It is being reported that New Line Cinema will be merging with Time Warner, subsidiary Warner Bros a fact that does not come as a surprise for many.
Founder, Co-Chairman and Co-Chief Executive Robert Shaye and Co-Chairman and Co-Chief Executive Michael Lynne are leaving the studio as part of the restructuring process but New Line will continue development, production, marketing, distribution and business affairs operations.
A spokesman for Time Warner has not yet commented on the number of jobs that will most likely need to be cut as part of the consolidation.
“Given the trend toward fewer movie releases, New Line and Warner Bros. will now have more complementary release slates, with New Line focusing on genres that have been its strength,” Time Warner said in its statement. “With the growing importance of international revenues, it makes sense for New Line to retain its international film rights and to exploit them through Warner Bros.’ global distribution infrastructure.”
The joining of the two superpowers, ends the 40 year existance of New Line as an independent film studio.
“We are moving quickly to improve our business performance and financial returns,” Time Warner President and CEO Jeff Bewkes said in a statement.