As Asian business rationalizes itself, and as a financial model producing films and television becomes more akin to what we do in the West, the need for the kinds of products and services--whether it's completion bonds
or E&O insurance--all of these other areas are going to become more and more necessary," Milstein said.
Insurance companies are often the stars of this aspect of filming, playing a key role in coming up with the proper coverage so a completion bond
can be worked out, no matter how tricky the venture may appear.
Among the biggest challenges facing independent filmmakers are securing a completion bond
and obtaining financing.
The coverage under the policy gives Monsanto similar protection to that which would be provided by a completion bond
They limit this risk by making an arrangement with large deep-pocketed reinsurance companies like Lloyd's of London does for Film Finances and TransAmerica for Completion Bond
Yet in a year when independently financed films are dominating the Oscar's major categories, a trio of completion bond
companies - Cinema Completions, Film Finances and International Film Guarantors - were crucial players in getting the movies made.
Previously, Milstein held executive positions with the Completion Bond
Company, Miramax Films and William Morris Agency.
Typically LHO provides financing on a senior secured basis, with a completion bond
fully securing the loan during the production phase and worldwide distribution rights securing repayment thereafter.
The financial tsunami of 2008 destroyed the ability of many Oregon contractors in the building trades to get a completion bond
, or the working capital to acquire the supplies to do the work," said Jeffrey Camp, Chief Operating Officer.
said "budgets for interactive multimedia projects are now at the levels where producers need the services of a completion bond
Due to marketplace pressures hindering its ability to realize reasonable profits, TIG is exiting the completion bond
business when existing guaranteed film and TV projects have been completed.
To secure the concession, Conduit presented a construction completion bond
for $68 million earlier in September.
Fireman's Fund requires that a completion bond
be in place prior to issuance of coverage and that production be scheduled to be completed prior to June 15, 2008.
To protect their investments, independent films depend on completion bonds
, while studios rely on independent research companies to conduct polls before a film opens.
Additional leverage to support project construction, including the use of completion bonds
, may affect the rating.