New Summit Ent. film company backed by $1 bln

LOS ANGELES (Reuters) - A former Paramount Pictures executive and the head of a Hollywood film company on Thursday unveiled a new movie outfit with more than $1 billion in financing from investors led by Merrill Lynch.

Summit Entertainment LLC will be co-chaired by Robert Friedman, former vice chairman and chief operating officer of Paramount, and Patrick Wachsberger, chief executive of Summit Entertainment LP, which will be folded into the new company.

In a statement, the new Summit said it will expand its focus from primarily international releases to include film production and distribution to U.S. and Canadian theaters.

Under Wachsberger, Summit became a leader in international sales and marketing, releasing films such as hit comedy "American Pie" to foreign markets. It also shared in production of movies like big-budget action flick "Mr. and Mrs. Smith," a spokesman said.

The new company expects to release 10 to 12 movies a year, which will be produced and developed internally or acquired at markets such as film festivals. It also will continue handling foreign sales for its existing clients.