bros., MGM and NBC Universal.

They called on the writers guild to join in the kind of informal talks with industry leaders that preceded the directors' negotiations, and said the deal with directors established a precedent for the industry's creative talent to "participate financially in every emerging area of new media."

The Writers Guild of America said it would evaluate the terms of the directors' proposed contract.

Originally published by Associated Press .

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