"Master Replicas Dumps Star Wars" (Article from MR website)

[Lord_Gita]

http://masterreplicas.com/customer/community/news/detail.php?id=34&cookie_check=1

This was posted on galactichunter.com but the article is from MR's own website.

Do you think this is a final decision or part of a negotiating tactic?

 

[Star Wars Helmets]

imo its just part of the negotiating process. LFL is renowned for asking for huge deals and a number of companies have stated that its hard to make the deals work for both sides. Deals with Pepsi and Burger King for Ep1 spring to mind - with the same movie deal almost busting Dorling Kindersley.

Cheers

Jez

 

[JOATRASH FX]

That's like... um...HUH? Ok... Corgi probably doesn't need the $, but haven't MR... like... um... basically survived on the Star Wars license?

Maybe that's the thing... they could want to see how well they can do without it...? Weird.

 

[OldKen]

In the long list of bad moves... this is the cake taker.


Ill go ahead and say it now, but heres what Im going to post when they go under in less than 5 years...

"Only now, at the end do you understand."

 

[Stormer]

i dont see MR surviving without the star wars liscense for very long at all

 

[KnightAsylum]

When at home on my ol'mac laptop I have trouble seeing anything on the MR site, so I thought I would post the press release here in case anyone else had the same issue. - For the record I don't think it is just a ploy or a bluff, but I also think that until someone else takes the license you never know what will happen. Not being able to come to terms is why most license change ownership. Who know what will happen here?

Press release-

"Corgi International Limited Provides Notice Withdrawing Offer to Secure a New Licensing Agreement with Lucasfilm Ltd.

HONG KONG--Corgi International Limited (Nasdaq GM:CRGI) today announced that it has notified Lucasfilm Ltd. that the company has withdrawn its offer to secure a new license agreement for Star Wars products starting January 1, 2008. The company's existing license with Lucasfilm Ltd. for Star Wars products expires on December 31, 2007. Lucasfilm Ltd. had previously notified the company that it was not willing to provide a new license on the terms proposed by the company. Corgi believes that it is not in the best interest of its shareholders to accept a new license on the terms proposed by Lucasfilm Ltd.
While Corgi does not expect to secure a new license for Star Wars products from Lucasfilm Ltd. starting January 1, 2008, the company continues to expect to generate approximately 20% of total net sales for the fiscal year ending March 31, 2008 from sales of products from the licensed properties of Lucasfilm Ltd. As such, the company is maintaining the guidance issued on February 20, 2007 regarding the fiscal year ending March 31, 2008.
CEO Michael Cookson commented, "We have enjoyed our six year relationship with Lucasfilm Ltd. and the work that we have done with Lucasfilm Ltd. to help grow and expand the Star Wars franchise. Jointly, we have developed some of the highest quality and coolest products for the core Star Wars fans. At the same time, Corgi is committed to building a healthy, profitable company. Unfortunately, the company and Lucasfilm Ltd. were unable to agree on terms for securing a new license starting in January 1, 2008. We look forward to continuing to develop growth opportunities at Corgi, thanks to our product development expertise, our strong distribution and our portfolio of license and non license business.”
About Corgi International
Corgi International develops and markets innovative, high-quality licensed and unlicensed pop culture collectibles, gifts and toys ranging from high-end movie and television prop replicas to lower price-point gifts and toys. The company holds licenses for pop culture collectibles, gifts and toys for many of the highest grossing film franchises of all time including Batman, Disney Classics, Harry Potter, James Bond, Pirates of the Caribbean, Star Trek, Spiderman 3, and Star Wars. The company is headquartered in Hong Kong, with offices in Walnut Creek, CA, Chicago, IL, and the United Kingdom."

 

[yodakiller1138]

Talk about STUPID . :confused SW is the cornerstone of the company. Without that I'm afraid I'd be done doing business with them unless they got the Indiana Jones license.

