K’taka theatres to move from rental system to profit percentage sharing

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K’taka theatres to move from rental system to profit percentage sharing

K’taka theatres to move from rental system to profit percentage sharing

SC L S   ¦    Feb 04, 2020 12:03:18 AM (IST)

K’taka theatres to move from rental system to profit percentage sharing-1

Bengaluru: The Kannada Film Producers Association has decided to abolish the rental system of cinema theatres and implement the profit percentage sharing system.

During a meeting of producers, distributors and theatre owners, at the Kannada Film Producers Association office on Monday, February 3, president of the association D K Ramakrishna said, “Keeping in mind the upliftment of the producers and to see to it that they will not undergo financial trouble, we have decided to implement a profit percentage sharing system instead of the rental system in theatres. This policy will be applicable from April 2, this year.”

“We have observed that some of the producers, unable to bear the rental expenses of theatres, fall into an acute financial crisis leading to a miserable life. When the newcomers enter the industry, they find it very difficult. Hence, we will be going with this new policy," he added.

It can be noted that this system is already in place in all the multiplexes. Now the same system will be implemented in individual theatres as well. The theatres will be classified as ‘A’, ‘B’ and ‘C’ centres, based on which the profit percentage sharing system will be adopted.