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Published on August 28, 2007

Executive board chairman Vicha Poolvoraluck said that with an investment budget of Bt1 billion, the group would also build two more 32-lane bowling centres next year.

He said the Major Cineplex Group planned to reach a total of 500 theatres in the next few years. With increasing investment upcountry, the proportion of the group's business outside of Bangkok should double to 40 per cent.

Its cinema complexes now have four brand names: Major Cineplex, EGV, Paragon Cineplex and Esplanade Cineplex. Together, they have a total of 308 screens.

Vicha said the company would expand its branches across the Kingdom, especially in the larger provinces, with four business models: stand-alone complexes and theatres, shopping centres, discount stores and lifestyle centres.

Of the new branches, two are being built in Bangkok under the stand-alone format. They are Major Cineplex Rattanathibet and Major Avenue Ratchayothin.

The Major Cineplex Rattanathibet project will cover nearly 1 hectare of land on Rattanathibet Road and cost Bt700 million. It will consist of 15 screens and a 20-lane bowling centre.

Major Avenue Ratchayothin, a joint venture with Siam Development, will consist of 10,000 square metres of retail space on 1.44 hectares of land in the Ratchayothin area, next to Major Cineplex Ratchayothin. The project is expected to cost Bt1 billion.

Vicha said that moreover, there would be a further expansion of Major Cineplex Ratchayothin next year, in order to provide more retail space. As a result, the company's retail-management income will rise from 8 per cent of total revenues now to about 12 per cent. Movie-ticketing income is expected to contribute about 60 per cent.

He said Major Cineplex had abandoned several projects this year, due mainly to the country's political turmoil. In the first half, the company opened only three new complexes consisting of 17 screens.

Despite this, the outlook for Thailand's film industry continues to grow this year.

"The film market is expected to reach Bt5 billion, up from Bt4 billion last year," he said.

In the first half of this year, Major Cineplex recorded Bt3.77 billion in revenues for a net profit of Bt935 million, up 140 per cent year on year.

The Nation