The family drastically reduced the size of the company, preferring to focus their efforts on film-and-television production and their work as an effects house, rather than being involved in distribution and acquisition. "We're a creative family, and that sort of thing really doesn't interest us," said Henson. "I know I prefer to be behind the scenes."

Most recently, they sold the Muppets properties to the Walt Disney Co. "We've been looking for a way to get the Muppets back into the public consciousness," Henson said. "It's been too long, and we really didn't have the resources to do that. So this was ideal."

That deal has yielded immediate results, as Buena Vista Home Entertainment is releasing the various Muppets TV shows and movies on DVD, as well as the recently released box set of "The Muppet Show; Season One."

Of course, that also means Disney now calls the shots with regard to any and all future Muppet projects. But Henson says he believes the family will be involved. "Obviously, that's up to the Disney people. But they've always been very respectful of their own properties, so I have to believe that they will treat my father's beloved creations with similar sensitivity and care."

In the meantime, the Jim Henson Co. is concentrating its efforts on new productions. One that Henson is most proud of is "MirrorMask," a live-action/digitally animated fantasy that is a collaboration between writer Neil Gaiman and artist Dave McKean. (That film will be released in select cities, including Salt Lake City, next Friday.) "It's something else — it's just so imaginative. I'm sure people are going to love it."

He's also lining up a series of animated films based on the best-selling "Frances Treasury" novels. And he and sister Lisa are spearheading a sequel to the 1982 animatronic fantasy "The Dark Crystal," which is tentatively titled "The Power of the Dark Crystal." "It's getting pretty far along in development, though we're not quite ready to announce some of the details yet. But this will bring the Jim Henson Co. back in a big way."

---

E-mail: jeff@desnews.com