It's official. The stand off between producers and multiplex owners over revenue sharing is finally over.
According to filmmaker Mukesh Bhatt, the breakthrough came late on Friday morning. "Yes, the strike got over at 3am. All the parties agreed to our demand and we all will be releasing films soon.
He refused to give more details.
The meeting that began late Thursday night concluded early Friday morning after multiplex owners agreed to the terms and conditions of the producers.
The first one to give in was Big Cinema who signed on the dotted line. Soon to follow were other multiplex owners like Fame Cinema, Cinemax, Fun Republic, Innox and PVR, who gave their verbal assurance to end the strike.
Asked if the strike was really over, Tushar Dhingra, Chief Operating Officer, BIG Cinemas in a text message to rediff.com replied, "Yes, the strike is over."
When further queried whether it was only BIG Cinemas that has agreed to the demands of the producers, Dhingra replied, "All of them."
However, Shravan Shroff of Fame Cinema and Devang Sampat, Senior Vice President of Cinemax did not respond to the calls or smses.
Sources say that they have agreed to the terms and conditions verbally and will soon sign on the dotted line by Saturday.
On April 4 the producers decided to go on a strike after multiplex owners refused to share equal revenue with them. In the last two months the industry has suffered around Rs 60 crore losses as no new films released in the theatres.
The producers had demanded a revenue share of 50:50 ratio from multiplex owners but the latter refused stating they will give 45:55 ratio, and will give 50:50 only if a film is a hit at the box office.
They (multiplex owners) however informed that they would pay 50:50 profit sharing in the first week of the film's release, 42.5 ratio in the second week and 37.5 in the third week.
With the strike called off, many films will now queue up for release, the biggies among them being Kal Kisne Dekha, Kambhakt Ishq, Kaminey, New York, Love Aaj Kal and Luck.
The first big release will be producer Vashu Bhagnani's Kal Kisne Dekha featuring his son Jacky Bhagnani.