I happen to work for a major film studio as a number cruncher... think the dark knight.
The majority of large studios should weather the comming storm, it's the smaller independant producers that will get stuffed as they don't have much content to exploit.
It is true that DVD has been a real money spinner over the last 10 years or so.... but it's been on a downward trend in most countries for the last 3-4 years so the studios have tried to look into other ways of exploiting the product digital downloads, consumer products, games and whopping TV deals (most are locked in over a number of years and are on very favourable terms :-) ) etc and it's working.
Mind you Males 14-30 are the key target for DVD and at present seem to be hitting the shops in force for the latest movie: IronMan, Hulk, Indian Jones
Changing of stragtegy is key, we will see alot more sequels, sucessful book being adapted, TV shows adapted to film and a significant reduction in production budgets for all but the EVENT movie Harry Potter, Batman, Spiderman etc.
Actors pay has already been cut, at least for the stars it has, the bread and butter supporting cast are on the breadline and they always will be as there is never enough work going on to keep them fully employed all year.
Make My Day Punk