PRIZZI actually came to Vestron through an ABC license, not through PSO. Vestron handled pretty much all the '80's ABC theatrical movies - PRIZZI, FLAMINGO KID, SPACECAMP, etc.
WB has confirmed they have theatrical and TV rights to HEAVENLY BODIES, but not DVD. They also do not have rights to...
Off my head, I tried to think of all the PSO-associated movies that have had split rights situations between theatrical and home video. Some of their movies have stayed put - THE NEVER ENDING STORY was released by WB and they still have it, 9 1/2 WEEKS was released by MGM and is also now at WB...
Until recently, WB was taking theatrical bookings on HEAVENLY BODIES (its release window meant it fell within their ownership of the MGM titles up to '86), but they have stated they do not have video rights. The lack of a release on MISUNDERSTOOD as well suggests both films are in the same limbo...