Where movie studios see trouble, Red Granite Pictures sees opportunities.
The new finance and distribution company’s business plan is both contrary and simple: Make the films the studios don’t.
Among its first projects are Martin Scorsese’s “The Wolf of Wall Street,” which comes out Wednesday, and next year’s “Dumb and Dumber To,” the intentionally misspelled sequel to the 1994 comedy.
On the surface, those pictures don’t exactly seem like the sort that a major studio would cast aside.
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But both were complicated projects, fraught with thorny issues. Red Granite’s founders, Riza Aziz and Joey McFarland, said they thrive in these sorts of scenarios.
“One of our sweet spots is movies that have died in the studios — movies that are just great product that everyone was hot on but for some reason or another just didn’t make it to the greenlight stage,” said McFarland, 41, a Louisville, Ky., native who is Red Granite’s vice chairman.
McFarland and Aziz, Red Granite’s chairman, started the West Hollywood company in 2009. That year, they began working on their first film, the comedy “Friends With Kids,” which came out in 2012 and grossed $12 million worldwide.
They were also executive producers on the recent drama “Out of the Furnace,” which was released in early December, and co-produced “Horns,” a Daniel Radcliffe-starring horror film that will be distributed by Weinstein Co.’s Radius label next year.
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Red Granite, which has 12 employees, has eschewed a template for producing pictures. In the case of “Out of the Furnace,” the company acquired the project’s international rights from Relativity Media and then used its own in-house foreign distribution arm, Red Granite International, to sell the movie overseas.
On “Wolf,” Red Granite struck a deal with Paramount Pictures to have the studio distribute and promote the movie domestically for a fee. Red Granite sold the international rights to the film, mitigating the company’s downside risk.
“Every movie is different,” said Aziz, 37, who is the son of Malaysian Prime Minister Najib Razak. “We are very flexible in the model we [can] pursue.”
Red Granite raises money from a pool of undisclosed investors in the Middle East and Asia, and finances its movies on a one-off basis. The company is able to greenlight a picture without a distribution deal in place. But because it doesn’t have a fund it can tap, Red Granite must convince its investors that an individual project is worth the risk, rather than having the comfort of money to underwrite an entire slate.
That’s a tough business to be in, because one flop could scare off investors.
Graham King, the veteran producer behind such critical and commercial hits as “The Departed” and “The Aviator,” knows the travails of this business well. He produced Scorsese’s expensive 2011 3-D family film “Hugo,” which won five Oscars but struggled at the box office.
“That’s when I started paying attention,” King said. “The studios know what they are talking about. They take the occasional risk and they know what attracts an audience.”
“Wolf” is no “Hugo” when it comes to cost, but with a price of roughly $100 million, it wasn’t cheap. Red Granite paid for it all — a big bet for a fledgling company.
According to those who have seen prerelease audience surveys, “Wolf” could have a five-day opening run of $25 million to $35 million. That could be enough to beat out the five other films opening wide Wednesday — “Mandela: Long Walk to Freedom,” “47 Ronin,” “Grudge Match,” “Justin Bieber’s Believe” and “The Secret Life of Walter Mitty.”
Prime Minister Dato’ Sri Mohd. Najib Tun Razak this evening announced an eleven items on Malaysian Government’s latest approach to reduce public spending, in the wake of public outcry towards the ‘subsidy rationalising’ policy and approach expected in 2014. Too many Malaysians especially the low income bracket suffered and groused as a result of increased in retail prices, beginning with the 20 sen increase of RON95 petrol and diesel on 3 September 2013 and total withdrawal of subsidy on sugar.
30 December 2013| last updated at 08:47PM
PM announces measures to cut public sector expenditure
0 0 Google +0 0 0 commentsKUALA LUMPUR: Prime Minister Datuk Seri Najib Razak today announced 11 measures to slash public sector expenditure beginning Jan 1, 2014, one of which is the reduction by 10 per cent of the entertainment allowance of ministers and deputy ministers.
These measures are in accordance with the government’s desire to practise more prudent spending in the new year, he said in a statement issued here.
He said the decision to introduce the measures was made following a discussion with Deputy Prime Minister Tan Sri Muhyiddin Yassin and the Chief Secretary to the Government, Tan Sri Dr Ali Hamsa.
Najib said the government would also reduce the entertainment allowance of senior government officers on the Jusa C Grade and above by between five and 10 per cent.
