Ever since Disney acquired Miramax two years ago, industry observers have wondered whether the squeaky-clean entertainment company and its brash art-film subsidiary could live peaceably together. Disney purchased Miramax, headed by Harvey and Bob Weinstein, to produce sophisticated movies for adults-a market that had previously eluded the company. Since then, Miramax has had a string of critically acclaimed movies like “Pulp Fiction” and “Bullets Over Broadway.” But now the predicted culture clash seems to be coming to the fore. Last week Disney sources said the company would have nothing to do with “Kids” unless it could be drastically edited. “‘Kids’ will not be released as an NC-17 movie by any of our film labels, including Miramax,” said one Disney official. Some industry analysts wonder whether Miramax has pushed the creative envelope too far. “Maybe [Disney has decided] enough is enough,” says Jessica Reif, an industry analyst for Merrill Lynch.
Disney and Miramax have always been as dissimilar as Mickey Mouse and Madonna. To protect its franchise in family movies like “The Lion King,” Disney shuns NC-17 (formerly known as X-rated) movies. But niche-marketer Miramax has no such restrictions. One Miramax staffer says the company was delighted by a threatened boycott of “Priest.” “We were terrified that we wouldn’t get a controversy,” he said.
Disney officials say publicly that the alliance is not threatened. (“We’re very happy they’re part of our team,” says Disney film chief Joe Roth.) But insiders note that the union has suffered since the departure six months ago of former Disney Studios head Jeffrey Katzenberg, the architect of the acquisition and the principal liaison to Miramax. Some sources inside the parent company say quietly that the company is weary of Miramax’s “any publicity is good” approach and is starting to regret its agreement to give the subsidiary total autonomy. “They’re shameless, and they’re embarrassing us,” says one.
So as the bickering continues, what will become of “Kids”? Roth says the movie could be distributed by a shell company created by Miramax but not technically owned by it or Disney. Or it could be sold to the highest bidder. For now it’s under wraps and won’t be shown until May at the Cannes film festival-where the gossip about marital strife between Disney and Miramax is bound to be hot and heavy.
