Most of its recent hits, like Iron Man 2 and How to Train Your Dragon, are films that the studio only distributes, meaning it only gets about 12% of the revenue.

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Lord Attenborough, the chairman of Dragon International Studios, said work on the main studio complex would start before October 2005.

BBC: Lord Richard Attenborough

She will star as Lisbeth Salander in the studio's upcoming version of The Girl with the Dragon Tattoo, the first of a planned trilogy based on Stieg Larsson's bestselling novels.

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"I would like to emphasise that this facility, to be known as Dragon Plus, represents just the initial phase of a far larger major film studio development at Llanilid, " he said.

BBC: Lord Richard Attenborough