 

[Darth Detroit]

Well, I knew a LOOoong time ago THIS day was coming. Oversaturate the market... move along... thats just great!:angry :thumbsdown

 

[DL 44 Blaster]

If this comes to pass, I wonder what things will change with the values of MR props? Prop values come in waves like the stock market, and I'm an avid watcher. Not that I'd dump what I have, but it's nice to know what ones stuff is "worth".

I think it would be a shame personally

Steve

 

[Sporak]

Maybe they'll do more with the Star Trek Licence...

 

[Raffles]

Well if MR does lose the licence and go belly up then you'll probably get whoever takes the license on reissuing a lot of props like rubies and don post. Amt and revell.

 

[clonesix]

Personally, I see this as a good move. They have done Star Wars to death. The market is saturated with blasters, light sabers, studio scale models. Time to cut the expensive licenses, and move into new markets. There are plenty of things they can produce to be the new "bread and butter" of the company.

 

[tripoli]

Don't assume MR dumped them. As I had mentioned in the original MR merger thread, there were grumblings about the changes MR was making. Sometimes the studios make difficult contracts with reason.

And... With a thirty year anniversary coming to the head with a bunch of new programs, television and the new announcement of a movie franchise starting back up, you can be sure Lucas will be looking for a company to fill the void.

 

[Apollo]

While that does not sound good, who knows what tomorrow will bring.

It will be interesting to see if indeed another Company picks up the Franchise rights.

 

[Funky]

Figures. :wacko

 

[Got Maul]

If its true, hold onto to the MR stuff....a la Icons value !

 

[CGClone]

Man, the MR market is two-fold for me, you the inexpensive stuff like the ForceFX line, and the high-end studio scale models. With the release of the Gree, the TK bucket coming and the Riddell mini-helmets, I wonder if LFL will let them deplete their line and keep the profits or what happens?

I don't doubt they will go under in less than 5 years.

 

[ortiz34]

initial thoughts:
so they bleed the license as much as they can and produce just about all the sabers and then bail out because they didnt know if they wanted to make props or limited overpriced collectibles.

PS:I knew making the falcon and y wing would kill em

PPS:So does this 'protect our investment' now? (their words not mine)

 

[Mola Rob]

Maybe they can try again with the Shrek products, or light up jackets, or try the Elvis thing again.

 

[Lord_Gita]

Lucasfilm film repsonse found at Rebelscum.com
----
Corgi and Master Replicas To Cease Producing Star Wars Products
Posted by Grahame on May 15, 2007 at 05:09 PM CST:
Here is the Lucasfilm Press Release :

SAN FRANCISCO, Calif. (May 15, 2007) – Lucasfilm Ltd. said today that the license granted to one of its collectibles licensees, Corgi International Ltd., would expire at the end of 2007 and would not continue because the parties were unable to agree on terms for a renewal of the license. Corgi has made replicas of iconic Star Wars lightsabers, weapons, helmets, and other props under the brand name of Master Replicas.
“We deeply regret that we and Corgi could not come to terms on a new agreement,” said Howard Roffman, President of Lucas Licensing. “We had very much hoped to continue working with them. We know our fans and collectors really love this category and we are working as quickly as possible to bring in new licensees to replace both Master Replicas and Cards Inc.”
Late last year, through a merger and acquisition, Master Replicas and Cards Inc., a U.K. distributor and manufacturer of collectibles and also a Lucasfilm Star Wars licensee, became a part of Corgi International Ltd.
Lucasfilm Ltd. is one of the world’s leading film and entertainment companies. Founded by George Lucas in 1971, it is a privately held, fully integrated entertainment company. In addition to its motion-picture and television production operations, the company’s global businesses include Industrial Light & Magic and Skywalker Sound; Lucasfilm Animation; LucasArts Entertainment; Lucas Licensing and Lucas Online. Lucasfilm’s feature films have won 19 Oscars and its television projects have won 12 Emmy Awards.