Ananova:

DreamWorks Animation Studios has postponed the US release of Shrek 3 from November 2006 to May 2007.

The announcement follows Disney and Pixar's decision to move the release of Cars from a November 2005 slot to May 2006.

The move from an autumn release to an early summer bow is aimed at capitalising on the large summer audiences and the Christmas DVD market that follows, according to Hollywood Reporter.

Both the first two Shrek films were released in early May and went on to a combined US domestic gross of more than $708 million.

"The sheer magnitude of the Shrek franchise has led us to conclude that a May release date, with a DVD release around the holiday season, will enable us to best maximise performance and increase profitability, thereby generating enhanced asset value and better returns for our shareholders," said DreamWorks Animation CEO Jeffrey Katzenberg.