The Walt Disney Co. and Pixar Animation Studios Inc. have agreed to extend their current distribution agreement to include Pixar's 2007 release, RATATOUILLE.
The film, about a rat that lives in a French restaurant, follows Pixar's summer 2006 release, CARS.
An existing distribution agreement would have been moot if Disney's proposed $7.4 billion acquisition of Pixar closes this summer as expected.
The agreement was disclosed Feb. 2, 2006, in an 8-K filing with the SEC, which states, "Pursuant to the distribution letter agreement, the additional picture will be deemed a 'picture' under and in accordance with the terms of the co-production agreement between Pixar and Disney dated Feb. 24, 1997, subject to certain exceptions, including but not limited to those noted below.
The term of the co-production agreement shall be extended until RATATOUILLE is delivered to Disney. Pixar will finance all production costs and receive all gross receipts of the RATATOUILLE after deduction of (1) a distribution fee paid to Disney, (2) any participations paid to third parties and (3) Disneys distribution costs. Pixar shall have creative control and control of production for the RATATOUILLE and shall own all rights to derivative works based on the picture, except that Disney shall own theme park rights to the RATATOUILLE in perpetuity.
Pixar maintains sole ownership of copyrights, trademarks and other intellectual property rights in and to RATATOUILLE. Disney gets exclusive distribution and exploitation rights to RATATOUILLE for 10 years from initial theatrical exhibition of the picture or 11 years from delivery of the film, whichever is earlier.
