Intermedia (company)


Intermedia was a film production company, wholly owned by IM Internationalmedia AG.
The company mostly acted as a co-producer, funding films through the IMF funds. As of 2012, Intermedia's library was owned by Ron Tutor and David Bergstein. InterMedia had at some point became IM Global.

History

The company was founded in London in 1991 as Intermedia Film Equities. Two years later, Intermedia began operations in Los Angeles, as did Pacifica Film Distribution. The two companies merged in 2000.
Its first success of note was Sliding Doors, starring Gwyneth Paltrow, opened the Sundance Film Festival.
In 2000, parent company IM Internationalmedia AG held an initial public offering of its stock on the New Market. In 2001, the company acquired the library of Lawrence Gordon's studio, Largo Entertainment.

Tax status

The company used to fund Intermedia productions, IMF, was a tax shelter under German law. The taxation laws of Germany allow investors to claim an instant tax deduction on film productions, even if they are non-German productions or even if the film has not gone into production. This allows the producers to make instant profit, for example, by selling the copyright for around $160 million, and then buying them back for $149 million, the producers have made a profit of $11 million. However, it is important to note that this tax shelter is no longer applicable under German tax law.

Company structure

Note: All subsidiaries were 100% wholly owned of the parent.