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Hollywood Writers OK New Contract

Hollywood writers voted 9-1 in favor of a new contract that sets aside $41 million for pay raises to the 11,000-member Writers Guild of America over the next three years.

Some 4,128 guild members, or 92 percent of those casting ballots, voted in favor of the contract, the WGA announced Tuesday. "No" votes were cast by 343 members, or 8 percent.

"This new contract is the product of one of the most difficult negotiations we have had in many years because of the complexity of the issues facing our industry," said Nick Counter, president of the Alliance of Motion Picture and Television Producers, which represented management.

"We commend the WGA leadership and bargaining committee for their tireless efforts toward working on solutions," he said.

The announcement, coming the same day two actors unions resumed their contract negotiations, eased fears somewhat of a summer actors strike. But not entirely.

"If you're saying something absolutely identical will work for actors, it won't," Screen Actors Guild negotiator Brian Walton said when talks between the actors and producers began May 16. "But if you mean the WGA agreement loosely points in a positive direction, I think that's right."

Under the new agreement, Fox will eventually be characterized as a full-fledged network and pay full fees to writers, rather than a discounted rate reserved for new companies.

Writers will also see an increase in foreign TV residuals of about $1.3 million over the pact's three years. Residuals for made-for-cable programs, like HBO's "The Sopranos" and "Sex in the City," will increase from under $300,000 a year to almost $4 million a year.

The previous writers contract expired May 2, and negotiators recommended the new agreement on May 4 after a series of late-night bargaining sessions.

Before the deal was reached, there was widespread fear of a writers strike that would cripple TV and movie production and cost the Los Angeles economy billions of dollars.

"One of the most important gains from this bargaining was the realization that it is possible to have a real negotiation, with a real expiration date, with real bargaining and not have a strike," said Mona Mangan, executive director of the eastern chapter of the writers guild.

Negotiations for a new contract began Jan. 22 and lasted nearly six weeks before breaking off March 1. They resumed April 17 and continued until the agreement was reached.

The contract for the two actor unions, the Screen Actors Guild and the American Federation of Television and Radio Artists, expires June 30. Talks resumed Tuesday after a nearly two-week break.

Leaders of the two unions say their priority is improving conditions for character actors and supporting players who earn less than $70,000 annually.

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