I hate when production companies dupe people into doing work on a movie "on spec". For those who don't know, on spec means that the work is done at a reduced upfront cost with the expectation of a share of profits after release. What the poor schmucks who fall for this don't know is that no movie has made a profit for production companies in over 50 years. At least not as far as paper is concerned. After a movie is made, production companies have to get it out there. The companies who do this are known as distributors, and they charge the production company to do the distribution. Now for the movie magic, the same company that owns the production company also owns the distributor, so they are essentially charging themselves more money than the movie can ever make to do the job. The legal loophole that they fuck people with is that, even though they are owned by the same company, they are separate legal entities, so contracts with one do not bind the other. The on spec contract is with the production company, but the distributor is the one who collects the money from the theaters, which it then funnels into the parent company. The production company shows a loss on the books, so the on spec clauses never trigger. Look into Life of Pi and Rhythm and Hues if you can find the right articles about what happened.

Oh, and remember how I said that theaters pay the distributors? Those contracts are almost as straightforward as the on spec ones. The standard layout is that the theater pays some percentage of the box office to the distributor for opening week, then each week after it reduces by some fixed percent until reaching 0. The initial percentages vary, as do the reduction, but standard is 80/10 from what I understand. The most abusive I have ever specifically learned the details for was a Disney production, I belive it was the first of the new Star Wars movies, but it was a 99% opening week, decreasing by 1% per week for 4 weeks, then 5% thereafter. Oh, and they also tried to strongarm the theaters into having to fork over 50% of concessions as well, which was the first time I had ever heard of that. Luckily the concessions thing was fought and won by the theaters, but it is atrocious that they even tried. Anyway, that is why concessions are so expensive, because theaters make virtually 0 money off box office sales since the bulk of a movie's gross revenue comes from opening week box office. Do your local theater a favor if you genuinely enjoy them existing, buy a fountain drink or a popcorn. Those are the highest profit margin items on the menu and they do actually need the money.