MOSCOW (Russian Film Business Today) – On 26 FEBRUARY at the Ritz Carlton hotel in Moscow, the Central Partnership group of companies held a press conference devoted to 2007 financial results and plans for 2008–2009. The event was attended by Sergei Shestakov, executive director of Central Partnership Group; Mark Lolo, general director of Central Partnership Sales House; Armen Dishdishyan, VP of international at Central Partnership Group and Aram Movsesyan, director of production at Central Partnership.

Shestakov was the first to speak and he noted that 2007 had been very successful for Central Partnership Group. Shestakov said that Central Partnership’s total revenue in 2007 was $156 million, an increase of 46% over the 2006 figure, which was $107 million. EBITDA (Earnings before Interest, Taxes, Depreciation and Amortization) was $49 million, a 20% increase from $41 million in 2006. Earnings in 2007 were 61% TV sales, 26% theatrical distribution, 9% home video and 4% other revenue. The share of TV sales was down from 72% in 2006, while the share of theatrical increased from 20% in 2006.

In 2007, Central Partnership released 47 films theatrically including those in limited release. It released 104 films and TV series on DVD. Central Partnership’s has a wide-ranging library of audiovisual content, which currently includes over 1,400 features and 3000 hours of TV.

In 2007, Central Partnership’s box office grosses for the sum total of its films were $85.09 million, which is $154.5% more year-over-year. Central Partnership’s 16 Russian releases earned 37% of total box office gross of domestic films ($148 million), while the 10 Central Partnership productions earned around 25% of domestic box office.

Lolo said that Central Partnership set records for the year. Its highest-grossing film ever was Nikolai Lebedev’s Slavic sword-and-sorcery yarn The Wolfhound, which grossed $20.02 million. Central Partnership released Taxi 4, which became Russia’s highest-grossing European film Central Partnership’s classics division released the leading film in limited release in 2007, which was Paris, Je t’aime. The compendium of Paris stories grossed $1.05 million from ten screens.

In 2007, Central Partnership completed production on eight films and four TV miniseries. Head of production Aram Movsesyan said that Central Partnership has launched production of 14 new projects – seven films and seven miniseries which are slated to be completed in 2008.  Movsesyan said that total investment in production was $54 million. In 2008, such investment would more than double to $110 million. Central Partnership plans to finish seven films and seven TV series and launch production on 24 films, 5 telefilms and 16 miniseries in 2008.

According to Armen Dishdishyan, Central Partnership’s foreign sales were $3.5 million in 2007, more than twice what they were in 2006 – $1.5 million. The leading films in foreign sales were such films as The Wolfhound, both installments of the Shadowboxing series (Shadowboxing and Revenge) and Streetracers. Dishdishyan forecasted foreign sales are to be $4.5 million in 2008 and $6 million in 2009.

Central Partnership Group’s total revenue for 2008 is forecasted at $219 million.

During the press conference, it was emphasized more than once that Central Partnership conducts fully transparent business. Its auditor for 2007 was PricewaterhouseCoopers. Central Partnership is not yet planning an IPO.