Why is Hollywood facing strike action

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A.� The writers and actors in Los Angeles are demanding for 'residuals', payments for replays of films and TV programmes, in markets that barely existed or generated little revenue when contracts were last negotiated a few years ago, such as video/DVD, basic cable, the Fox Tv network and overseas television.

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Q.� What form will the action take

A.� The Writers Guild of America warned it would strike when its contract expired�on 1 May and the actors' union (the Screen Actors Guild and the American Federation of Television and Radio artists) is expected to follow suit when�its contract expires on 30 June.

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Q.� What effect will it have on the industry

A.� The movie industry would face nearly $7 billion in lost income and more than 81,0000 lost jobs, according to a study commissioned by the Mayor of Los Angeles, Richard J Riordan. The writers last picketed in 1988, and the effect of their five-month walkout delayed the start of the network TV season and saw thousands of viewers defect to cable. Any strike will affect writers, studios, cinema owners, print media, and support workers. No production in Tinseltown means no work for the camera operators, caterers, pool cleaners, personal trainers, etc. The Teamsters union, which does much of the driving and heavy lifting for Hollywood, has already threatned to withdraw its support of striking writers and actors.

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Q.� Why don't the two parties come to an agreement

A.��Members of the Alliance of Motion Picture and Television Producers (AMPTP) say that making the residual payments could cost them hundreds of millions of dollars at a time when revenue is shrinking because of increased production costs, caused partly by the massive salaries paid to actors and writers.

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Q.� How is this affecting movie production in Hollywood

A. Stars such as Gwyneth Paltrow, who is said to have shot four films in as many months, and Julia Roberts, have been working overtime to help the producers. Many shoots are in a limbo situation until the threat of action is either settled or called off. A big-budget Hollywood film, which costs an average of �70 million to make, can take 75 days to shoot, so any film that did not start shooting before last week, is effectively shut down already.

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Q.� Which films will be directly affected

A.� There are several big name movies already in production for 2001, including Basic Instinct 2, which sees Sharon Stone make a comeback. Producers couldn't find a suitable leading man for the part before the pre-strike shoot, but production could get under way even if action does start, because�the distributor MGM has no financial stake in the film, and could therefore get a waiver.

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• Indiana Jones 4 is still being talked about, but a strike would ineveitably delay things.
• The Matrix 2, with Keanu Reeves, will probably be delayed as the directors are taking the film to Australia, and San Francisco.
• Men in Black 2, with WIll SMith and Tommy Lee Jones, is under threat - as much of the film will be shot as possible before 30 June, then everything will be put on hold until the strike ends.

Q.� How many people are directly involved in the LA film industry

A.� There are approximately 11,000 screenwriters and 135,000 actors. Since only a handful are working at any given time, few earn the mega-bucks salaries that Julia Roberts or Tom Hanks can command, so residuals from past work could constitute an actor or writer's main earnings.

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By Katharine MacColl

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