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MUMBAI: Subhash Chandra promoted Fun Cinemas (the multiplex brand
of Fun Multiplex Pvt Ltd), which along with Inox are the only two
cinema chains not screening the Aamir Khan blockbuster Fanaa,
has categorically denied any differences with producer Yash Raj
Films.
A statement issued today by E-City Ventures (the corporate brand
representing the Essel Group’s out-of-home leisure interests)
made the following clarifications:
a. There exist no differences between The Essel Group or E-City Ventures
and Yash Raj Films (the producers and distributors of Fanaa).
All such indications prevailing in the entertainment industry are
being spread out of malafide intent, through parties that could have
vested interests in this matter.
b. The revenue model of film exhibition works in a way that films
with assured commercial success pay for films that do not justify
the exhibitor’s overheads. It is therefore necessary for the
exhibitor to price both of them in a way that is acceptable to the
audience. This assures a longer shelf life for the given film and
ultimately benefits the producer and distributor.
All the points that The
Essel Group and E-City Ventures brought to the table while negotiating terms with
Yash Raj Films, were motivated by this strong belief. c. The Essel
Group and E-City Ventures currently have exhibitory control over 70 single screen
cinemas and 40 movie multiplexes. The repercussions of the terms negotiated between
Fun Cinemas and Yash Raj Films were to affect all these cinemas. It is not that
the exhibitors respect the premium value offered by the producer any less –
but they care more for the purchasing power of their audience. Thus,
the fact that both the parties could not agree on common terms, is a pure business
deadlock and not a confrontation of any kind.
The statement concludes by saying that any subsequent releases
from India's most powerful studio would be "negotiated as an
independent premise". This is a significant point because for
the remainder of 2006, Yash Raj Films has a virtual lock on all
the big Hindi blockbusters that are slated for release. The A-list
movies in its kitty include home productions Dhoom 2 and
Kabul Express, as well as the year's other two biggies -
Rakesh Roshan's Krrish and Dharma Productions' Kabhie
Alvida Na Kehna.
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