For Canadian companies, big and small, natpe is an increasingly useful business development experience.

CHUMCity International development director Isme Bennie, attending her first natpe with her new company, says the overwhelming power of u.s. tv is an effective benchmark for Canadians to position themselves in the world.

‘The world is changing. New governments are bringing in new attitudes to broadcasting, and satellites are also changing the world. I’m very high on the opportunities right now. I think it’s out there,’ she says.

Canadians are responding to natpe with the same enthusiasm reserved for the international mips.

Michelle Bischoff, Telefilm Canada promotion officer, international markets, says this year’s natpe featured Canada’s largest contingent ever, over 70 companies compared 50-plus last year.

Bischoff says registration was at the 17,000 level this year with national umbrella stands hosted by France, Germany, Italy, the u.k., and, for the first time, Russia.

Cinar ceo Micheline Charest says natpe is well timed, and has the added feature of introducing new u.s. programming, product which has more impact on the world market than ever before. ‘It’s probably going to squeeze out Monte Carlo soon,’ she says.

Bennie says natpe was ‘very busy and businesslike’ even more so than last year. She says CHUMCity met primarily with international buyers ‘and as an organization selling chum’s expertise in local enterprises.’

‘I don’t think we are immediately in the program syndication business in the United States. It’s a very hard for any Canadian company, it’s hard for the Americans,’ she says.

In u.s. terms, Canada does best in cable and public television.

Market veteran Bennie says Eastern Europe is opening up and deregulation and the availability of more licences in markets like Spain and Germany is also having a positive impact.

Concentrated power

Charest says Canadian companies have to deal with concentrated corporate power.

‘The market is changing. It’s funny because within Canada we’re still having the debate of the last 20 years while the world has had a chance to change three times in the past year.’

She says the kids’ business is ‘buzzing’ with convergence and takeovers as larger players become even larger.

‘You know abc is in a funny position not being able to say. `Disney will supply all our shows,’ which they’re denying.’

The merger trend indicates tougher access in the u.s., ‘it means they (the networks) are becoming more self-sufficient,’ she says.

‘So it’s creating a trend where to really succeed in leveraging a significant licence fee you have to be in some form of relationship or other because the buying market has the upper hand. There’s a lot of product.’

And because major companies now have international outlets, Charest says they’re looking to acquire world rights squeezed from independents.

‘Like it not, the Canadian marketplace is dependent on our ability to access financing internationally. You can’t be half pregnant (and) because you need the money to create your programming then you are also going to have to understand the games that are being played and equip yourself to deal with that convergence of power. For Cinar, the rights worth saving are distribution rights and a great chunk of the foreign market, and Canada is just one component.’

Paul Painter, executive vp at Telescene Communications, says the u.s. syndication market is essentially ‘a closed market’ for Canadian companies. The price for one-hour action drama has been halved in the past two years, down from $400,000 to $200,000, he says.

‘With upn and wb and all the cable channels it’s becoming incredibly fragmented. So the syndication market has to change because you are not getting the kind of demographics (so ad revenues can drive higher production values). We met with All-American, Rysher, we met with everybody, and that’s the consensus. On top of that, try to get (broadcast) timesthat is a tough market to break into,’ Painter says.

An added measure of the change is cbs’s announcement that it has formed a new syndication company.

Telescene has a drama project with a&e but Painter says the company can’t find a Canadian time slot ‘because of the abundance of industrial Canadian content.’

‘a&e is broadcast up here (in Canada), Discovery is broadcast here, but they don’t want to pay extra (for the Canadian window). They want to pay the same licence fee as they pay in the u.s. and (then they say), `By the way that includes Canada.’ ‘

Not protecting Canada

Painter maintains the crtc is not protecting the Canadian marketplace. ‘The cftpa says, `They (the authorized cable channels) have to pay extra (for the Canadian window),’ but what is said and what’s happening are two different things. They don’t want to acknowledge Canada as a separate marketplace.’

In the u.s., he says, tiered deals have become an important ingredient in the financing mix.

‘Channels like USA Network and hbo share windows but up here in Canada they don’t want to share their windows at all. cbc can’t pay the kinds of licence fees anymore to drive a totally Canadian project and ctv can’t either. So they have to do something about the windows available here in Canada.’

