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A crucial meeting between Telugu film producers and multiplexes was held yesterday (30th November) in Hyderabad. Only after the outcome of the meeting is clear will producers of Telugu films announce new releases. Telugu films are released mostly in Andhra and Telangana regions. The Active Telugu Film Producers Guild (ATFPG) gave the following proposal to the multiplexes, listing down what changes it wants multiplexes to effect for its members. The multiplexes are expected to reply in a couple of days. The demands of the producers are:
(1) Instead of the revenue sharing terms of 55:45 between producers and exhibitors respectively in the first week, the Guild has sought 60:40. The second week’s sharing is sought to be 50:50 instead of 45:55. Currently, the third and fourth weeks’ revenues are shared in the ratio of 40:60 and 35:65 respectively. From the fifth week onwards, the revenue is currently shared in the ratio of 30:70 for every week. This is sought to be changed to 40:60 from the third week onwards. The producers have made it clear that they want the new sharing terms to be uniform across Andhra Pradesh and Telangana states.
(2) Henceforth, producers shall not pay Virtual Print Fee. The VPF is currently being borne by the producers.
(3) Producers have also demanded that multiplexes play trailers of new films for free instead of charging for them as at present. Likewise, producers have said that they will not henceforth pay for movie-related publicity being displayed in the multiplex premises, as at present.
(4) Telugu film producers have also demanded that show priority shall be given to Telugu films over other language films.
(5) Producers have asked the multiplexes to do away with sale of tickets with combo packs.
(6) The choice of flexible prices shall be implemented as per directions of producers only.
(7) Producers also want a percentage share in any revenue generated from ticket sales platforms.
(8) Maintenance charges, which are currently being deducted from the producer’s account, will henceforth not be so deducted. In other words, producers have decided to not bear the maintenance charges.
(9) Settlement of accounts and disbursement of funds have long been a cause for heartburn among producers as multiplexes take months to transfer the share amounts to producers. The charter of demands mentions that settlement of accounts and revenue disbursement will happen fortnightly.
(10) If the government gives permission for conducting more number of shows, multiplexes shall do so.
(11) Until 100% occupancy is not allowed, producers who release their films at the reduced occupancy, have sought additional benefits from multiplexes. They have asked the multiplexes what those benefits could be.
