MPA revenue increased in 2021 as the trade association’s deficit narrowed

MPA revenue increased in 2021 as the trade association’s deficit narrowed

EXCLUSIVE: The Motion Picture Association saw sales increase in 2021, fueled by an increase in membership fees and that of an international coalition against piracy.

The trade association posted a deficit of $340,291, far less than last year’s $4.2 million deficit, according to its most recent tax filing with the Internal Revenue Service.

Revenue increased to $67.7 million from $62.9 million last year.

The increase was due to a number of factors, including an increase in fees charged by the major studio members. This increased to US$54.9 million from US$51.4 million in the previous year. A spokesperson says that due to a smaller surplus in 2021, more contributions were collected from members. The composition of the members and initiatives at the request of the members also had an impact on the income.

The MPA also reported higher revenue from the Alliance for Creativity and Entertainment of $5.78 million compared to $4.14 million a year earlier. This was due to additional membership fees as a new member was added to ACE: Apple TV+. The alliance was formed in 2017 as a coalition to fund legal efforts to shut down infringing websites.

Spending in 2021 increased to $68 million from $67 million last year.

Overall MPA employee salaries increased, but the organization also saw decreases in areas such as legal and lobbying costs.

Total compensation for MPA Chairman and CEO Charles Rivkin was nearly $3.3 million, up slightly from the previous year. That includes $2.24 million in base compensation and $1 million in bonuses and incentives.

As a 501 (c) 6 non-profit organization, the MPA and other trade associations are required to file public records with the IRS each year detailing income, salaries and contributions to other organizations and political committees.

The MPA’s revenue from fees for its film rating service remained at nearly $4.3 million.

The tax forms also showed an increase in donations to foundations and charities. The largest went at $1 million to Carnegie Mellon University, which researched piracy and technology. Another organization, the Copyright Alliance, received $550,000.

Other contributions went to groups such as Grover Norquist’s Americans for Tax Reform and the limited government group The Free State Foundation, as well as civil and voting rights organizations such as Al Sharpton’s National Action Network and Voto Latino. The MPA also contributed to both parties, with each giving $175,000 to the Republican and Democratic Governors Association.

Author: Ted Johnson

Source: Deadline

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