Nelvana & RTV team up

Nelvana finalized a multifaceted deal with Germany's RTV Family Entertainment last month, which gives RTV television, home video and merchandising sub-agency rights to a reported 560 half-hour episodes of Nelvana-produced current and library TV series for German, Eastern European and Nordic areas. In return, Nelvana is set to receive a nonrefundable distribution advance of US$10.25 million in the next year. Nelvana CFO and senior VP of finance Sally Moyer Kent says that 30% of the library being purchased by RTV consists of episodes from `98 and `99, including George and Martha and Dumb Bunnies.

Nelvana and RTV have also embarked on a three-year, US$22-million reciprocal distribution agreement, whereby RTV will buy TV, home video and merchandising sub-agency rights to a minimum of 65 Nelvana TV episodes per year, beginning in 2000. The two companies have also agreed that they will co-produce a minimum of two 26-episode TV series over the next three years.