Painter says u.s. specialty channels are starting to dabble in first-run production, but serious leverage is needed to open the door.

‘We’ve found one has to have an alignment with an advertising group. Because that’s the only way you can afford to get a project on air.’

Telescene has a deal with a European coproducer with marketing giant Procter and Gamble as a major financing partner in the package.

‘Opens windows’

‘If you sit down with a USA Network, a Comedy Channel, a Lifetime, a&e and somebody from p&g is there saying, `By the way, we’ll pay top dollar for 50% of your advertising inventory if you take this deal,’ then all of sudden instead of normally being able to pay $100,000 they (the broadcaster) can come in for $150,000. So it’s not a barter deal but what it does do downstream in the foreign marketplace is open many windows because p&g is willing to take Germany, the u.k., France.’

‘What is happening in Canada is that the networks are refusing to have these kinds of discussions based on access primetime or primetime.’

Telescene Entertainment principal in New York, Michael Yudin, a former vp with Paramount Television, put the leveraged p&g deal together, says Painter.

While the syndie scene has certainly gotten a lot more complicated as major nets join the game, Atlantic Communications fare well in the crowded market.

Atlantis Communications went to natpe this year with three action-adventure programs, seeking syndication in u.s. markets. Ted Riley, vp distribution, says it was a ‘terrific’ experience this year.

‘Because we had three shows on the floor being syndicated where we controlled some or all of the foreign rights, it was a much more meaningful show than in the past. Trying to introduce other kinds of product during that market is sometimes an exercise in frustration,’ says Riley.

All three shows performed well, he says, but PSI Factor and Sinbad were really outstanding. ‘We don’t have a green light on either Sinbad or PSI Factor but we are expecting both of them soon as both of them did extremely well with the syndicators,’ he says.

PSI Factor, a dramatic series on the paranormal to be hosted by Dan Aykroyd that seems a perfect fit for syndication, got over 70% clearance and secured all the major markets with distributor CBS Maxim onside.

Sinbad, a special effects-heavy family series created by Ed Naha (Honey, I Shrunk the Kids), was the real surprise, pulling in well over 70% and was sold to the Tribune Group (a group of stations in the u.s. that form a major part of the syndication grid including New York, Los Angeles and Chicago). ‘If you get Tribune in it’s a very, very good start,’ says Riley.

Although Otaku Patrol Group, a tween drama about a group of San Francisco techno-punks out for some adventurous fun, is doing well, says Riley, ‘we’re not really sure if it’s going to clear or not. But we’re very confident on Sinbad and PSI Factor.’

Riley expects to close ‘some major deals’ in the next two weeks.

Norstar Entertainment vp of television Milt Avruskin went to natpe this year with a number of series including Life after Death, 10 half-hours about the great beyond based on the work of theologian Tom Harper, and Sherlock Holmes, a four-part drama series of 90-minute features looking for a European coproducer and an American home.

He reports that it was the proposal for an Iron Eagle action-hour franchise series, following the four feature films, that garnered the most interest at the market. ‘There was an extremely favorable response internationally and we are very guardedly optimistic as to the potential of the series,’ he says.

Furey to direct

Avruskin says Iron Eagle 4 will act as the pilot for the series and Sidney Furey, who directed three out of the four features, is signed to direct ‘the bulk of the first-year episodes.’

Life After Death, which is in production, also gained some interest, says Avruskin. ‘We’re waiting for some completed episodes,’ he adds.

Overall, Avruskin calls the market ‘more upbeat’ than in years past. ‘People seemed to be more interested in doing business and there seemed to be a sense of revitalization. Maybe people are starting to be a little more hopeful about the economic times ahead.’

Earl Weiner of Catalyst says, ‘It was our best natpe ever. We came back excited and we’ve come back many times unexcited.’

Weiner says it’s too early to talk specifics, but he claims there is ‘one million dollars on the table in offers for purchase rights for two series.’ One of the shows in question is an international coproduction with Catalyst and the other is a Canadian series which Catalyst is representing.

With files from Leo Rice-Barker and Pamela Cuthbert.