Big deal

Feb 01 2013, 16:59 IST
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Salman Khan Salman Khan
SummaryThe television industry feels that the Rs 500 crore deal between Star Gold and Salman Khan is a win-win proposition for both parties.

Even after such films bombed at the box office the television networks have continued to screen them on TV, the recent example being Players.

Win-win situation

Today, the cost of buying the satellite right of a big budget Bollywood movie, on an average is Rs 50 crore. Assuming that if every year, two Salman Khan starrers release, then Rs 500 crore for five years is justifiable. While some call it an impractical deal, this new business model works safe for both the parties.

According to Tiwari, the growing inflation may see the price of buying the satellite right rise to Rs 60 crore or more instead of the estimated cost of Rs 50 crore. Since Star Gold has already signed a contract for Salman Khan’s films, they shall not fall prey to the rising cost for at least five years, no matter how big a hit the film is.

On the other hand, even if Khan delivers a flop at the box-office, he will not have to worry about the recovery of his film by way of satellite rights, considering that he has already sold his project to Star Network at the rate of Rs 50 crore.

A win-win situation indeed.

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