Phantom On Broadway

RE: the London closure and downsizing:



Here's what actually happened.

Everything that happened at this show was related to residual payments and the complex situation regarding the contracts of director Hal Prince, the late Maria Björnsson and a few other creatives (to a much lesser extent).

Prince in particular - ever since the show opened - was receiving a nightly percentage of the box office gross. This may sound absolutely mental, but it has some logic.

Staging musicals is a very risky and hugely expensive business, especially groundbreaking shows with new technology, huge special effects, a sizeable orchestra and large cast. Add a star name, Michael Crawford, on top of that (also with his own sizeable slice of the pie each night) and the producers naturally will try and keep costs as a low as possible wherever they can, until the show is up and making money.

If a mega show/film bombs and loses investors millions, it can take with it the credibility and entire career of the director, star and anybody else who cost the money men moolah. A director will often trade off a huge freelance salary in return for a percentage of box office, which gives them incentive to do their best (and most commercially successful) work, which in turn sells more tickets. It's like working on commission.

These contracts remained in place from when work began on the show in 1985, right through until 2020. They were cast-iron. Attempts may have been made to buy people out of their contracts for a lump sum. Naturally, these would've been declined.

With the show earning well over $6 billion at the time of closing, you can imagine this was hundreds of millions of pounds that RUG were "losing".

Then two things happened. First of all, Hal Prince sadly died in July 2019. Then, Covid struck. The show was forced to close. But plans were already afoot.

The original production was officially closed.
The producers could now open a legally distinct new version of The Phantom of the Opera, with "new direction" (Seth Sklar-Heyn) and "new designs" (Matt Kinley). After extensive and very careful consultation with specialist intellectual property lawyers, of course.

As you can imagine, neither the new director, designer - or any other beneficiaries from the original production contracts - will be receiving a penny in box office revenue. It's a new show.

Now the producers get 100% of the take every single night, with no estates to pay massive residuals to.

It's 2020, and seeing as the show is now closed, it's our one opportunity to also do all that good stuff to the theatre, upgrading it all nice and ready for another 30 year run. While we're at it, let's cut running costs by using all this marvellous 2020 technology we obviously didn't have back in 1986.

As a result, many of the crew were laid off, troublesome and labour intensive effects/staging were cut or restaged to not require crew to operate (notably the angel) and around half of the orchestra were dismissed, again hugely saving on running costs.

Nowadays, not only is the show cheaper than ever to run, the producers are actually making more money at the box office than they ever have in the past, because they are out of those contracts.

This whole thing has been a legal flimflam.

I think you're the one up there on your high horse. Shows close all the time, some within weeks of opening.I would have huge empathy for young kids, fresh out of college, going into their first Broadway show and it closed in a few weeks. That would be soul destroying.

The majority of these people have had constant work for 35 years. Going from a Local 802 contract from 2018, the basic musician rate for Broadway was $1888.77. A WEEK. If they double on an instrument they got an additional $235 a week. Even on the basic rate they were earning $7540 a month.

Stage Managers were on $3342 A WEEK. If their 'immediate livelihoods' are threatened after earning those type of salaries, for 35 years, I have no empathy for them. I'm not sure aspirations was the right word to use, but I think if someone aspired to do or be something, they wouldn't have stayed for so long, or have done it by now.

I do hope the Broadway cast read this, so they can appreciate how lucky they have been, to have it last so long. If people thought it would last forever, then they're fools because nothing lasts forever. Cats should have taught them that

I do agree with the poster above. Yes of course the Broadway grosses are published but it's actually a small piece of information from a huge and complex jigsaw. And I would be very surprised to learn any poster on a good forum would know the exact financial spreadsheets for a Broadway show. It is wrong to say ALW/CM's primary motivation is money. Anyone who has spent any significant amount of time with them would know this. Millionaires already. But artistes of course. Creators. And producers. You know, they may be motivated to have a financially VIABLE show, but that is different. I would put it to you that that is not greed, rather wanting their wonderful creation to continue to enchant audiences for years to come. 2022. 1988. Very VERY different.

And Broadway is not the West End. And Phantom is not in a Lloyd Webber theatre. The forces at play involve more people and are more complex. And believe me, Broadway is VERY money/profit focussed. Like next level. Many producers there would make ALW/CM's alleged "profit motivation" look insignificant. Small fry.

But, you know, let us look at the past. It's no crime for mega musicals to close and return as cheaper versions. Rather, it's universal. Are there any triumphs from the 80s and 90s that returned bigger and more expensive in 2022? I don't think so. The world has changed my Dears! Truly it has.

Anyway, enough on my musings. Back to the facts. All we know now is that the original production closes in February. Nothing is announced for after that. I just think you know, let us celebrate the show and it's 35 years, because what an extraordinary success. EXTRAORDINARY! Rather than complaining let us see it again, (several times perhaps!), let us celebrate it's run. I am grateful to the composer and the producer - because they created this fantastic show. What a glorious achievement. And Bravo to that! And I look forward to see what the future holds.

This.

You can believe that no-one knows if it suits you.

Hal Prince got 4% of the gross. It was a 'run of show' contract. Meaning that the closure of the original production meant that ended. I'm sure his estate will get something now but it won't be that. And the principal director for the new production is clearly credited as Seth, not Hal (it just says 'Originally Directed by Hal Prince' because he had a stipulation in all his contracts that all future revivals had to say that - so you will see that even on the posters for shows like Cabaret).

You're living in an alternate reality if you think Seth Sklar-Heyn is getting paid even 50% of what Hal Prince was.

On the subject of Prince, Carol Burnett is leading a campaign to have the Majestic renamed after him once the show departs and I am VERY on board with this: www.nytimes.com/2022/09/21/theater/carol-burnett-hal-prince-broadway.html

I assume other producers won't be what Cameron and RUG have done with Phantom and Les Mis with their shows because their contracts weren't as generous in terms percentage of gross and/or royalties.

Leicester was meant to be the start of a tour. People did complain about the unnecessary changes to the staging, direction, and the set, but also understood downscaling the show was needed to bring it to as many venues as possible. And people were concerned it would end up at HMT. Nobody was fired, no jobs were lost, the largest orchestra in the West End was still at Phantom, the Brilliant Original in London was still running... Indeed wonderful times!

Wicked has 17 musicians. Les Mis also has 14. But having 14 players on a pit where there once were 27 is certainly not something to celebrate, but to mourn over. Very tough times for live music. 

Well, I would put it to you - I do rather feel it would have been tougher if adaptations had not been made, it had remained unviable and closed and ALL 27 had lost their jobs.

They have done the best thing and found the best compromise for the overall good IMHO.

The coronavirus was terrible; terrible - the post Covid environment unbelievably tough. I can only wonder if people underestimate this!

That 14 in the pit is now at the larger end for a flagship West End musical should be considered sad. I recognise that this is dictated to an extent by economics and technology - but I suspect that the former is too frequently used as as excuse for cost cutting, and the latter often falls on the wrong side of being an acceptable compromise (see the awful implementation of the Sinfonia in Les Mis back in 2004, and the noticeably thinner sound now coming from the pit at Her Majesty’s).

Capacity last week was 100.62%

Teasing a possible return?