Theater-Rental Storm: Dil Raju Against Percentage System

Recently a new storm started brewing in Telangana Film Exhibition industry. The exhibitors and distributors are vertically split into two parts. The faction supported by Suresh Babu, FDC Chairman Ram Mohan and others is in favour of converting the present theatrical rental system into percentage system.

The other faction lead by Dil Raju and his brother is dead-against this move and they want the existing theatrical rental system to continue. For the number of films that Dil Raju buys every year, only theatrical rental system can give him and the producers more share of collections compared to percentage system which favours the exhibitors and cuts down the share which goes to the distributor and producer.

Yesterday a meeting of exhibitors and distributors was held and Dil Raju was invited to it. He skipped attending the meeting and conveyed his stance of being anti to percentage system. We have to wait and see how this fresh issue in Telangana exhibition and distribution system pans out.