CBS Theatrical Films - Closure

Closure

Several factors contributed to the closure of CBS Theatrical Films. As a so-called boutique, it was disadvantaged because it was usually only offered left over films after the major studios had selected the more likely commercial successes. Television movies did better in the ratings than theater films already released via cable and video. With additional startup boutiques, the market was overcrowded causing box office strain at the same time movie production costs doubled to $10 million with marketing matching that level. Another factor was that as a boutique, CBS Theatrical Films did not have a distribution system, so had to release its films through major studios, which sometimes resulted in disadvantageous release dates. Most of their films were distributed by Warner Bros. (The Challenge and their final production The Lightship were released through Embassy Pictures and Castle Hill Productions respectively). Today most of the movies made by the company are distributed by Paramount Pictures on DVD, as Paramount Pictures has a home video distribution deal with CBS.