Generally it's a percentage cut that goes down over time, as you say.
I've never heard of 100% gross to the distributor (studio), about 85% is the highest I've heard of, and that was for super-high demand premiere weekends. I think most blockbusters are closer to 70% on opening weekends. But it's all case by case, with a number of factors at work. There can be minimum run length guarantees (this many weeks on this particular screen), which can sometimes be conditions for getting other movies from the same distributor. Each deal really is individual.
The rule of thumb is about 55% of box office goes to the distributor over the entire run of the film. The distributor then takes a cut before the rest is passed on to the production entity. Of course, it's often the case that the distributor and the production entity are two divisions of the same studio, so welcome to the accounting games.
I had a friend who was assistant to the president of distribution at one of the giant studios. He would tell me that the dist. head would be able to discuss individual theaters and even screens with the big chains. They knew the demographics, seating capacity, all of it. The exhibition could be negotiated on a very fine level of granularity.
I've never heard of 100% gross to the distributor (studio), about 85% is the highest I've heard of, and that was for super-high demand premiere weekends. I think most blockbusters are closer to 70% on opening weekends. But it's all case by case, with a number of factors at work. There can be minimum run length guarantees (this many weeks on this particular screen), which can sometimes be conditions for getting other movies from the same distributor. Each deal really is individual.
The rule of thumb is about 55% of box office goes to the distributor over the entire run of the film. The distributor then takes a cut before the rest is passed on to the production entity. Of course, it's often the case that the distributor and the production entity are two divisions of the same studio, so welcome to the accounting games.
I had a friend who was assistant to the president of distribution at one of the giant studios. He would tell me that the dist. head would be able to discuss individual theaters and even screens with the big chains. They knew the demographics, seating capacity, all of it. The exhibition could be negotiated on a very fine level of granularity.