In 1940 a studio was founded in Lithuania under Soviet rule, which from then on was responsible for the production of newsreels. This studio produced a first feature film in 1953, Aušra prie Nemuno [lt; ru], but still in co-production with Lenfilm. In 1956 it was renamed Lietuvos kino studija and from then on served as the headquarters for the state film industry. The studio produced its first independent feature film Žydrasis horizontas in 1957. It was a children's film directed by Vytautas Mikalauskas.[2]
