Fox Filmed Entertainment and Walden Media have announced they will team up to produce a slate of family orientated productions under the banner of a yet-to-be-named new entity. The deal will not affect Disney’s distribution rights for the upcoming Chronicles of Narnia sequels (including Prince Caspian, due in 2008) or Paramount’s rights the upcoming Charlotte’s Web feature film.

The joint venture will include a fully staffed marketing and promotions department and will roll out features that focus on educational and family-themed fare with a G or PG rating. Although no CEO has been named, the new company has a number of projects in development including the fantasy feature City of Ember based on the novel by Jeanne DuPrau and produced by Tom Hanks.

In a similar move, Viacom announced that MTV Films and Nick Movies will become full production labels under the Paramount Motion Picture Group banner. The two new labels will join DreamWorks SKG, Paramount Classics, Paramount Pictures and Paramount Vantage in the group’s stable. Nick Movies will continue to release children’s fare including the CGI full-length feature The Barnyard and the upcoming live-action version of Charlotte’s Web (with Walden Media), while MTV Films will focus on comedies and youth-themed productions.