FSA approves emergency measures for the audiovisual sector.
The Managing Committee of the Audiovisual Sector Fund (FSA) met last Wednesday (24) to approve a series of emergency measures for the audiovisual sector.
Among the measures is creation of the Special Support Program for the Small Exhibitor, which consists in immediate assistance to exhibitor groups of up to 30 rooms. This assistance is very important considering that the movie theaters’ revenues have been almost zero since mid-March, when the governors decreed their closure as a measure of contention of COVID-19. Currently, the exhibition rooms segment continues with no expectation of reestablishing its normal activities.
An Emergency Credit Line of R$ 400 million was also approved, of which R$ 250 million will be allocated for direct operations, managed by BNDES, and the other R$ 150 million will be allocated to BRDE, with indirect operations. The purpose of this measure is to pay suppliers, employees and maintain jobs. In order to have the credit line with the lowest charges, the beneficiary company will need to commit not to reduce its staff.
The Committee also suspended, for a period of six months, the repayment of loans from the Cinema Perto de Você Program’s Credit Line, that supported the construction of more than 290 movie theaters in the country and to digitalize more than a thousand theaters since 2010.
Finally, the emergency measures established the suspension of deadlines and formalities of contractual obligations before the FSA, such as the deadlines for conclusion of the works, accountability and sending the forms for monitoring the execution and commercial exhibition in cinemas. This suspension will be valid while the effects of the COVID 19 pandemic last.
More information is available (in Portuguese) at https://www.ancine.gov.br/pt-br/sala-imprensa/noticias/comit-gestor-do-fsa-aprova-medidas-de-amparo-ao-setor-audiovisual