Wednesday, September 28, 2011

RealD Drops As Sony Balks At 3D Glasses Cost

Los Angeles-based RealD was buffeted in the markets on Wednesday, after it was revealed that Sony is looking to shift the cost of RealD's 3D glasses to theater owners. Sony Pictures Entertainment told theater owners this week that it will no longer pay for 3D glasses made by RealD, due to the high cost of purchasing 3D glasses for its releases. The Hollywood Reporter said studios are paying $5M to $10M per blockbuster release for RealD's glasses. RealD was down more than 15 percent on the news late Wednesday. The activity at RealD comes just a day after the firm's stock surged, on a report by an analyst that the maker of 3D movie projection technology would be a good takeover candidate.