Milind Soman on why he doesn't get work in Bollywood: Don't have networks in the mainstream cinema world

New Delhi, Jun 9: Multiplex operator PVR on Monday said it has cut salary across various levels, laid off employees and deferred increments during the lockdown to mitigate adverse impact of COVID-19 on the business.

The company said at present it is not generating any revenue from exhibition business and related activities as cinemas across the country are shut following the directions from the regulatory authorities.

According to the company, closure of screens during the lockdown will have a significant negative impact on profitability and liquidity.

PVR has taken measures to reduce its personnel cost, including salary cuts across various levels in the organisation during the lockdown along with "reduction in headcount by way of layoffs/retrenchment" to mitigate the adverse impact of COVID-19 on the business.

Moreover, the board of the company, in its meeting held on Monday has also approved plan to raise Rs 300 crore through rights issue.

"Since Cinema Exhibition is the only business segment, company is currently not generating any revenue from admissions, food and beverage sales or other revenue and cash flow from operations," said PVR in an update.

Beginning from March 11, PVR started closing its screens in accordance with the order passed by various regulatory authorities and within a few days most of our cinemas across the country were shut down, it added.

The company will continue to incur committed cash outflows, including employee salary pay-outs, other overheads as well as payments for older working capital.

"This has and will have a significant negative impact on profitability and liquidity during lockdown and even thereafter till business comes to normalcy," it added.

Further, once the cinemas are re-opened, we may not be able to run our cinemas at normal capacity utilisation levels on account of social distancing measures that cinemas may be required to follow as well as health concerns that the patrons may have, the multiplex operator said.

"On account of this, our revenue and cash flow generation may be impeded even once we are allowed to restart operations," it added.

The company has also deferred decision on on increments to reduce its cost, it added.

PVR has also written to developers for waiving rental and CAM (Common Area Maintenance) charges for the lockdown period.

It is in discussion with developers for reducing rentals post re-opening and has invoked force majeure clause in its agreements with them.

Besides, the company has raised additional borrowings from existing bankers to shore up liquidity.

"As of March 31, 2020 the company had cash and bank balance of Rs 316 crore. As on June 7, 2020 cash and bank balance is Rs 227 crore (including undrawn bank lines)," it added.

Over reopening of theatres, PVR said that the government has come out with a phase-wise schedule.

In these guidelines cinema halls have been kept in the third phase of re-opening, where dates will be decided based on assessment of the situation.

"We are in continuous engagement with all regulatory authorities and hope to receive the necessary permissions for restarting opening in the near future," it added.

Currently PVR operates 845 screens in 176 properties in 71 cities.

Chennai, Jun 14: Tamil Nadu Police has recovered about 100 bottles of liquor from the car of actor Ramya Krishnan, who had starred in movies like Bahubali, Padaiappa and others.

According to the police, the actor was traveling in the car at the time on the East Coast Road (ECR) where they were carrying out vehicle checks on Thursday.

The police found about 100 liquor bottles in the car boot and when queried Ramya Krishnan said she was unaware of the bottles.

Later the police confiscated the bottles and arrested the driver Selvakumar who said the liquor was bought at the Tamil Nadu government-run liquor shop.

The government has not allowed the opening of the Tasmac shops in Chennai.

Another driver came and drove the actor back to Chennai.

Mar 11: The shooting of Radhe: Your Most Wanted Bhai has been completed, and the film will now release on schedule.

If one recalls, the film went on the floors in the first week of November 2019 and was supposed to be Salman’s fastest completed film. However, the movie faced a variety of roadblocks — It was first to be wrapped in the first week of February, “But Salman went off to his Panvel farmhouse after the release of Dabangg 3 and spent a while there ushering in his birthday,” a source reveals.

“Then, the extension of the show Bigg Boss 13 by five weeks also turned out to be another speed breaker. Then, Salman wanted to make sure that the film was being made as good as what his audiences wanted on Eid. He made sure that his director Prabhudeva got what he wanted from the performers and didn’t want to rush him.

"Additionally, the Azerbaijan schedule of the film also got cancelled as Salman did not want to take any chances with the cast and crew with the lurking Covid 19, and rescheduled the shoot in India. This is now complete, barring any patchwork that might emerge later,” our source adds.

Radhe is slated to be an Eid release, which will clash with Akshay Kumar’s Laxmmi Bomb.