Anatomy of a Movie Disaster: SPEED RACER

Yes, by now, the dismal fate of Joel Silver and Warner Bros. Speed Racer is old news--yet this picture is going to be our first case study. Cleary it wasn't a hit, but exactly how much money did this belly-flop lose? Despite having some innovative elements, Speed failed to connect with the public, especially its intended family audience, and also got extremely mixed reviews. The studio has been cagey at trying to minimize the finanical fallout (not to mention the possible fallout to The Wachowskis and Joel Silver's career) but it's possible to put together a good analysis of what was spent, and where.

PRODUCTION BUDGET:
Warners has the production budget listed at $120 million, although sources say it was far closer to $140 million. Some even put it at $160 million, due to last minute tech expenses.

MARKETING COSTS:
Ranging from $80 million to $150 million depending on who one asks--but we've been told that the marketing budget (due to bloated promotional partnerships) was closer to $155 million.

THEATRICAL GROSS (as of today, June 2, 2008):
The domestic gross stands at $40,890,172. The foreign gross, which was supposed to help save this movie, is actually even worse, at a paltry $33,800,000. That's a "grand" total of $74,690,172.

THE LOSSES:
Let's do the low estimate first, using the studio's numbers. A $120 million production budget, plus $80 million of marketing, means that Speed cost $200 million. Subtracting its worldwide grosses leaves Warnes with a loss of $125,309,828. Ouch! And things only get worse from there. If we use the higher numbers--which are apparently the more accurate ones--we add $160 million to $155 million, to give us an expenditure of $315 million. Minus the gross, this could indicate a staggering loss of $240,309,828. My analysis puts the loss somewhere in the middle of those two large figures, roughly $185 million (and probably more). Of course some of this money will be made back by DVD sales, rentals and other ancillaries. But don't plan on that Speed 3-D sequel that Joel Silver keeps talking about coming your way anytime soon!