October 22, 2010

'Hobbit': Boycott over but all still not well in the NZ shire (THR, NZH, DH)

By Nancy Tartaglione

The "Hobbit" boycott has been lifted, but the production may still be moving out of its New Zealand shire. Peter Jackson's Wingnut Films released a statement from Jackson and Fran Walsh on Wednesday that said in part, "Next week, Warners are coming down to NZ to make arrangements to move the production offshore." Wingnut also argued that "the lifting of the blacklist on 'The Hobbit' does nothing to help the film stay in New Zealand."

"The damage inflicted on our film industry by (the union) is long since done," continued the statement.

NZ Prime Minister John Key told The New Zealand Press Association (NZPA) that he was seriously worried about the future of the film industry if the studio moves the films to another country and said he was prepared to meet with studio executives to "restore (their) confidence."

"My concern is that if Warner Brothers deems New Zealand is not a good place to make movies, then there is a real risk other major film production companies will also believe that to be the case," Key said. "There's work to be done and the Government hasn't given up trying to do its best to secure the movies," he added.

Helen Kelly, the head of New Zealand's Council of Trade Unions, told The Hollywood Reporter that the international boycott had actually been lifted several days ago, but the announcement was delayed at Warner Bros.' request, for reasons that were unclear.

She further indicated that the dispute could be a cover for attempts by the studio to extract higher production incentives from the government and was part of an effort to damage New Zealand Actors Equity. The facts are becoming increasingly difficult to discern, says THR:

Citing the studio decision just days ago to greenlight the project, Kelly told The Hollywood Reporter that, in her view, Warner Bros. had never actually decided to make the two-part "Hobbit" film in New Zealand. Although "Hobbit" sets have been under construction in that country for some time, Kelly argued that this was a unilateral decision that Jackson made in order to influence the production location.

Remarks Kelly made on local TV "demonstrated a total lack of understanding of the film industry. Nothing she had to say about The Hobbit and film financing was remotely factual. Why she has suddenly become the NZ Equity spokesperson is unclear, it appears to be a case of the blind being lead (sic) by the even-more-blind," the Wingnut statement said.

Key for his part said he understood Warners' main concern was industrial uncertainty, not the 15% tax break New Zealand gives to film companies.

It seems pretty unlikely that the films would leave New Zealand given in part that Jackson's visual effects headquarters and stages were built there, notes Deadline. "But clearly this is serious stuff," says Deadline's Mike Fleming.

Deadline has the Wingnut, SAG and AFTRA statements here.

The New Zealand Herald, here, speaks to locals who wonder what would happen to Hobbiton if the productions moved.

Related Links

New Zealand battles to remain home of
Hobbit can be saved – Key (NZH)
Actor Guilds Settle With 'The Hobbit' But Ire In The Shire Could Still Push Peter Jackson Pics Out Of New Zealand (DH)

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