NEW DELHI - After two months of empty seats and no-shows at ticket counters, multiplex owners are happy their stand-off with the producers-distributors over revenue sharing ended Friday. They are content with the solution arrived at.
According to the final settlement, 50, 42, 35 and 30 percent of collections in the first, second, third and fourth weeks respectively will be shared between the two parties.
We have resolved all the issues amicably and in a manner that both sides are happy. We will issue a press release on Monday which will detail the specifics of the meet, Deepak Ashar, director of Inox Leisure and spokesperson of Multiplex Association of India told IANS over phone from Mumbai.
Tusshar Dhingra, COO, Big cinemas echoed the same and said: We are content with the decision because whatever has been finalised has been a mutual decision.
Most of the mulitplex owners are happy with the the solution but they are expecting only average footfalls.
We feel it’s a decision which is best for everyone… we are now expecting a good response in terms of footfalls but not an overwhelming one because once all promos for new movies went off air, audiences have gone into a no-release mood, said Munish Sharma, general manager (marketing) of Delhi-based multiplex chain Satyam Cineplex.
It might take a week or two to bring in absolute footfalls but things just might be getting into order June 19 onwards, he added.
But Dhingra is positive and said: For Indians, watching movies is among the top most out-of-home activity that they indulge in, so, their movie watching habit will not die down so soon and they are going to revisit theaters.
The first films to release June 12 are Vashu Bhagnani’s “Kal Kissne Dekha” and Mithun Chakraborty-starrer “Zor Laga Ke Haiya”.
Other movies slated for release in the near future include New York, Agyaat, “Kaminey”, “Paathshala”, “Johnny Mastana”, “Kissan”, “Kambakth Ishq”, “Love Aaj Kal”, “What’s Your Rashee?”, “Wake Up Sid”, “Main Aur Mrs Khanna”, “Aashayein”, Aage Se Right, “Tum Mile” and “Jashnn”.
The standoff between producers-distributors and multiplex owners started in February over revenue sharing. While the producers demanded a flat 50 percent share of all film revenues irrespective of the stars, budget and box office collection, the exhibitors stressed on sharing profits based on the earnings of a film.
As a result, the United Producers and Distributors Forum (UPDF) decided not to push any new releases in multiplexes April 4 onwards and suspend marketing and distribution of all films.
While, multiplexes like PVR and BIG cinemas temporarily shut down some screens, exhibitors on the whole tried to keep the ticket window buzzing by playing re-runs of popular Hindi and English movies like “Jodhaa Akbar”, “Rab Ne Bana Di Jodi”, “Dhoom 2″, “Life…in a Metro”, “Transformers”, “The Curious Case of Benjamin Button”, “Mr. Bean’s Holiday”, “Razzle Dazzle” and “Marley and Me”.
So far as the loses are concerned, the total loss for all multiplexes is expected to be around Rs.300 crore.
Related News
IBM India inks pact with Mexican multiplexSeptember 24th, 2009 NEW DELHI - IBM India has signed a three-year IT services agreement with Morelia, Mexico-based multiplex operator Cinepolis. "The deal, inked in August 2009, will involve IBM deploying, managing and supporting a scalable IT infrastructure essential for Cinepolis India rollout plans," IBM said in a statement.
Kannada producers-multiplexes end row, new films being releasedJune 12th, 2009 BANGALORE - Film buffs in Karnataka can heave a sigh of relief - the Kannada film industry's long stand off with the multiplexes over revenue sharing has ended and two new films - "Olave Jeevana Lekkachara" and "Karanjji" - are being screened at multi-screen theatres Friday. Talking to IANS, Vijaya Kumar, secretary of the distribution sector of the Karnataka Film Chamber of Commerce (KFCC), who was part of the negotiations with the multiplex owners, said the settlement was possible because of the positive attitude of the Kannada film industry members as well as representatives of the multiplexes, particularly PVR and INOX.
The strike was a fight for survival: Mukesh Bhatt (Interview)June 12th, 2009 MUMBAI - Filmmaker Mukesh Bhatt says his bad experience with the multiplexes during the release of "Raaz 2" inspired him to become a crusader for producers' rights during the standoff with multiplex owners over profit sharing. He now wants to meet the prime minister to remind him about an independent government cell that he promised to set up to safeguard filmmakers' interests.
