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DGA Reaches Mobile Content Agreement on ABC's TV Series "Lost"

April 24, 2006

Los Angeles, CA – Directors Guild of America (DGA) today announced an agreement with Touchstone Television Productions covering directors, unit production managers and assistant directors of so-called "mobisodes" for the television series Lost. The new agreement demonstrates an important partnership between the DGA and employers in their effort to lay the groundwork for future mobile content and other new technology agreements.

"The DGA is here to ensure that members will be properly compensated for the exploitation of their work and that their creative rights will be protected, regardless of content type or distribution platform," said DGA President Michael Apted.  "This deal marks the first of many to come and illustrates how, by working together with producers, we will achieve agreements that are mutually beneficial - agreements that not only protect our membership, but also offer producers the quality of a DGA director and crew for every kind of new production."

The new agreement covers the employment of directors, unit production managers and assistant directors for mobisodes of the series Lost that are no more than five minutes in length made to be used on cell phones. Touchstone has agreed to negotiate agreements for future mobisodes as well.

Directors' residual formulas are triggered by use on cell phones after 13 weeks. The residual is similar to the pay television residual in the DGA's Basic Agreement of 1.2% of the license fee for such use. If the mobisode is distributed via the Internet the same residual of 1.2% of the distributor's share is payable if the viewer pays to access the mobisode; a 2.0% residual is payable if the Internet use is ad-supported. Use on ABC.com with neither of these revenue sources does not trigger a residual. Residuals for DVD use and broadcast of the mobisodes are provided with provisions that are also patterned after the Guilds' Basic Agreement.

Provisions for the initial compensation and conditions of employment are patterned after the DGA Low Budget Agreement.  Relevant parts of the DGA Basic Agreement are incorporated into the deal, including pension and health benefits, creative rights, and arbitration provisions. The agreement expires at the same time as the Basic Agreement on June 30, 2008.

This agreement was reached with the support and collaboration of both the Writers Guild of America, West (WGAw) and the Screen Actors Guild (SAG).

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