According to The Hollywood Reporter, Lions Gate Entertainment is ramping up its family entertainment division, releasing a record slate of DVDs in the fourth quarter and readying its second theatrical project, Sylvester, based on the award-winning children's book Sylvester and the Magic Pebble by the late William Steig, also the creator of Shrek.

Both Sylvester and Lions Gate Family Entertainment's first theatrical release, the animated 3-D adventure Foodfight, scheduled for wide release in November 2006, represent efforts by the company expand our reach beyond DVD, said Lions Gate president Steve Beeks. "We think there is an unaddressed area of family feature films, namely, for us to produce pictures at substantial but still reasonable budgets, with a focus on good stories," Beeks said. That's why we renamed the division ("Home" was dropped in January) -- it's not just about the DVD business, it's a true expansion into all facets of the family entertainment business."