Financial drama hits Bollywood as accountants go on set Story Highlights

MUMBAI, India (CNN) -- Bollywood's recent financial growth has been as dizzying as the swirling dancers, colorful costumes and pulsating music that typify the industry's films.

Mumbai's once booming flamboyant Hindi-language film industry is hit hard, as overseas investment dries up.

Foreign money has poured into Mumbai's flamboyant Hindi-language film industry, which churns out more than 1,000 films each year. Twice as many films as Hollywood -- and for a fraction of the cost.
But a financial drama has arrived on the movie sets and production suites of India's largest city courtesy of the world economic downturn and a producer's strike -- fewer films are being made; less tickets are being sold and money is suddenly tight.
"It's become more difficult now to green light films; to be able to think of developing films," Nikhil Advani of People Tree Films who works as both a producer and a director told CNN.
"Today you think twice how you're going to be able to put that thing together before you commit any money to it."
It's the new reality: Money that was gushing into the market from abroad to finance films a year and a half ago is now just trickling in.
Production of Bollywood movies has only just resumed, having ground to a halt for seven weeks due to a producer's strike. The strike is finally over, but money is still tight and this is affecting the number of films going into production.
Don't Miss
Lars von Trier on 'Antichrist'
New Coco Chanel biopic
Scorsese goes digital
"The number of movie projects has come down by almost 30 percent," Farokh Balsara, a partner at business consultants Ernst & Young told CNN. Balsara heads Ernst & Young's media and entertainment division in Mumbai and looks at trends in the market.
What's more, after several years of fast-rising film revenues due to India's exploding middle classes who were willing to spend, Bollywood finds itself back on a budget.
If you don't have a solid financial plan these days, getting funding for a film is nearly impossible. Throwing around a known filmmaking family name and getting a star signed up won't cut it anymore. "The easy finance is a thing of the past," Balsara told CNN.
Some producers are asking big name talent to take a cut in their pay or at least get paid on the "backend." In other words, waiting until the movie releases -- if it does well you get a piece of the pie; if not, you eat it.
The Screening Room
Bringing you the inside track on all aspects of the movie business around the globe.
See more from the show »
In some cases, accountants are actually on movie sets crunching numbers daily to make sure the budget is on target. "They are getting into daily audits," Balsara said.
The thought of an accountant on set might make some producers shudder, but many believe the slowdown has done Bollywood a favor.
"Is that a good thing or a bad thing?" says Advani of the changes the slowdown has forced on the way he produces upcoming films. "I think it's a very good [thing]."
He currently has several in the works: an animated film in post-production called "Ab Dilli Door Nahin" and a gritty action-packed thriller "Basra," named after the Mumbai street term for heroin.
The slowdown has made Bollywood focus on making better, not more movies, according to Advani: "I don't call it a credit crunch, I call it a credit correction.
"I think what has happened is it's corrected itself, because I think Bollywood or the Indian film industry was going absolutely crazy last year."

Suspected drone attack kills at least 5 in Pakistan

ISLAMABAD, Pakistan (CNN) -- A suspected drone strike on Pakistan's border with Afghanistan killed five to seven people Thursday, intelligence sources said.
The attack took place about 18 km (11 miles) west of Wana in South Waziristan. The area is thought to be under the influence of Mullah Nazir, a Taliban commander.
Intelligence sources, who did not want to be named because they are not authorized to comment publicly on matters, said the drones fired twice.
Two missiles hit the area first. When people gathered around the attack site, two more missiles were fired, the sources said.
Don't Miss
Analysis: The changing fight in Pakistan
South Waziristan is part of Pakistan's tribal region, the Federally Administered Tribal Areas. The region has seen a spike in attacks carried out by U.S. drones, on what are thought to be Taliban targets.
The U.S. military in Afghanistan routinely offers no comment on reported cross-border strikes. However, the United States is the only country operating in the region known to have the ability to launch missiles from drones, which are controlled remotely.
Pakistan has complained that the attacks have killed hundreds of civilians.

Obama using online tools to advance Cairo speechStory Highlights

(CNN) -- A day before President Obama was to give a widely anticipated speech in Cairo, Egypt, the administration was using online networking tools to further reach out to the Muslim world.

This government site invites people to receive highlights of the president's speech via text message.

