Publishing TV and Film Marengo Films Teaser: As tiny Marengo Films cleans up 'B' movies one slow film at a time for DVD -its sales are beginning to clean up across the country. Killer 'Bs' Making a Buzz on DVD Horizon The painstaking efforts of a small film company to restore classic B movies gaining traction with film buffs and giant retailers. Pull Quote: "The Baby Boomer is definitely our target audience. But younger audiences are beginning to discover classic older movies, too -- they're like The Beatles." -- Philip Hopkins, Marengo Films Pull Quote, Page 2: "These titles are selling very well for us. They've been constant since we began selling them." -- Tara Distel, Borders Group, Inc. Looking for a copy of your favorite B movie? Chances are you've discovered that without a name star, "The Movie Vanishes." Now, Dallas-based Marengo Films is attempting to breathe new life into the cinematic corpses of Bela Lugosi, Clayton Moore, and other long-forgotten movie stars. Marengo is restoring B movies for the growing DVD market, with an eye on the baby boomers who remember the films. And a new deal to distribute in the nation's leading book and video chains could allow the 'Killer B' to make a real killing in sales, as well. Marengo currently offers 32 titles, priced at $14.98 for a double feature. The company will release eight new films at the end of March, and between three and eight new titles every other month thereafter. Marengo co-founder and vice president Philip Hopkins estimates total sales to be somewhere between a quarter and a half a million dollars by year's end, an enormous number for such a small library. Hopkins bases his aggressive sales figures on an exclusive retail distribution deal that Marengo signed in November with Koch International of Port Washington, NY. Koch is a leading independent music distribution company that has just added home video to its business strategy. In fact, Marengo was one of the very first companies that Koch Vision signed up. In addition to the independent video shops, Koch has already placed Marengo DVDs in Borders, Best Buys, Blockbusters and Tower Records, and expects to move about 75,000 units by the end of the year. "There are other people doing this," explains Hopkins, "but the quality of our films is better. They look sharper and cleaner. And people expect more on DVD than they do on VHS." Tara Distel, spokesperson for Border Group, Inc. the parent company of Borders, notes that Marengo DVDs are now available at most Borders stores. Distel believes that's because film buffs want the best possible visual and audio experience, and Marengo is offering it. "These titles are selling very well for us," she says. "They've been constant since we began selling them." Accidental Entrepreneur Philip Hopkins didn't expect to get into this line of work. The former rock guitarist and journalist and his partner Craig Cosgray were trying to raise money for an independent film of their own when they got hold of about 1500 B movies in a private collection. The pair realized they could use their knowledge of music and production to restore the collection, and simultaneously make some money for their own film projects. Early on, Hopkins realized that they'd have to be selective about which films to restore if they wanted to make a profit. But once the decision is made to go forward with a movie, Hopkins and Cosgray restore the visuals and run the individual tracks through a series of digital processes to clean the sound. The finished product is then packaged in a sleeve featuring artwork from the original movie posters. Between studio time, equipment and royalties, Marengo spends about two to three thousand dollars restoring each movie. Khris Tahmin, video director for Koch International, notes that the audio quality on these films is particularly impressive, and says that Marengo's quality was a huge factor in the decision to enter an agreement with the unknown firm. But the unconventional packaging was also a plus. "Two things attracted us to Marengo," Tahmin explains. "In our opinion, their audio and visuals are unparalleled. They also matched full-length films with other complementary pieces. The pairings are unique in this industry." Hopkins is proud of his funky matches, and indeed, has based much of his business strategy on the quirky logic that underlies them. For example, Marengo pairs a featurelength Clayton Moore 'Lone Ranger" film with one of the early "Lone Ranger" TV episodes. A Classic Christmas offers a double feature of the 1935 version of "Scrooge", and the heartwarming yet relatively unknown "Beyond Tomorrow", in which three businessmen return from the grave with dire warnings about the pitfalls of greed and ambition. Marengo is currently readying a kitsch grouping that will include early John Travolta and Don Johnson films. "They've really put a lot of thought into this," Tahmin claims, "and it's fun to work on it together." Tahmin insists that part of the beauty of the pairings is that it helps the films get discovered by a whole new generation of younger fans, while also appealing to baby boomers. And trends in the video industry are also lending a hand. "We think the DVD industry turned a corner this Christmas," Tahimn enthuses. "We're now finding people who have both DVD players and VHS in their homes." That's music to the highly-tuned ears of the folks at Marengo. Though Marengo splits profits with Koch 75 - 25, Hopkins and Cosgray put a lot of their own money into the company, and they expect to be recouping that over the next several years. Tahmin doesn't sound too worried. She says that there is always a concern about competitors, but with 35 sales 'feet on the street', a top quality, innovative product, and a groundswell of interest by customers, Marengo is a 'B' with a killer future. For further reading on this subject, don't miss... www.marengofilms.com http://www.kochint.com/ www.borders.com