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THURSDAY, NOVEMBER 26, 2009
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Recession Hits the Oscars— Sort Of

Revenue is down, parties are scaling back

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(Newser) – Even the Oscars are feeling the economic strain, People reports. Sure, there are still dozens of parties planned on the big day, but organizers are pumping up the “greenness” of the soirées and downplaying the extravagance—Vanity Fair is using decorations from past events. Even those not scaling back are adopting a “quiet and Zen-like” atmosphere “that is reflective of the hard times going on out there,” says one chairperson.

The partying celebs may have to do with less swag, but ABC execs will certainly have to do without (as much) revenue, the Los Angeles Times reports. A 30-second ad still costs between $1.4 and $1.7 million, compared to last year’s $1.8 million, but even that drop is meaningful for a show that seemed invincible. The telecast is expected to bring in $68 million in revenue—a 16% decline.

Wolfgang Puck holds a plate of mini kobe cheeseburgers next to a tray of completely edible 24-carat gold solid chocolate Oscars last year. This year, he's going organic for the Governors Ball menu.
Wolfgang Puck holds a plate of mini kobe cheeseburgers next to a tray of completely edible 24-carat gold solid chocolate Oscars last year. This year, he's going organic for the Governors Ball menu.   (AP Photo/Reed Saxon)
Oscar statues line the red carpet in preparation for the 80th annual Academy Awards in Hollywood on Saturday Feb. 23, 2008.
Oscar statues line the red carpet in preparation for the 80th annual Academy Awards in Hollywood on Saturday Feb. 23, 2008.   (AP Photo/Richard Vogel)
Kate Winslet and Leonardo DiCaprio arrive on the red carpet for the European premiere of Revolutionary Road, at a central London cinema, Sunday, Jan. 18, 2009.
Kate Winslet and Leonardo DiCaprio arrive on the red carpet for the European premiere of Revolutionary Road, at a central London cinema, Sunday, Jan. 18, 2009.   (AP Photo/Joel Ryan)
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Even with the lower ratings, the Oscars are still a massive premium event for advertisers. - Dean DeBiase, chief executive of TNS Media

It's more than just the economy. The academy has a problem here. The show is way too long, and the films this year are not spectacular. - Peter Sealey, a marketing professor

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