Although Director Li still didn't quite understand why Boss Huang insisted on investing a huge sum to film this TV series that was destined to lose money, it was the boss's order, and he was given the instruction to spare no expense, so it had to be done.
"Chairman, if we are to do as you require, we may need to find a Hollywood special effects team to help us!" Director Li said.
"Hollywood special effects team..." Huang He rubbed his nose. In his past life, almost every year there were several movies that claimed to have spent hundreds of millions to hire Hollywood special effects teams for their effects. Some even outright claimed to have hired Light Magic Special Effects Studio for their effects.
But no matter what movie it was, the final special effects always felt incredibly lackluster. This gave Huang He a headache whenever he heard about Hollywood special effects teams. Could Hollywood special effects teams truly produce the effects he desired?
"Director Li, don't you remember that the few films made in China that hired Hollywood special effects teams had rather mediocre effects!" Huang He asked, narrowing his eyes.
"Hired Hollywood special effects teams? Oh, you mean those few TV series, they were all for promotion, not to be taken seriously!" Director Li grinned. "Let me put it this way, although people have been saying they would hire Hollywood teams for special effects since 1996, with over ten films promoting this, none of them actually hired Hollywood special effects teams. At most, they hired some special effects studios from Hong Kong or Taiwan to do some simple effects to fool the audience!"
"Boss, remember, for any claim of investing hundreds of millions in special effects, divide that number by 20, and that's still too much!" Director Li shook his head. "When I was filming movies before, I also wanted to do some Hollywood-level special effects, but Hollywood special effects are too damn expensive. A two-minute shot alone quoted them 2 million US dollars, basically a price of 1 million US dollars per minute."
"A movie must have at least 20 minutes of special effects shots, which would cost nearly 20 million US dollars. Which film in China can afford such a price? The highest-grossing film in China at the moment hasn't even reached 20 million US dollars, let alone a TV series."
"So these are all blown out of proportion by insiders for promotion. The only one that truly used a Hollywood team was 'Hero,' which spent 3 million US dollars for about 3 minutes of special effects. Although it hasn't been released yet, I had a chance to see a semi-finished product, and the special effects were indeed astonishing, worthy of Hollywood standards."
"But it's only three minutes in total!" After all, 'Hero' hired too many big-name actors, and the budget was heavily inflated. It was quite generous for Director Zhang Yimou to squeeze out 3 million US dollars for Hollywood special effects. I just don't know how much this movie will gross and whether it can recoup the money," Director Li sighed.
"It profited, not only profited but profited a lot!" Huang He muttered.
In the memory of later generations, 'Hero' was a film that lost money, and Director Zhang Yimou's career also declined from 'Hero'.
But in fact, it was the opposite; 'Hero' was a film that made a lot of money.
The announced total investment for 'Hero' was 30 million US dollars, equivalent to 240 million RMB. Putting aside whether this investment amount had any water, let's assume it was indeed spent.
Then the mainland box office was 250 million RMB, setting a box office record. Of course, movie box office revenue is shared, and the production company gets 40% of the box office, which is considered very good. So the mainland box office recouped 100 million RMB.
But in fact, the mainland box office was not the biggest for 'Hero'. The biggest box office for 'Hero' was actually in the North American market, with a total box office of an astonishing 60 million US dollars. This alone was enough to fully recoup the investment.
This is why Director Zhang Yimou is so well-received abroad. When he filmed 'The Great Wall,' he could even invite actors like Matt Damon because Director Zhang Yimou had solid achievements in the United States. A total box office of 60 million US dollars, while not enough to be an A-list director in America, was certainly that of a 1.5-list director.
Afterward, the markets in other countries brought in more than 40 million US dollars successively, so in the end, 'Hero' actually earned nearly 300 million RMB.
If we look at all Chinese films in the following 20 years, no film has been able to surpass the overseas box office record of 'Hero'. This is indeed something that sounds very funny and very heartbreaking.
Looking at it this way, the so-called lackluster Hollywood special effects in so many films in later generations should be due to not truly spending money to hire Hollywood film special effects teams.
"Then let's hire a Hollywood special effects team!" Huang He slapped his thigh. "How about this, Director Li, you come abroad with me and show me the way on how to contact these Hollywood special effects teams!"
"No, I can't!" Director Li Shiguo repeatedly waved his hands. "I don't have that kind of ability. However, if you really want to hire a Hollywood special effects team, I can introduce you to someone. He has terrifying connections and resources in the American film industry. If he contacts them, it will definitely work!"
"Who?"
"Ang Lee!"
……………………
"Chairman, are you really planning to invest 1 billion RMB in a TV series?" After parting ways with Director Li, Hu Jing asked timidly.
"Yes, what, do you want to control how I spend my money?" Huang He glanced at Hu Jing.
