Marvel hits Hollywood with 'Iron Man'

By John Tilak

BANGALORE (Reuters) - Marvel Entertainment Inc, the comic-book publisher known for "Spider-Man" and "X-Men," is set to step out of the long shadows of its famous superheroes as it takes less familiar characters like "Iron Man" and "The Incredible Hulk" to the big screen.

When "Iron Man" -- the company's first ever self-financed film -- hits theaters on Friday, Marvel will move away from being a licensor of an array of popular characters to a company that will have greater control in making the most of its characters.

The company-produced films, which make Marvel less dependent on others for its own success, marks the culmination of a push towards exploiting its characters since it emerged from bankruptcy in 1998.

"It's a game-changer for Marvel," J.P. Morgan Securities analyst Barton Crockett said. "It gives them an opportunity to control their own destiny."

Film rights for the company's biggest properties, "Spider-Man" and "X-Men," were licensed to Sony Corp and News Corp. The studios not only produced the films, they also took home the big money.

"Hulk," the second in Marvel's going-solo line-up, is slated for release in six weeks.

With the self-produced titles, Marvel will be able to garner more profits from films based on its characters, boost its top line and strengthen its existing businesses.

"It's a great opportunity for them to not only create a library of films they can extract value from long-term, but also to increase their licensing revenue, toy royalty revenue and potentially even their publishing business," said Peter Carlin, a portfolio manager at Alson Capital.