'Kal Kissne Dekha' - of love and supernatural powers (IANS Preview)June 8th, 2009 NEW DELHI - "Kal Kissne Dekha", producer Vashu Bhagnani's launch pad for his son Jackky, is the first film to roll out from the Bollywood stables after the resolution of the revenue-sharing row between producers and multiplex owners, ending the dry spell at the box office. Directed by Vivek Sharma, the film also stars actress Vaishali Desai and has Rishi Kapoor in a pivotal role.
Producers' strike hit Bollywood badly, says Reliance's Amit Khanna (Interview)June 7th, 2009 MUMBAI - The Hindi film industry was hit badly by the stand off between producers and multiplex owners and lost about Rs.300 crore, says Amit Khanna, chairman of Reliance Big Pictures, who was one of the architects of the 12-hour meeting between the two parties. But he adds that the row had brought about more cohesiveness among filmmakers.
Strike over, multiplexes in two minds over telecasting T20 matchesJune 6th, 2009 NEW DELHI - A slew of Bollywood biggies are lined up for release with the row between producers and multiplex owners having ended. Multiplex owners are now doing a re-think on whether to go ahead with the proposed screening of T20 World Cup matches, especially after the "exorbitant" fees for telecast rights.
Producers strike cost Bollywood Rs.3 bnJune 5th, 2009 NEW DELHI - The two-month-long standoff between the producers-distributors and multiplex owners over revenue sharing, which was resolved Friday, has led to a whopping Rs.300 crore (Rs.3 billion) loss to the industry. The strike has cost the Indian film industry over Rs.3 billion, Mukesh Bhatt, United Producers and Distributors Forum (UPDF) chairman, told IANS over phone from Mumbai Friday.
Bollywood rejoices after settling dispute with multiplexes (Lead)June 5th, 2009 NEW DELHI - Heaving a sigh of relief after a 14-hour meeting that Friday resolved a crippling four-month dispute between Bollywood producers-distributors and multiplexes, United Producers and Distributors Forum (UPDF) chairman Mukesh Bhatt said that he was glad to have finally achieved "fair rights for Friday nights". "We are so happy that that we have achieved what we had set out to achieve - fair rights for Friday nights," Bhatt told IANS over phone from Mumbai.
Bollywood producers reach deal with multiplexes, end strikeJune 5th, 2009 MUMBAI - The row between Bollywood producers and multiplex owners over revenue sharing came to an end as the two parties reached a deal here early Friday, industry sources said. After about four months of negotiations, the two parties reached a consensus over the rationalisation of revenue sharing for forthcoming films, the sources said.
Production houses announce release dates of major filmsJune 5th, 2009 NEW DELHI - Post the extended dry spell at the box office owing to the stand-off between Bollywood producers and multiplex owners over revenue sharing, production houses have announced, beginning June 12, the release dates of some of the most awaited films slated hit the screens in the coming months. The row between producers and multiplex owners over revenue sharing began in February.
'Lamhaa' producer uses new way to find buyersMay 30th, 2009 MUMBAI - Many films under production now are lying unsold thanks to the recession and the stand-off between producers and multiplex owners over revenue-sharing. Director Rahul Dholakia's Kashmir saga "Lamhaa" is one such big budget movie that is waiting for buyers.
Now stand off between Kannada film industry and multiplexesMay 25th, 2009 BANGALORE - The long standoff between multiplex owners and Bollywood filmmakers has affected the Kannada film industry too, with two big budget Kannada films "Dubai Babu" and "Taakat" failing to reach the multiscreen cinemas here because of the row over revenue sharing. The producers fear they will have to bear heavy losses because of the tiff.
'99' to end dry spell at multiplexesMay 13th, 2009 NEW DELHI - New Bollywood release '99' starring Kunal Khemu and Soha Ali Khan is expected to bring relief to multiplexes and film-starved movie buffs after nearly five weeks of a dry spell due to a deadlock between producers and multiplexes. Made at a budget of over Rs.150 million, the film is releasing Friday worldwide with around 500 prints.
Producer-multiplex revenue sharing talks end in stalemateMay 5th, 2009 NEW DELHI - A Bollywood film producers and multiplex owners meeting Tuesday ended in a deadlock over revenue sharing row. The two parties failed to reach a mutual understanding over the rationalisation of revenue sharing of films, according to industry insiders.
Re-release of GhajiniMay 3rd, 2009 Bollywood star Aamir Khan is not only a perfectionist but also an intelligent actor. Keeping in mind the tiff between the Hindi Cinema and Multiplex owners about the sharing profits and a decision by the producers of not to release any film in the month of April, Aamir wants to use this opportunity to cash in more profit on his already super hit flick Ghajini.
Loading ...