LATEST: Hollywood film producers have made a last-ditch offer to actors in a bid to avert strike action.
The Alliance of Motion Picture and Television Producers (AMPTP) says it offered performers a three-year deal worth $250 million (GBP125 million) just hours before the current contract expired on Monday (30June08).
But the threat of a strike still hangs over Tinseltown, after the Screen Actors Guild (SAG) said the proposed deal might not be enough.
Doug Allen, SAG executive director, says, "This offer does not appear to address some key issues important to actors."
In a statement, the AMPTP said: "Our industry is now in a de facto strike, with film production virtually shut down and television production now seriously threatened."
The AMPTP add that the consequences of a strike would be "enormous", costing SAG's 120,000 members $2.5 million (GBP1.25 million) a day in wages.
Negotiators from both sides are set to discuss AMPTP's offer at a meeting on Wednesday (02July08).