"I certainly don't have that courage!" Hu Jing lowered her head. "But I want to tell you that I just started familiarizing myself with the finance department today. Our company's accounts currently have only about 300 million in cash."
"Oh, there's still 300 million, good, that's quite a lot!" Huang He said nonchalantly.
"But Chairman, October is coming soon. Have you forgotten that we have to repay the first batch of loans in October?" Hu Jing said with a wry smile.
"Oh, you mean the loan from the Industrial and Commercial Bank? Calculated over a 5-year term, we have to repay 240 million RMB in loans to the Industrial and Commercial Bank!" Huang He nodded. "But that's just right, 300 million RMB in funds is enough to repay this 240 million."
"But in this way, the 1 billion RMB investment for the TV series you planned will not be recouped!" Hu Jing said with a wry smile. "From what you just said, you still plan to go to the United States recently to finalize matters related to special effects production. Otherwise, postpone your itinerary for a few months. By January, some funds from Jiangnan Commercial should return, and then it won't be too late for you to invest!"
"Alas, it seems Jiangnan Commercial's earning capacity is not enough. It can't even earn enough to invest in a movie!" Huang He said dejectedly. Hu Jing behind him stuck out her tongue in amazement.
Her boss was truly ungrateful for his blessings. Currently, Jiangnan Commercial could generate nearly 200-300 million in net profit per month, and 4 billion in net profit per year. This earning capacity was second to none in the entire China, probably only slightly behind state-owned giants like PetroChina and Sinopec.
Of course, such earning capacity was mainly due to Boss Huang's own efforts. After the two major events in June and August, the entire Jiangnan Group became extremely well-known in China, which also led to a surge in the group's business volume. Blind boxes were sold nationwide, known to everyone.
Frankly speaking, if it were 2021 instead of 2002, as long as this data was released, and coupled with the label of "New Consumption," and then listed on the A-share market.
It would likely instantly give birth to a behemoth with a total market value exceeding 100 billion RMB.
However, the Chinese stock market at this time was still very sluggish, and Boss Huang didn't seem to have any intention of listing. This way of making quick money was still on the pedestrian street.
"By the way, Chairman, yesterday Jiangnan Optoelectronics submitted an urgent application for 120 million RMB, stating that they have found an advanced piece of equipment for sale internationally, at a very cheap price, and it's needed urgently. This is a very rare opportunity. Do you approve this 120 million?" Hu Jing asked softly.
"Does this report have Academician Ni's handwritten signature?" Huang He asked.
"Yes!"
"Then approve it!" Huang He said without hesitation.
"But if that's the case, then we will only have 180 million left in our account, and the first batch of loans cannot be repaid on time. Or should I contact the Industrial and Commercial Bank? Just delaying for 10 days should be enough for us to repay the money!" Hu Jing said.
"Delay? No delay!" Huang He's eyes flickered, then he shook his head. "No, not only will I not delay, but I will repay it immediately!"
Huang He said to Hu Jing, "Tomorrow you go and help me contact Manager Wang of Wenzhou Industrial and Commercial Bank and tell him that we, Jiangnan Group, intend to repay the 1 billion RMB loan in advance. Have him prepare the necessary documents. I will return to Wenzhou the day after tomorrow, and we will discuss the early repayment."
"Early repayment?" Hu Jing was terrified. "Chairman, didn't I say that we only have 300 million RMB in our account? We don't have over 1 billion to pay off the loan in advance. Are you mistaken!"
"Oh, I just said I want to repay it early, I didn't say I actually want to repay it early!" Huang He chuckled. "I remember the Agricultural Bank has invited me several times to discuss financial cooperation matters, right?"
"Yes, Vice President Xu of Zhejiang Agricultural Bank has called us three times within a month. He said he has more favorable financial plans for us and hopes to meet with you!"
"Then let's go and meet with Vice President Xu at the Agricultural Bank first!" Huang He clapped his hands. "You book your plane ticket now, we will fly to Hangzhou tonight and meet with Vice President Xu tomorrow."
"Remember, do things low-key, don't be too high-profile. Just contact Vice President Xu through their Agricultural Bank's front desk and book the meeting," Huang He said, narrowing his eyes.
"Ah!" Hu Jing was stunned. "Chairman, if it's low-key, I can directly call Vice President Xu and we can meet in a secluded place to talk."
"No, why would we meet in a secluded place? Doesn't that make us look suspicious? Just call through the front desk, and we'll go to their head office to talk, so no one will gossip!"
"Then how is that low-key?"
"You tell their head office customer service that you are my secretary, Huang He, and we want to discuss a confidential cooperation. Ask them to be discreet and keep it a secret for us," Huang He said, narrowing his eyes.