Movies

UTV agrees on 41% revenue for 2nd week of 'Jodhaa Akbar'; row with multiplexes ends

MUMBAI: UTV has agreed to take a revenue share of 41 per cent for the second week collections from the multiplex owners, ending the dispute over screening of the Hrithik Roshan-Aishwarya Rai starrer Jodhaa Akbar.

UTV had originally demanded a 42.5 per cent share from the second week collections while multiplex owners were willing to part with 40 per cent. The 2.5 per cent extra share that UTV wanted caused a day‘s delay for the release of the Rs 400 million period film in multiplexes across the country.


"We have settled at 41 per cent," says a multiplex owner on condition of anonymity.


UTV and the multiplex operators had no dispute over sharing of spoils for the first week, according to sources. The revenue sharing between multiplexes and film distributors is usually 50 per cent for the first week, 40 per cent for the second, 35 per cent for the third and 30 per cent for the fourth week of run.


When contacted, UTV Motion Picture Plc director Siddharth Roy Kapur said, "I do not want to comment on our commercial terms. The fact is that there are no more disputes and the multiplexes are showing the movie from Saturday."


The reduction by 1.5 per cent means multiplex owners have made a fair bargain, says the senior executive of a leading chain. "For every multiplex chain operator who has 150-200 screens, even one per cent can make a huge difference. If the movie does good business, the 2.5 per cent revenue may sum up to Rs 300,000-400,000 for an average multiplex property," he adds.


Unable to show Jodhaa Akbar on the first day of release, multiplex owners have taken a hit with industry estimates pegging the average loss of a big chain operator at Rs 1.5 - 2 million.


In the recent past, movies like Om Shanti Om, Sawariya, Lage Raho Munnabhai, Fanaa have seen late releases due to disputes over revenue sharing terms.

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