Chapter 695: Capital Never Had a Conscience

As the final installment in the series, even a fool knew that the two-part Harry Potter and the Deathly Hallows would inevitably push the young wizards' saga to an unprecedented climax and bring in unimaginable box office and merchandise revenue.

Having reached this point, the core cast, led by the Gryffindor Golden Triangle, had become synonymous with their roles. With only the final two films left in the entire series, the producers wouldn't easily recast them under any circumstances.

And indeed, even someone like Duke wouldn't dare rashly recast the leads during the series' concluding phase.

This gave the actors and their agents the perfect opportunity to make exorbitant demands. Even though the production had raised the Gryffindor Golden Triangle's base pay to fifteen million dollars per film, they still refused to sign their contracts—they were demanding a massive cut of the box office and merchandise revenue!

Moreover, the rest of the British cast completely supported them.

The very afternoon Aerin Lauder arrived in Los Angeles, Duke hurriedly left the city. He flew to London with Warner Brothers CEO Doug Walter to handle the actor situation.

"How are the negotiations going?" Duke asked Robin Grande the moment he stepped into the studio office. "Still no one willing to sign?"

Robin Grande shook his head. "All the British actors in the cast are refusing to sign."

He glanced at Doug Walter. "We'll definitely have to make concessions on the profit shares this time."

Duke and Doug Walter exchanged a look. They had already reached a consensus on the flight over: concessions were inevitable. However, the income from Harry Potter and the Deathly Hallows directly impacted Duke's bottom line, as well as Doug Walter's performance metrics and bonuses. Neither man would easily let those actors walk away with what rightfully belonged to the studio.

"What have their demands dropped to now?" Doug Walter asked Robin Grande.

"A base salary of fifteen million dollars, plus eight percent of the film's total profits," Robin Grande said with a grave expression. "Those are the terms for Emma Watson and the other two."

"Eight percent?" Duke raised an eyebrow. "They might as well just rob a bank."

Doug Walter didn't look pleased either. This was the Harry Potter Series, a franchise that had already generated nearly a hundred billion dollars in value. Those three were indeed crucial to it. But outside of this series, they were essentially nothing.

Of course, he also understood that replacing the cast at this stage was completely unrealistic.

Recasting was definitely a last resort, and Duke knew that just as well. He sat there, looking at the Harry Potter Series posters taped to the office wall, where the Gryffindor Golden Triangle stood out prominently.

Even he couldn't deny that Emma Watson and the other two had every right and qualification to demand a cut. The problem was that he simply didn't want to give it to them.

Eight percent of the profits—just how massive of a figure would that be?

If Emma Watson and the other two were still going to be useful in the future, he might have considered it. But once the Harry Potter Series concluded, their value to him would be infinitely close to zero...

Other famous actors could still star in films he directed or financed, bringing some box office draw. Given these three's acting chops and permanently typecast images, casting them wouldn't just be unhelpful; it would likely trigger a negative backlash.

This had nothing to do with personal grievances or biases. As one of the film's primary investors, Duke naturally considered everything from the perspective of his own returns.

In truth, he had been anticipating this day ever since the series was greenlit. Dealing with three actors who had almost zero influence in Hollywood and were represented by British talent agencies wasn't impossible; he had plenty of ways to handle them.

Doug Walter and Robin Grande were still discussing countermeasures. Duke filtered his initial thoughts through his mind before speaking up to interrupt them.

"I have an idea," he said.

Doug Walter and Robin Grande stopped their discussion and turned to look at him.

"Put Harry Potter and the Deathly Hallows on hold for now," Duke said bluntly. "Robin, drag out the negotiations."

The two men didn't quite understand what Duke meant and kept their eyes on him.

Speaking faster, Duke explained it as simply as possible. "We'll spin the Harry Potter Studio off from Warner Brothers and Duke Studio, establishing it as an independent entity solely responsible for its own profit, loss, and financial accounting..."

Doug Walter couldn't help but smile and nod slightly. He was the CEO of Warner Brothers, after all. Though he hadn't thought of it immediately, Duke's hint made him realize exactly what was coming next.

"The Harry Potter Studio is still a shell company," Duke continued. "It doesn't have the funds to start production on Harry Potter and the Deathly Hallows..."

Hearing this, Doug Walter picked up where Duke left off. "And then the Harry Potter Studio will borrow funds from Warner Brothers or your foundation at exorbitant interest rates. Once the film generates revenue, it won't just have to repay the principal, but the massive interest as well."

Nodding slightly, Duke curled his lips into a smile. "Exactly."

