http://www.deadline.com/2010/06/big-hollywood-win-congressional-ban...



The MPAA interim CEO/president Bob Pisano weighed in this morning about the late night congressional vote to leave a ban on box office
futures in the financial reform bill. Said Pisano: "We are heartened by
the Conference Committee's actions and look forward to the full House
and Senate approving the legislation." Media Derivatives' CEO Robert
Swagger singled out the lobbying efforts of Pisano as a reason he could
barely get in to see representatives before they voted on the bill.
Media Derivatives' only hope now appears to be an attempt to get a
waiver to operate since the Commodity Futures Trading Commission gave
its approval in a split vote. Given the fervor and momentum for Wall
Street reforms and consumer protections that comprise the heart of the
legislation, getting a "grandfather" waiver seems unlikely. Swagger,
who said Media Derivatives worked three years and spent millions of
dollars, might well seek redress in the courts, and singled out Pisano
as a potential target.

EARLIER: What a big Hollywood win. It looks as if all that recent MPAA lobbying of the Democratic-controlled Congress on behalf of the major movie studios has finally paid off. Because a ban
on movie futures trading was just inserted into the still-not-final
legislation regulating the financial sector. Right now leaders for the
U.S. House and Senate are trying to reconcile their different versions
of the legislation passed by each body. They've been at this conference
process for two weeks already. The hope is to reach a compromise
bill and hold a final vote before the July 4th recess. The legislation
contains "sweeping changes" on everything from banks to public company
shareholders to auto dealers. And the MPAA, supported by the Hollywood
talent guilds and other moviemakers (but not Lionsgate), succeeded in
inserting an  amendment to prevent the trading of derivatives based on
box office results.

The Hollywood Reporter's Alex Ben Block was first to report it was approved just before 1 AM ET Friday by the House-Senate
conference committee. Chair Rep. Barney Frank (D-Mass) said during a
short discussion that while there had been controversy about movie
futures, the House conferees were not going to exercise their option to
alter the amendment banning movie futures trading. He said they were
agreeing to the amendment as written by Sen. Blanche Lincoln (D-Ark.)
for the Senate bill. 'By not addressing it, we have acquiesced in
that,' said Frank. Needless to say, the various firms wanting to launch
box office futures trading were pissed tonight, especially since they'd
recently received regulatory approval ranging from the Commodities
Futures Trading Commission to the FCC.

They're now talking about a lawsuit.