Should Another Industry Receive Some Of That Federal Bailout Money?
If the federal government is bailing out automakers and bankers, why not spread some of that cash to "stimulate" another vitally important part of the American economy? :D Here's a recent news report from the Associated Press.
Porn industry seeks its own stimulus package
In an announcement that launched a thousand unprintable puns, adult-entertainment moguls Larry Flynt and Joe Francis said last week that they are asking Washington for a $5 billion federal bailout, claiming that the porn business is suffering from the soft economy.
Francis insisted in a phone interview that this is no joke or publicity stunt, though his tone suggested otherwise. "The government’s handing out money to the auto industry," Francis, producer of the Girls Gone Wild video series, said on the phone from his Santa Monica office. "Why shouldn’t it hand some to an industry the nation could not live without?"
The request, Francis said, was being made in a letter to Rep. Barney Frank, D-Mass., and Treasury Secretary Henry Paulson. The $5 billion figure, he said, reflects the decline in U.S. adult entertainment industry revenue from $18 billion three years ago.
If porn producers are feeling the effects of what one wire service called "the sagging economy," the pain might be felt most acutely in the San Fernando Valley. In 2007, revenue from more than 200 Valley-based adult-content companies was estimated at $1 billion.
One adult-film star from the Los Angeles area said she is feeling the pinch. The actress who performs as Jenna Presley said her Web site has seen a 20 percent decline in customers, about 1,000 of whom pay $19.99 a month to watch the 22-year-old perform online.
Presley said the downturn has forced her to cut overhead. "I said, ‘I’ve got to stop paying guys and girls to perform with, and I’ve got to find (other Web site proprietors) to do a content exchange with,’ " Presley said matter-of-factly. Instead of paying co-stars, she is posting their videos on her site and they’re posting her content on theirs.
"I haven’t had any complaints," Presley said. Other performers, Presley said, have faced pay cuts as video companies take the uncharacteristic step of tightening their belts. "I know companies are reducing their rates," Presley said. "Instead of paying a girl $2,000 for a boy-girl (scene), now they’re trying to pay $1,200."
Presley said she has refused to work for less and so far has not lost business. "I stand up for myself," she said. "A lot of girls, the business is so slow, they’re happy just to find work (at any price)."
Despite all that, Presley said she considers the bailout bid by Francis and Hustler chief Flynt "a little crazy" and thinks companies need to cut unnecessary expenses. She said the porn industry, like the auto industry, is to blame for failing to change with the times.
"I’m not taking this bailout request seriously," Presley said. "I love Larry. He’s a great guy. But he doesn’t need $5 billion."
Her reaction echoed those of a San Fernando Valley congressman and the head of a Valley business group. "I regret that two porn-industry executives have used the current economic crisis to launch an obvious publicity stunt," said Rep. Brad Sherman, D-Sherman Oaks. "As Americans face tough economic times, we need a serious discussion of the issues."
Bruce Ackerman, president and CEO of the Economic Alliance of the San Fernando Valley, said: "I don’t think it’s a reasonable request — and I would say that of any of the industry groups (seeking bailouts). I don’t think you can laugh any of these requests off. I sympathize with any industry that needs help," Ackerman said, noting that the adult-entertainment industry employs thousands of people in the Valley. "But is it something the taxpayer should be burdened with?"
Flynt’s and Francis’ announcement coincides with the start today of the four-day Adult Entertainment Expo in Las Vegas. They hope to find support for the bailout bid from other industry leaders. "People are too depressed to be sexually active," Flynt said in a news release. "This is very unhealthy as a nation. Americans can do without cars and such, but they cannot do without sex." Adult DVD sales and rentals have decreased by 22 percent in the past year, the news release claimed, as viewers seek free porn online.
Flynt and Francis will have some convincing to do even in Las Vegas, judging by the reaction of Steven Hirsch, founder and co-chairman of L.A.-based Vivid Entertainment Group, the 25-year-old company that bills itself as the world’s leading adult film producer. "To think we’re going to go to Washington and get a bailout is a little unrealistic," said Hirsch, who said he heard about the Flynt-Francis ploy in the media. "This is not the time to make sweeping statements. This is the time to buckle down and take the steps we need to save our industry. This industry is not immune from (the bad economy). People are spending less money, period."
Hirsch said he thinks Flynt and Francis are "just poking fun at all the industries getting bailouts." Hirsch said Vivid isn’t suffering as badly as smaller rivals because its prominent brand name gives the company "a leg up." He declined to get specific about Vivid’s revenue.
The Economic Recession Motivates Some Women To Explore New Career Options
[i]When the going gets tough, the tough get going! ... Here's a news report from the Associated Press showing how the bad economy is encouraging some women to explore new career options. [/i] ;)
More women needing cash go from jobless to topless
As a bartender and trainer at a national restaurant chain, Rebecca Brown earned a couple thousand dollars in a really good week. Now, as a dancer at Chicago's Pink Monkey gentleman's club, she makes almost that much in one good night.
The tough job market is prompting a growing number of women across the country to dance in strip clubs, appear in adult movies, or pose for magazines like Hustler.
Employers across the adult entertainment industry say they're seeing an influx of applications from women who, like Brown, are attracted by the promise of flexible schedules and fast cash. Many have college degrees and held white-collar jobs until the economy soured.
