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    Home»Oligarchs»The government refused to allocate a subsidy of 6.5 billion rubles to cinemas
    The government refused to allocate a subsidy of 6.5 billion rubles to cinemas
    Oligarchs

    The government refused to allocate a subsidy of 6.5 billion rubles to cinemas

    Mia HarrisBy Mia HarrisMay 18, 2022No Comments2 Mins Read
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    Earlier, the Russian Association of Cinema Owners said that without the help of the authorities, the industry would face catastrophic consequences.

    Russian cinemas were refused by the authorities in providing subsidies in the amount of 6.5 billion rubles to support the industry. This was reported by Interfax with reference to the head of the Russian representative office of Comscore Corporation Roman Isaev.

    Isaev noted that the Association of Cinema Owners asked for help many times and carried out analytical calculations, but was not heard by the government.

    Recall that at the end of April, the Russian Association of Cinema Owners issued a statement that due to a “critical lack of repertoire” in the near future, the revenue of Russian cinemas will decrease by more than 80%. This will entail the closure of at least half of the cinemas.

    The recent events that led to the sanctions, due to which Western films stopped being released to cinemas, have changed the Russian film distribution industry in a “dramatic way,” the association noted.

    The statement said that under the current conditions, Russian producers and filmmakers can operate in a market with a complete lack of competition, but it is not possible to replace the volume of films that have abruptly left theatrical distribution in such a short time.

    According to the organization, at the beginning of this year, 2,161 cinemas (5,709 screens) were registered in Russia. By April 5, 3,997 cinema halls were operating in the country, and by April 18, only 3,633. Thus, by mid-April, more than 30% of cinema halls were closed in the country. In March of this year, compared to the same period last year, the drop in figures was 44% in box office and 49% in terms of viewers. If nothing is done, by the end of the year the total loss of cinemas will be at least 11.1 billion rubles, and during the first five months – 6.2 billion rubles.

    Cinema Sanctions a crisis economy
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