Spanish bizzers renew credit pact

Deal raises ICO's three-year facility from $67.5 mil

Spain’s Official Credit Institute (ICO), pubcaster RTVE and producers org Fapae have renewed a long-standing accord that will allow Spanish producers to draw up to E75 million ($92.1 million) in credit financing during 2006-08.

Producers who sign pre-buy, screenplay-stage contracts on films with RTVE can continue to discount the contracts at ICO in the form of low-interest loans.

Pact raises ICO’s three-year facility from $67.5 million during 2003-05.

It includes animated series as well as features, shorts, TV movies, docus and series of cultural values.

Increased credit line reflects hiked demand from Spain’s film production sector. ICO lent $58.9 million toward the production of 93 pics from 2003-05, nearly exhausting its facility.

The ICO provides valuable upfront money for movie production in Spain, where film financing is heavily backloaded.

Despite signing pre-buy contracts, RTVE pays most money for a Spanish film on its first RTVE run some three years after it shoots.

But ICO has no comparable discount deals with Spain’s main commercial broadcasters, Antena 3 and Telecinco, or with paybox Canal Plus.

Want to read more articles like this one? SUBSCRIBE TO VARIETY TODAY.
Post A Comment 0

Leave a Reply

No Comments

Comments are moderated. They may be edited for clarity and reprinting in whole or in part in Variety publications.

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

More Biz News from Variety