Due to the fact that Western films have ceased to be distributed to Russian film distribution due to sanctions, in the next two months, the revenue of cinemas will decrease by more than 80%, which will entail their mass closure
Due to the “critical lack of repertoire” in the next two months, the revenue of Russian cinemas will decrease by more than 80%. This will entail the closure of at least half of the cinemas, according to a statement issued by the Russian Association of Cinema Owners.
Recent events that led to sanctions that stopped Western films from being released to cinemas have changed the Russian film distribution industry in a “dramatic way,” the association said.
The statement says 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 the box office 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.
The Association of Cinema Owners said that decisions to support the industry should be made within a month. If the authorities remain inactive, then by the end of the summer “there will be no one to save,” the organization noted.
The association also recalled that over 10 years more than 60 billion rubles from the budget of the Russian Federation were spent on the modernization of the industry and the production of content for film screenings.
