With a majority of films taking a beating at the box-office and distribution houses facing the prospect of heavy losses, Zee has decided to defer its distribution plans and suspended them for the time being.

"It is true that we have kept our distribution plans in abeyance until we have a critical chain of outlets for releasing films, which will make up for the deficits arising out of distribution. The distribution scene is hardly as promising as it used to be once upon a time.

Practically, every film is running into losses and distribution in general is no more a profit making business unless it is supported by exhibition and a value chain of theatres," Nittin Keni, the creative consultant for Zee for its production and distribution plans confirmed.

The policy decision comes after Zee recently called off the tie-ups it had entered into with various production houses, for the distribution rights of their films. "We had acquired the rights of a few films, among them being part-rights of the just-released BEWAFAA, besides NO ENTRY and SOCHA NAA THA but we have settled the matter with the producers of these films," Keni added.

In addition, Zee has also decided to hold back its ambitious production plans that it had earlier outlined, apart from the film that Sudhir Mishra is scheduled to direct for Zee with 'India's Best'. "That's the only in-house production we have at the moment and we intend to complete it but we have no plans to start any new project, though we are open to tie-ups for production," Keni further revealed.

Meanwhile, Zee's exhibition plans are likely to take a full precedence with E-City and Fun Republic, now set for diversification on the exhibition front.