Shah Rukh Khan is under pressure to return some amount from the Minimum Guarantee (MG) shares given by the distributors for Jab Harry Met Sejal. MG refers to the sum of money that is given by the distributors to the producer as an advance sum against the expected revenues of the film.
The Imtiaz Ali film, which also stars Anushka Sharma, has performed below par at the box office. Only recently, Salman Khan has returned Rs 32.5 crore to the distributors after Tubelight suffered Rs 65 crore loss at the Indian box office.
Shah Rukh has had a history of treating his distributors well. When his films Phir Bhi Dil Hai Hindustani and later Asoka flopped, he adjusted the MG for films like Chalte Chalte taking a lesser sum of money as MG. “But now, the stakes are much higher. There are several brands that come onboard for co-branded activity during promotions and the producer does not incur a lot of expense while releasing the film. Hence the MG stays with the maker and it is easier for them to return the monies,” says an industry source.
SRK is known to be an industry-friendly actor and by virtue of being a producer for almost two decades, he is expected to make an announcement soon on the refund....