Kevin Costner invested $38 million of his own money into Horizon plus marketing costs. He needs movie to make $65 million domestically to break even. Presales and favorable Warner Bros deal could help recoup costs despite challenges.
Kevin Costner epic three hour Western Horizon An American Saga Chapter 1 making $1 million in opening weekend in theaters.
To make Horizon Yellowstone Star mortgaged his property in Santa Barbara and invested $38 million of his own money.
Costner and his other undisclosed financial backers are covering the movie marketing which estimated cost $30 million. Costner owns $38 million estimate.
Warner Bros working as distribution partner. Warner is only taking 8% of movie box office gross.
Costner who produced, directed and stars in project and is one of its main financiers had been developing various saga set in American West for decades.
The South of France is home to most popular movie festivals in world. It is mega movie marketplace that if used decently can assist directors to navigate the world of movie financing.
The objective is to entice international territories to agree to distribute a film long before they see a single frame of it. This is called presales and it involves a lot of connections.
Costner start this method at 2023 Cannes Film Festival when he brought on German based sales firm K5 International to handle foreign sales for Horizon Chapter 1 and 2.
Chapter 1 of Horizon had its world premiere at Cannes in May 2024 the firm had sold out most of international territories .
Costner believes in long term game. When he mad box office hit Waterworld back in 1995 which was mega costly movie ever made at time it look good deals like DVD sales and paid cable.
Pay 1 deals start after a film is through with its Video On Demand option. Deals can range from couple of years to as high as six.
DVD sales have dropped since mid 1990. Costner can deal with streamer or cable company for movie post theatrical release.
This is known in industry as Pay 1.
Pay changes the producer told media Costner could make a deal in tens of millions because of his star power.”Horizon franchise and not just first film.
Horizon Chapter 2 opens August 16 Chapter 3 has start principal photography for a May 2024 release and Chapter 4 is in development.
Warner Bros only taking 8$ of grosses the studio has a service deal with Costner. Costner get his cut of box office grosses starting the fist day the film is out as opposed to once the movie turns a profit.
For every $10 million Horizon makes at box office. Costner and his investor see $4.6 million back.