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FROM LEFT: ILLUSTRATION BY LIA KANTOWICZ; JON KOPALOFF/WIREIMAGE; COURTESY STARBUCKS; COURTESY GE

Raising the Stakes

In TV’s TalentWars

Warner Bros., which owns DC as well as half of

the CW Television Network, where many of its

shows air. Of the 12 series that will run in prime

time on the CW this fall, Berlanti is an executive

producer of seven.

So with two years before Berlanti’s contract was

set to expire, Roth ofered the 46-year-old a con-

tract worth at least $400 million to stay at Warner

Bros. through 2024. Berlanti and Roth both declined

to comment on the deal, believed to be one of the

most lucrative for a TV producer in the history of

Hollywood, according to interviews with more than

a dozen executives, agents, and producers. It’s also

a sign of how traditional studios, tired of losing their

best people to Netlix, are ighting back. Warner

Bros. bought out Berlanti’s rights to future proits on

all his current shows, what’s known as the back end,

a structure that allowed it to ofer himmore money

up front than he would have otherwise received.

Roth has set a template others have followed.

Lions Gate Entertainment Corp. is nearing an exclu-

sive movie and TV deal with comedy producers Seth

Rogen and Evan Goldberg—outmaneuvering Netlix

and

Amazon.com

Inc.—using a similar approach.

And Disney, once it concludes its acquisition of Fox,

will turn its attention to securing soon-to-be free

agents such as

Family Guy

producer Seth MacFarlane

and

Modern Family

creator Steven Levitan.

“There is a lot of crazy stuf happening in the

market today, and there is an aggressive dividing

line between what is now considered old media

companies and new media companies,” says Joe

Cohen, a talent representative at Creative Artists

Agency who negotiated Murphy’s deal with Netlix.

Netlix’s Hollywood raid started with Rhimes,

the creator of

Scandal

and

Grey’s Anatomy

. The

company ofered her the biggest deal of her career

to leave ABC and produce programs exclusively

for the streaming service. Rhimes jumped at the

chance to free herself from the limitations of broad-

cast TV—where overt politics, nudity, and swear

words are all prohibited.

THE BOTTOM LINE The Polish government is planning a $19 billion

airport near Warsaw to showcase the country’s growing economic

clout, but skeptics say the project is unnecessary and too expensive.

served by Ryanair. The irst phase of the project

will cost 35 billion zloty, or more than 10 percent of

this year’s national budget. Some part of that would

come from the EU, but the government says it’s also

likely to take on debt.

Ryanair CEO Michael O’Leary calls the idea

“stupid” and a “shiny cathedral in the middle of

nowhere.” And the residents of Baranow have

voted against the plan. “I see more megalomani-

acal self-aggrandizement than any realistic analy-

sis in this project,” says Marcin Swiecicki, a former

Warsaw mayor and member of parliament from

Civic Platform, the biggest opposition party.

The government insists the project is sound and

is moving ahead. Oicials say expanding Chopin

makes little sense, because it’s inside Warsaw’s city

limits, with hundreds of thousands of people living

nearby. And for Milczarski and government lead-

ers, building a new facility is the best way to ensure

LOT’s—and Poland’s—role in the global economy.

“We are Polish, and we are proud of that,” Milczarski

says. “But we deine the scope of our activity more

broadly.”

—James M. Gomez and Maciej Martewicz

Peter Roth knew it was time to take out his check-

book. Roth, the head of Warner Bros. Entertainment

Inc.’s TV studio, had just watched Netlix Inc. lure

top producers from several rivals by ofering them

more money than they’d ever made before. Ryan

Murphy, the creator of

American Horror Story

,

left 21st Century Fox Inc. for a deal worth at least

$240 million. Shonda Rhimes, the showrunner of

Grey’s Anatomy

, left Walt Disney Co. for at least

$150 million. Roth was determined not to let Greg

Berlanti, one of his own star producers, do the same.

The proliic Berlanti has 15 shows on the air,

the most of any TV producer in history, includ-

ing several adaptations of DC Comics franchises

such as

Supergirl

and

Arrow

that appeal to tweens

and young women. He’s particularly valuable to

○ Netflix’s high-priced poaching is forcing

Hollywood’s television studios to fight back

○ Rhimes

BUSINESS

Bloomberg Businessweek

October 8, 2018