First Artists

First Artists was a production company which operated from 1969 to 1980. It made films for stars such as Barbra Streisand, Paul Newman, Sidney Poitier, Dustin Hoffman and Steve McQueen, who agreed to take lesser fees in exchange for greater creative control and a share of the profits. Movies made by the company include "The Getaway" and its most successful financial success, Streisand's "A Star Is Born".
History.
Beginnings.
The company was formed in 1969 and was the idea of agent Freddie Fields of Creative Management with assistance from David Begelman. Inspired by the formation of United Artists, it was to give stars more creative control over their productions in exchange for being paid lower salaries and a percentage of the gross. The initial stars who formed the company were Paul Newman, Barbra Streisand, and Sidney Poitier. Each star promised to make three productions for the company, which would also be involved in television production, music publishing and recording. The distributor of the films would be National General Pictures who would put up two-thirds of the money for a film, and First Artists would put up the rest.
In July 1970 Patrick Kelly was appointed chief executive officer of First Artists. The following year Steve McQueen joined the company.
The company's first slate of films were "Pocket Money" (1972) with Newman, "The Getaway" (1972) with McQueen, "The Life and Times of Judge Roy Bean" (1972) with Newman, and "Up the Sandbox" (1972) with Streisand. "The Getaway" and "Roy Bean" were particularly successful.
In 1972 First Artists offered 350,000 shares to investors at $7.50. That year Dustin Hoffman joined the company agreeing to make two films at no more than $3 million. He would have creative control provided the film did not go over budget and schedule.
National General eventually went into liquidation. First Artists sued the company, and settled in 1976. In November 1973 Warners took over the distribution of First Artists movies.
Phil Feldman.
The company's initial output was sporadic, owing to the commitments of its stars and by January 1975 it had only made seven films. That month, Phil Feldman, formerly a producer and an executive at CBS, Rastar and Warner Brothers, was brought in as chairman. He increased the development slate, and moved it into film distribution, television and music to ensure a more constant source of income.
Feldman decided to supplement the company's movies with other star's films, such as "Bobby Deerfield", originally developed for Paul Newman, and made with Al Pacino at Columbia. They were involved in the production of "The Gumball Rally", were distribution consultants on "The Ritz" and did TV movies like "Minstrel Man".
In July 1977 Feldman announced that Bill Cosby, who had appeared in three Poitier films, would produce and star in a film for the company called "Sitting Pretty". "I consider him a member of the team," said Feldman of Cosby. Other films the company planned to make include "Repo" with Darren McGavin and "Stevie" with Glenda Jackson and "Devilfish" with Bert Gordon. ("Devilfish" and "Sitting Pretty" would ultimately not be made.) They shared development costs on "Bobby Deerfield", "The Gauntlet" and "The One and Only" and co produced "Speedtrap" with a Dutch conglomerate. The company also distributed some foreign films in the USA such as "Pardon Mon Affaire" and "That Obscure Object of Desire".
McQueen made "Enemy of the People" which was a box office disappointment. When First Artists refused to option Harold Pinter's "Old Times" for McQueen, the actor sued the company. The case was settled out of court.
Feldman insisted that Hoffman not make pictures for other studios until his obligation to First Artists was completed. Hoffman wound up suing First Artists for $65 million claiming that he was denied creative control on "Straight Time" and "Agatha". Feldman counter claimed that these movies had gone over budget and schedule, allowing him to step in.
In July 1978 the company acquired Joel/Cal-Made, a male clothing manufacturer for $8 million. In November the company sought to buy into a London casino but was unsuccessful.
End of Company.
Films such as "Straight Time" and "Agatha" performed poorly at the box office, although "The Main Event" was very successful. In September 1979 Philip Feldman resigned as chairman and president. The company was put up for sale.
On December 31, 1979, the voting trust that ran First Artists on behalf of its founder‐shareholders expired and First Artists left the movie business. By this stage the company's shares were worth $4. The company's last film was "Tom Horn". The company closed down a year later in March 1980 and was sold to Warner Bros.