Furthermore, the toll facility for senior government officers would also be reduced by between RM50 and RM100 or 30 per cent, he said.
Najib, who is also the finance minister, said the government would also amend the eligibility for domestic and international flight tickets for civil servants, whereby civil servants on the Jusa C Grade and below will only be eligible for the economy class on domestic flights.
The government would also reduce by five per cent the electricity utility cost at all ministries, departments, agencies and government premises, he said.
The prime minister said the government would freeze fresh applications for renovation of government offices while optimising use of existing office space to reduce rental of offices premises.
Najib said the government would tighten the appointment of consultants for government physical projects, including conduct of feasibility studies.
The proposal for appointment of these consultants would have to be submitted to the National Development Planning Committee chaired by the Chief Secretary to the Government for prior approval.
Najib said the government would also cut down on the use of event management companies as well as the awarding of door gifts or souvenirs during government conferences or events involving members of the administration and civil servants.
He also said that the government would reduce the food and drinks as well as the use of buntings and banners when organising conferences, seminars, meetings, courses, workshops or any official government function.
The government would also apply the National Blue Ocean Strategy approach by optimising the use of the 1Malaysia Training Centre (1MTC) and facilities at government-owned training institutions for organising courses, seminar and workshops, he said. — BERNAMA
Read more: PM announces measures to cut public sector expenditure – Latest – New Straits Timeshttp://www.nst.com.my/latest/pm-announces-measures-to-cut-public-sector-expenditure-1.451149?cache=03%2F7.205584#ixzz2oz1gY4Qt
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The Malaysian Government needed to restructure and rationalize subsidy, cost the Federal Government RM43 billion per annum. Part of the roll out of this strategy to reduce budget deficit is the systematic withdrawal of certain subsidies and the introduction of consumption tax, GST, from 2015.
This announcement is thought to be in the right direction of the government making the initiatives, instead of asking the common rakyat to be “Spend thrift and change their lifestyle”.
This is not withstanding the fact that certain Cabinet Ministers making really stupid remark about “No complaints lodged in reflective of the rakyat’s acceptance in the rising cost of production and retail”.
Domestic Trade and Consumerism Minister Dato’ Seri Hassan Malek’s faux pas, as per reported by The Malay Mail:
Silence means tacit approval for price hikes, says minister
DECEMBER 27, 2013
Pakatan rally against assessment hikes at DBKL building in Kuala Lumpur, December 16, 2013. — Picture by Saw Siow FengKUALA LUMPUR, Dec 27 —
The failure by Malaysians to officially complain of price increases caused by government measures indicated their approval for the policies, Domestic Trade, Cooperatives and Consumerism Minister Datuk Seri Hasan Malek said today.
He also insisted that prices were determined by consumers and that the government has no role or power over the matter.
“We haven’t received any complaints. People have not complained, which means there is support. We don’t control the price, the consumers control it,” he was quoted as saying by The Star on its website today.
Since September, Putrajaya has embarked on aggressive cost-cutting measures after pressure grew for it to rein in a chronic budget deficit that traces back to the Asian Financial Crisis of 1997 and which has left Malaysia’s national debt at just below a critical legal ceiling.
It has pledged to bring its overspending down from around 5 per cent of gross domestic product now to 3 per cent by 2015.
Among others, it has reduced fuel subsidies, removed price control for sugar, allowed an increase in electricity tariffs and confirmed the introduction of the goods and services tax (GST) all within the space of four months.
Yesterday, former prime minister Tun Dr Mahathir Mohamad urged Putrajaya to balance the national budget by trimming its own expenditure before looking to add to the financial burdens of Malaysians.
The nation’s longest serving prime minister pointed out that there was ample opportunity to reduce wastages and leakages as evidenced by the annual Auditor-General’s report, before resorting to new and higher taxes.
Today, Hassan disagreed with Dr Mahathir’s suggestion but said the government would take it into consideration.
“We will look at Tun’s views as well as those of the public. We want the best system.”
– See more at: http://www.themalaymailonline.com/malaysia/article/silence-means-tacit-approval-for-price-hikes-says-minister#sthash.yP9ibSgt.dpuf
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Four days ago Fourth Prime Minister Tun Dr. Mahathir Mohamad boldly point out in his blog that the Malaysian Government need to check on its spending first, before passing the burden of the budget deficit and buck to the rakyat.