He turned to Robin Grande. "The Harry Potter Studio also lacks distribution capabilities, meaning the film can only be distributed by Warner Brothers. We can inflate the distribution and marketing budgets to the highest levels in the industry. Even though it won't actually cost that much money..."

Duke shrugged. "Loan costs, massive marketing expenses, plus distribution and labor costs. From an accounting perspective, legally manipulating Harry Potter and the Deathly Hallows into a low-profit venture or even a box office flop shouldn't be difficult."

"It'll be slightly tricky," Robin Grande said, the gravity vanishing from his face as he looked at Doug Walter. "But it shouldn't be too much trouble for Warner Brothers."

"Once we're back in Los Angeles..." Doug Walter fully agreed. "I'll gather the company's experts to discuss its feasibility."

"Robin, remember: the Third-Party Guarantee only covers their base salary!" Duke reminded him. "When drafting their profit-sharing agreements, restrict it to the film's net box office profit as strictly as possible. You can raise the percentage there if needed!"

"I know what to do," Robin Grande nodded.

Under Hollywood's notoriously creative accounting system, legally calculating a genuine blockbuster as a box office loss was a common tactic studios used against actors making exorbitant demands.

Just as actors used every method available to fight for their rights, the studios used every trick in the book to protect their own interests.

Hollywood was never a peaceful circle; it was an industry fraught with endless struggles.

Harry Potter and the Deathly Hallows was merely a microcosm of studios scheming against their actors.

Duke's goal was simple: stop the actors from taking too much of the pie generated by Harry Potter and the Deathly Hallows, ensuring he secured a larger slice for himself.

If the actors, directors, and other crew members expected investors like Duke to suddenly grow a conscience and hand over a chunk of the profits, they were completely delusional. Capital never had a conscience to begin with.

Besides, Emma Watson and the other two weren't part of his core team, nor did they hold top-tier industry status like Charlize Theron or Tom Cruise. Why should Duke yield?

Finding every possible way to suppress and exploit them was exactly what served his interests.

Duke, Doug Walter, and Robin Grande continued their discussions for a long time afterward. In addition to this proposal, they finalized several backup plans.

In short, it wasn't going to be easy for the young actors of Harry Potter and the Deathly Hallows to get their cut of the profits.

To be more precise, they weren't really child actors anymore.

However, compared to their childhoods, this batch of actors—spearheaded by Emma Watson—had drawn overwhelming criticism for their acting skills.

This was a perfectly normal phenomenon. The industry and the fans had placed high hopes on them, but after finding fame, these actors had essentially stopped improving. Their acting was downright atrocious. If they hadn't starred in so many consecutive Harry Potter films, cementing the idea in the public's mind that they simply were the characters, the wave of criticism would have drowned them out long ago.

When Duke watched the newest installment of the Harry Potter Series last year, he genuinely wanted to hire a few acting coaches and send them to London to teach Emma Watson and the rest how to actually act.

But he quickly scrapped the idea.

First, it was completely unnecessary. Once the series ended, he wouldn't have any professional relationship with those child stars anyway.

Second, Emma Watson and the others didn't have the time.

Like other child stars in Hollywood, these young actors, represented by Emma Watson, had inevitably become cash cows for the studios, their agencies, and their parents.

In truth, their poor acting couldn't be entirely blamed on a lack of talent or effort; it was closely tied to outside pressures and a complete lack of time.

How many child stars in Hollywood could remain as steadfast in pursuing their acting goals after finding fame as Jodie Foster or Natalie Portman?

Furthermore, the promotional tours for Harry Potter were endless. These young actors had to constantly run from one press event to another. Emma Watson's lawyer mother, who doubled as her manager, had even secured a Chanel endorsement for her. With a non-stop stream of advertising campaigns on her plate, where would she find the time to hone her acting?

And while Emma Watson didn't turn to drugs like the former child stars Drew Barrymore and River Phoenix had, she went through boyfriends just as fast. The production team had spent considerable effort suppressing her scandals to maintain her pristine image as Hermione Granger.

Doug Walter rushed back to Los Angeles ahead of Duke. In just a few days, good news reached London: Warner Brothers' experts had already begun drafting rigorous plans. Harry Potter and the Deathly Hallows was temporarily delayed, and the Harry Potter Studio would be incorporated as a completely financially independent entity as quickly as possible.

As soon as the company was established, this studio—exclusively responsible for the Harry Potter Series—would take out loans from Duke's foundation and Warner Brothers to produce Harry Potter and the Deathly Hallows.