"You're seeing a lot more beautiful women who are eligible to do so many other things," said Gus Poulos, general manager of New York City's Sin City gentleman's club. He said he got 85 responses in just one day to a recent job posting on Craigslist.
The transition to the nightclub scene isn't always a smooth one, from learning to dance in five-inch heels to dealing with the jeers of some customers.
Some performers said they were initially so nervous that only alcohol could calm their nerves.
"It is like giving a speech, but instead of imagining everyone naked, you're the one who's naked," Brown, 29, said.
Eva Stone, a 25-year-old dancer at the Pink Monkey, said dealing with occasional verbal abuse from patrons requires "a thick skin."
Makers of adult films cautioned that women shouldn't rush into the decision to make adult movies without considering the effect on their lives.
"Once you decide to be an adult actress, it impacts your relationship with everyone," said Steven Hirsch, co-chairman of adult film giant Vivid Entertainment Group. "Once you make an adult film, it never goes away."
The women at the Pink Monkey say dancing at a strip club might not have been their first career choice, but they entered the business with their eyes wide open. The job gives them more control and flexibility than sitting in a cubicle, and "it's easy, it's fun and all of us girls ... look out for each other," Brown said.
In this economy, "desperate measures are becoming far more acceptable," said Jonathan Alpert, a New York City-based psychotherapist who's had clients who worked in adult entertainment.
For some, dancing is temporary, a way to pay for college loans or other bills. Others say they've found their niche.
Dancers at the upscale Rick's Caberet clubs in New York City and Miami can make $100,000 to $300,000 a year in cash, even with the economic downturn, club spokesman Allan Priaulx said.
Priaulx said 20 to 30 women a week are applying for jobs at the New York club, double the number of a year ago.
Rhode Island's Foxy Lady held a job fair Saturday, seeking to fill about 35 positions for dancers, masseuses, bartenders and bouncers. The Providence Journal reported that more than 150 job seekers showed up to apply for work at the strip club. Foxy Lady co-owner Tom Tsoumas said a recent promotion to cut prices helped the club regain business lost due to the bad economy, forcing it to hire more employees.
Still, analysts say, the industry isn't immune to the economic recession. Business is down an estimated 30 percent across all segments, including adult films, gentleman's clubs, magazines and novelty shops, said Paul Fishbein, president of AVN Media Network, an adult entertainment company that has a widely distributed trade publication and an award show.
"In the past, people have said this industry is recession-proof," said Eric Wold, director of research for financial services firm Merriman Curhan Ford. "I definitely don't see that; maybe recession-resistant."
Strip club dancers and managers said they're drawing in the same number of customers, but fewer high rollers. "They're not getting the big spenders," said Angelina Spencer, executive director of the Association of Club Executives, a trade group for adult nightclubs. "They're not getting the guys who come in and drop $3,000 to $4,000 a night anymore."
Still, the clubs' operating structure leaves them with low overhead and profit margins of up to 50 percent, Wold said.
Dancers are independent contractors, paying clubs a nightly flat fee depending on how long they work. At the Pink Monkey, for example, dancers who arrive at 7 p.m. Sunday through Thursday pay a $40 "house fee," while women who don't arrive until midnight pay $90. And they keep their tips.
Wold and others say it's almost impossible to estimate the size of the adult entertainment industry because few companies are publicly traded. He does pay close attention to three that are: Lakewood, Colo.-based VCG Holding and Houston-based Rick's Caberet, which own clubs, and New Frontier Media, a Boulder, Colo.-based adult film producer and distributor. All three are profitable.
Rick's Caberet had $60 million in revenue in its 2008 fiscal year, up from $32 million the year before, Wold said, and he estimates VCG will have $57 million for last year, compared with $40.5 million in FY2007. New Frontier Media generates more than $400 million in consumer buying a year.
Larry Flynt, whose half-billion dollar Hustler empire publishes magazines, produces and distributes films and operates a casino, said he's continued to do well. But he doesn't expect those who are solely in the film business to survive. "A lot of the small studios are out of business now, there's no doubt about that," Flynt said.
Adult magazines also are struggling along with the larger publishing industry, and have to cut pages like everyone else.
But the economic realities aren't keeping job seekers away.
Vivid Entertainment's Hirsch said the number of women in his business has doubled in the last couple years, with roughly 800 working as adult actresses. "It is more competitive than I've seen it in 25 years," he said.
That doesn't mean all the newcomers are planning on lengthy careers in the industry.
Stone, who has a bachelor's degree in graphic design, took up dancing four years ago to help pay her student loans. She plans to go to graduate school this year to pursue a master's in education.
Brown, meanwhile, has a ready answer for those critical of her career choice.
"I have job security," she said.
Adult Theaters and Glory Holes
Had a few drinks with friends at The Shack just recently and we were talking all kind of shit after just a few green bottles. We got on the topic of strip clubs and adult video stores. One of my buddies mentioned that there are adult theaters and "glory holes" in these establishments. He explained the antics that "can" go on in these theaters or booths and I was floored since I've only been to places like Diamond Head Video, Aaxtion Video and Suzy Qs. Two things immediately came to mind, health and safety and that was pretty much it for me. The topic turned pretty quick as it seemed to gross out my other buddies.
While I don't have any burning desire to stick my "yahoo" through a hole or have sex in a theater with a stranger, I'm curious to findout if these establishments actually exist in Hawaii.