An extract from Bernama report on Prime Minister Najib’s fifth budget tabled 25 October 2013:
KUALA LUMPUR: Malaysian Prime Minister Najib Razak tabled Friday the 2014 Budget amounting to RM264.2 billion, aimed at invigorating economic activity, strengthening fiscal management, inculcating excellence in human capital, intensifying urban and rural development and ensuring the well-being of the people towards achieving a developed nation status.
When tabling the budget themed “Strengthening Economic Resilience, Accelerating Transformation and Fulfilling Promises” in Dewan Rakyat on Friday, Najib who is also the Finance Minister said RM217.7 billion was allocated for operating expenditure and RM46 billion for development.
The operating expenditure includes RM63.6 billion for emoluments, RM36.6 billion for supplies and services, RM114.5 billion for fixed charges and grants, RM1.4 billion for purchase of assets and the remaining RM1.5 billion for other expenditure.
From the Development Expenditure of RM46.5 billion, a sum of RM29 billion was allocated to the economic sector, a sum of RM10.5 billion was allocated for the social sector, including education, training, health, welfare, housing, community development; RM3.9 billion for the security sector; RM1.1 billion for general administration and RM2 billion for contingencies.
Najib said the government’s revenue collection is estimated at RM224.1 billion, an increase of RM4 billion from 2013.
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Probably the Federal Government is not as reckless as the DAP Penang State Government, where the Chief Minister Lim Guan Eng would buy a brand new Mercedes Benz S300L W221 to replace his 18 years old official S320L. Never the less, so many CAPEX of various Ministries’ and Agencies’ spending are far from being spend thrift.
Prime Minister Najib as the Minister in-charge of Lembaga Kemajuan Tanah Persekutuan (Federal Land Development Authority or FELDA) should also check on investment acquisitions such as the RM500 million serviced apartment-hotel in Bayswater, London W2. The investment has no relations to FELDA, a Federal Government agency incorporated more than 55 years ago to restructure land development programs in the form of communal plantations.

FELDA’s serviced apartment-hotel in Bayswater, The Grand Plaza
What is also pertinent for Prime Minister Najib as the Finance Minister to be successful in his austerity drive is to vastly improve on project management, the requisition and delivery system, thus avoiding wastage and reducing efficiency. These items have been raised and highlighted by the Auditor General, in which were raised in Parliamentary sittings in bouth houses and under constant radar of the media.
The Star story:
Published: Tuesday October 1, 2013 MYT 11:36:00 AM
Updated: Tuesday October 1, 2013 MYT 2:19:01 PMAuditor General’s report highlights five general weaknesses
KUALA LUMPUR: The Auditor General’s report on seven projects and activities by government statutory bodies highlighted five general weaknesses.
In general the weaknesses were improper payment, work or supplies not according to specifications, low quality or inappropriate, unreasonable delays, wastage, weakness in management of products and assets.
Auditor General Tan Sri Ambrin Buang said on Tuesday, among the reasons were carelessness in adhering to procedures fixed by the Government, lack of attention to detail when planning projects or fixing scopes and specifications of tenders and no frequent monitoring of contractors, negotiators or suppliers.
He also mentioned reasons like lack of skill in project management, late decisions on acquisitions, incomplete and outdated agency information systems, lack of attention towards effectiveness or impact of a project, and lack of funds for asset management.
The seven government statutory bodies audited were Malaysian Agricultural Research and Development Institute (MARDI), Universiti Malaysia Sabah, Universiti Malaysia Kelantan, Universiti Utara Malaysia, Employees Provident Fund, Retirement Fund (Incorporated) (KWAP) and the Accountant General’s Department of Malaysia.
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The “Thirteen Million Plus Ringgit” question; Is this austerity drive genuine and eventually across the board or in substance, it is just ‘Penny wise, Pound foolish’?
Cutting a small fraction of salary, allowances and entitlement of Cabinet Ministers, Deputy Ministers and Senior Government Officers would be meaningless if all these excesses highlighted by the Auditor General and unrelated investment and asset acquisitions still carry on, business as usual.
Many of policies and approach planned and being development are with the input and active participation of persons who play the role as very tight advisers and close aides to Prime Minister Najib. New agencies such as PEMANDU and TERAJU are incorporated, where professionals are brought in to do macro-planning role and paid super exorbitant salary.
A lot of the processes and outcome from all these ‘experiments’ are actually expensive, in effective and in the long term is counter productive to bigger agenda and existing policies.
