DreamWorks Animation's growth focuses on 3-D

DreamWorks Animation SKG Inc., creator of the hit "Shrek" films, is bulking up in a big way.

The company this week will begin an $85-million project to expand its 13-acre Glendale studio, adding 100,000 square feet of new production space and more than 500 jobs in the next two years.

DreamWorks is growing quickly at a time when many other Los Angeles-area film companies are cutting back in the face of a sputtering economy and a slowdown in film production, delays partly caused by difficult contract talks between studios and Hollywood's biggest actors union.

The new construction largely reflects the company's ambitious entry into 3-D filmmaking, as well as the enduring popularity of family-oriented computer-animated films.

"The business is flourishing and there is a good reason for [DreamWorks] to be hiring so many people," said Ron Diamond, co-founder of Animation World Network, an animation publishing group. "This is a very positive time for animators."

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