A downtown Toronto cinema, the Carlton, has cancelled screenings of the new film ‘Tony’ after distributor A24 withdrew access due to a clearance issue. The cancellation came after the Carlton had already sold tickets for its initial screenings of the film, directed by Canadian Matt Johnson. The clearance issue stems from a longstanding practice in Canada where distributors typically allow only one theatre in a given area to showcase a new release, which independent theatres have criticized. Imagine Cinemas’ director of operations, Stefan Kern, noted that this was the third recent instance of a film being pulled from their schedule, highlighting the challenges faced by independent cinemas against larger chains like Cineplex, which dominates the market. Cineplex controls about 75% of Canada’s box office revenue, leading to concerns about fairness in the distribution process for independent exhibitors.
Why It Matters
The situation illustrates the ongoing struggles of independent cinemas in Canada, which often find themselves at a disadvantage due to the ‘zone system’ that prioritizes larger chains like Cineplex. Historically, this system has roots in the limited film prints available in the pre-digital era, but it continues to affect the competitive landscape of film distribution today. More than half of independent cinemas report having to wait for Cineplex to complete its run of a new release before being allowed to screen it. This practice raises questions about market fairness and the survival of independent theatres in an industry largely dominated by a single entity.
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