Parliamentary Public Accounts Committee Chariman Dato’ Nur Jazlan Mohamed’s advice to Prime Minister Najib to change advisers and aides:
Nur Jazlan: PM perlu penasihat baharu
WARTAWAN SINAR HARIAN30 Disember 2013
SHAH ALAM – Ahli Parlimen Pulai (BN), Nur Jazlan Mohamed hari ini menyarankan agar Perdana Menteri Datuk Seri Najib Tun Razak mengambil penasihat baru,bagi memberikan idea baharu terhadap kepimpinan PM.
Jelas Nur Jazlan yang juga merupakan Pengerusi Jawatankuasa Kira-Kira Wang Negara (PAC), kepercayaan terhadap penasihat-penasihat lama terbukti gagal memberikan keputusan lebih baik kepada BN, selain melantik konsultan asing untuk memberikan imej positif kepada kerajaan juga baginya perlu diketepikan sama sekali.
“PM perlu menghimpunkan penasihat-penasihat baharu beliau bagi memberikan idea baharu supaya lebih memahami denyut nadi rakyat.
“…kepercayaan terhadap penasihat lama terbukti gagal memberikan keputusan lebih baik kepada BN dalam PRU13 yang lalu, sekaligus memberikan imej negatif kepada BN.
“…kini, setiap kata-kata kerajaan BN menjadi satu bahan gurauan dan momokan rakyat sehingga dilihat sukar untuk kembali meraih semula sokongan daripada rakyat,” katanya dalam penulisan terbarunya.
Mengulas lanjut, beliau menegaskan rakyat sebenarnya sedar pembangkang juga tidak sebaik BN, namun oleh kerana mereka (rakyat) berada dalam keadaan marah sudah pasti mahu mencari mangsa untuk melepaskan kemarahan mereka.
“Rakyat sebenarnya, sedar pembangkang juga tidak sebaik BN, tetapi dek kerana mereka berada dalam keadaan marah, sudah tentu mereka mencari mangsa.
“Oleh itu, bagi saya kegagalan BN mengoptimumkan penggunaan jentera parti memberikan penerangan kepada rakyat akan memberi padah besar kepada BN sendiri,” katanya.
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Prime Minister Najib must provide the leadership to demonstrate seriousness in the austerity drive, beyond trimming his own salary and allowances. Immediate examples include the total ban of his wife’s utility of the Malaysian Government private jets ACJ319, BBJ, Bombardier Global Express or Falcon 900 if she is not traveling with him and big reduction on her own entourage, private office and security detail staffing and entitlement.
After all, Datin Sri Rosmah Mansor is just a consort and not an official, unlike elected representatives or commissioned officers of His Majesty’s Government.
Annus Horriblis
The only admirable political achievement for 2013; BN recaptured Kedah from PAS
It comes to the moment to reflect back what had happened the past 365 days. Many could and should be learned, if we really wanted to. However, the will is rather suspicious, considering that many of the mistakes were avoidable and/or actually were repeat items.
2013 was not a particularly a good year.
The year was kicked off with HRH Sultan of Selangor Tuanku Sultan Sharafuddin Idris Shah Ibni Almarhum Sultan Salahuddin Abdul Aziz Shah issued a titah about “Non Muslims are prohibited to use kalimah “Allah” and the term is exclusively for the Muslims only”, in the wake of controversy due to the demand of certain minority to want to do otherwise.
In February came the shocking news. Hundreds of armed men from Tawi Tawi Southern Philippines landed in Kg Tanduo near Lahad Datu. They demanded the cessation of Sabah and back into the realm of self-proclaimed Sultan of Sulu. After 3 weeks of ‘talks’, the first skirmish broke on 1 March. Two Police commandos were killed. Two days later, they attacked a village in Semporna and 6 trapped Policemen were killed.
Two days later, in a joint operation between the Police and Armed Forces Ops Sulu was launched with the bombing of FELDA Sahabat 17.
It was the year the 13GE was held, which was actually at the final brim. Prime Minister Dato’ Sri Mohd. Najib Tun Razak pushed several opportunities for an earlier date to call for the ‘Mother of All Elections’. Often, his excuse was he did not have enough space and opportunity to prepare although the four full years he led the nation as the 6th Prime Minister was actually equivalent to a full parliamentary term.
