Universal discussing Spielberg contract

Posted August 11, 2009, 10:18A | Contributed by Jeff

Universal Orlando says it has begun discussions to address a potentially expensive buyout clause in its consulting contract with famed director Steven Spielberg — a provision that, if exercised, could cost the resort several hundred million dollars. The buyout clause is contained in a 22-year-old contract through which Spielberg serves as an exclusive creative consultant to Universal, helping design attractions and lending his name to promotional materials. In return, Spielberg receives a percentage of Universal's gross revenue in perpetuity; the resort has paid him more than $90 million over the past five years, according to regulatory filings.