How should a video rental chain replenish new movies over time? Clearly, any such policy would consist of two key dimensions-the number of copies purchased and when to remove a movie from front shelves and replace it by a newly released one. We first analyze this bi-variate problem for an integrated chain. As for decentralized chains, we show that a (wholesale) priceonly contract cannot coordinate such a chain. We then consider a price+ revenue sharing contract. Such a contract can achieve coordination, but the unique price and share which are needed may not provide one of the parties with its desired profit (ie, will violate individual rationality). We thus propose adding a third lever-a license fee (or subsidy) associated with each new movie. Such a contract can coordinate the channel and satisfy the individual rationality requirements. We provide numerical examples which utilize empirical demand data estimated by Lehmann and Weinberg (2000).