After being sworn in as the Prime Minister with his own mandate on 6 May 2013, Najib announced his Cabinet nine days later. The line up is baffling if not shocking, when deadwoods and political liabilities such as Dato’ Seri Tengku Adnan Mansor and Dato’ Seri Hassan Malek were included. Especially HINDRAF leader Wathyamoorthy, who was once considered as an ‘extremist’.
Summary of BN Manifesto 13GE
Despite having a very good manifesto, generally Malaysians were not taken in. With the exception of BN winning back Kedah at the 13GE polls on 5 May 2013, no other political score worth remembering about the year.
Prime Minister Dato’ Sri Mohd. Najib Tun Razak got his own mandate as the BN Chairman with 133 seats In Dewan Rakyat in the ‘First past post system’ electoral process this nation adopted. Unfortunately, he faired worse than his predecessor exactly five years two months earlier, despite PM ‘Flip-Flop’ Tun Abdullah Ahmad Badawi was dubbed ‘Sleepyhead Prime Minister’ and often caught dozing off in public functions.
In his initial reaction, Prime Minister Najib coined the term “Chinese Tsunami” for the very poor support amongst the Chinese towards BN despite his efforts to woo them.
The ‘Systemic Failure’ which almost brought BN as the ruling party and government of the day down to its knees, did not really have much affect on who Prime Minister Najib retain as part of his team and ‘inner circle’ and how things are done. Several of his own aides and advisers were believed to have made lots of money throughout the lengthy campaign that ran for over a year.
This is not withstanding the constant communications failure, formidably due to a web of complex network of media officers and advisers serving the Prime Minister is too many different circles. One of the glaring instance is the ‘Endless Possibilities’ campaign. When media officers who are supposed to facilitate news for the Prime Minister are themselves craving for news attention and validation, then the troff fit as pig’s swill gets thicker.
Front Page Utusan Malaysia Saturday 13 July 2013
On 11 July 2013 in the early part of Ramadhan, Vatican Ambassador to Kuala Lumpur Apostolic Nuncio Joseph S. Marino stated his support for the Catholic Church’s publication The Herald quest to use kalimah “Allah” in place of God. That infuriated Muslims and demanded that Nuncio be expelled.
In late August, Defence Minister Dato’ Seri Hishamuddin Hussein did a faux pas when he spoke to the media after the ASEAN Defence Ministers Meeting hosted in Bandar Seri Begawan.
In September, in the exercise to realise ‘subsidy rationalisation’ Strategy to reduce the budget deficit and burdening subsidies by the Federal Government to the amount of RM43billion per annum, retail price of RON95 and diesel was summarily increased.
Two weeks later in the effort to address growing economic desparity issues and grouses amongst the Bumiputera, Prime Minister Najib announced the Bumiputera Economic Empowerment Plan. Although sounds good in passing, but when scrutinised from the practicality of achieving the desired objective many skeptics saw it as a rushed plan without proper thought-through.
The Malay NGOs showing the support, outside the Palace of Justice in August
October was a month of UMNO internal party polls. One of the three promises made when he assumed the 7th UMNO Presidency on 28 March 2009 was the ‘democratisation of UMNO’. Although it has been continuously harped that UMNO went through a ‘Transformation’ process where the decision makers of top echelon posts were expanded by 8000%, the result brought upon little ‘transformation’ as ‘Status Quo’ was maintained.
Prime Minister Najib’s fifth Budget was remarked as a well presented budget. Although many goodies were offered which include efforts to curb speculative trading on the growing escalation of price of houses and programs for affordable home ownership for the lower and middle income, the announcement of introduction of 6% GST from 2013 onwards did not augur well with majority of Malaysians.
The other wonderful news for the year was that on 14 October the Court of Appeal unanimously decided against the High Court ruling for the Catholic church publication The Herald four years earlier.
In December, was the final touch to the icing of the cake. Prime Minister Najib demonstrated his true self of being obtuse. When Prime Minister Najib is his rebuttal speech of the 64th UMNO General Assembly praising his wife Datin Sri Rosmah Mansor live on national TV. This is gainst the controversy created because she used the Malaysian Government VIP jet to her early November trip to Qatar, Prime Minister Najib’s move was seen as nothing but highly inappropriate and distasteful.
If Prime Minister Najib were to carry on as is and ‘business as usual’, 2014 would promise for another lousy year.
HAPPY NEW YEAR, EVERYONE
*Updated New Year 2014, 0200hrs