"In the spirit of engagement, we invited the international audience to submit comments via text message," reads a page at America.gov, which will begin posting messages as soon as Obama's speech begins, about 6:10 a.m. ET Thursday.
People at the site may also sign up to receive text-message highlights from the speech. The service is available only for people living outside the United States.
The form is available in English, Arabic, Persian and Urdu.
Obama's speech, which he will deliver at the Great Hall at Cairo University to an anticipated crowd of about 3,000, will be an effort to improve the image of the United States among Muslims. That image has been tarnished in the eyes of many of the world's estimated 1 billion Muslims who have been critical of the U.S. role in the Middle East over the past few years.
"The speech will outline his personal commitment to engagement, based upon mutual interests and mutual respect," White House spokesman Robert Gibbs said last week. "He will discuss how the United States and Muslim communities around the world can bridge some of the differences that have divided them.
Don't Miss
Obama looks to reach the soul of the Muslim world
Egyptians: 'It can't all be rainbows and roses'
America.gov
"He will review particular issues of concern, such as violent extremism and the Israeli-Palestinian conflict. And he will discuss new areas for partnership going forward that serve the mutual interests of our people."Obama revolutionized the use of technology as a political tool during his presidential campaign and in March became the first president to address questions from the public live on the Internet. Political observers believe that his administration wants to use the power of the Web to create a more transparent style of governing that will help win public support.
In that vein, the White House also has taken talk about Obama's Cairo speech to the social-networking site Facebook. Administration officials estimate that there are 20 million users of Facebook in the Arab countries and are setting up live chats on the site to get a conversation going online.
The U.S. Consulate General in Jerusalem has created a page "[a]s part of our continued efforts to develop and strengthen cooperation with our Palestinian and international audience."
The page's lone discussion topic, "What are your expectations of the Speech?" had just one response as of Wednesday afternoon.

Man Utd net reported $131M sponsorship

CNN) -- Manchester United have netted a sponsorship deal with American insurance giants Aon Corporation that will reportedly earn the Premier League champions a staggering $131 million over four years.

United's worldwide appeal has brought them a reported record $131m sponsorship with a U.S. insurance giant.

That would send United to the top of football's sponsorship income league ahead of the likes of Bayern Munich, Real Madrid and Chelsea.
United chief executive David Gill did not reveal the figures involved but confirmed that the Chicago-based Aon brand will take over from another another U.S. company AIG on the club shirts from the start of the 2010/11 season.
"Today's announcement clearly strengthens our position as one of the biggest clubs in world football," Gill told the United Web site after unveiling the global partnership and principal sponsorship agreement.
Gill confirmed: "We are delighted to be entering such an important relationship with a company of the stature of Aon and to have its logo adorn our shirts from the start of the 2010/11 season.
"We look forward to being closely aligned with the world leader in risk management, a firm which shares our values and is an exciting partner for Manchester United."
President and chief executive officer of Aon, Greg Case, added: "It is a unique opportunity when two leaders in their respective fields can come together in a partnership such as the one we are announcing today.
"Manchester United has one of the most recognised sports brands in the world. David (Gill) and his team are all about winning and about excellence; the same holds true for the Aon team. We play to win in our business, and that is why we believe this partnership will create tremendous benefits for both organisations worldwide.
"While we are delighted that our brand will be showcased to over 330 million fans of Manchester United as well as the countless followers of football worldwide, we also are extremely excited about the opportunity to maximise the value of this partnership globally."

Exhausted Boyle 'checks into clinic'Story Highlights

LONDON, England (CNN) -- Singing sensation Susan Boyle has been taken to a private clinic suffering from exhaustion following her shock defeat in the final of "Britain's Got Talent," British media reported Monday.

Susan Boyle was surprisingly beaten in Saturday's "Britain's Got Talent" final.

TalkbackThames, the television company which makes the hit series, said the 48-year-old had been left "exhausted and emotionally drained" after Saturday's show in which she was beaten by dance act Diversity.
"Susan has been seen by her private GP (general practitioner), who supports her decision to take a few days out for rest and recovery. We offer her our ongoing support and wish her a speedy recovery," TalkbackThames said in a statement.
London's Metropolitan Police confirmed that officers had been called to a central London hotel and accompanied a woman to a clinic by ambulance, but didn't name the woman.
"We were called at about 18:00 on Sunday to a central London hotel to doctors assessing a woman under the mental health act. She was taken voluntary by ambulance to a clinic. At the request of doctors, police accompanied the ambulance," the police said in a statement.
The Priory clinic, where Boyle is reported to have been admitted, declined to comment, citing patient confidentiality.
Don't Miss
Dance group beats Boyle in 'Talent' final
Boyle backlash -- but Susan set to cash in
Blog: No Hollywood ending but Boyle wins hearts
Boyle, from Blackburn in Scotland, stunned viewers when she first stepped up to the microphone on "Britain's Got Talent six weeks ago with her audition performance of "I Dreamed a Dream" from the musical "Les Miserables" quickly became one of the most watched videos on YouTube.
But Saturday's final ended in disappointment for Boyle who wowed the crowd with an encore performance of the song that first made her so famous -- earning a standing ovation from the crowd and judges.
"You had the nerve to come back here tonight, face your critics and beat them," judge Simon Cowell told her. "You did it."
Boyle had vowed to leave the television show before the finale, show judge Piers Morgan told CNN's Larry King on Friday.
"She's just had a pretty rough week because I think the full enormity of what has happened to her is beginning to hit home," Morgan said.
"Earlier this week, she had a lot of tears. ... At one stage, she was going to leave the show. So, fortunately, we've calmed everything

Fears for 228 as Air France jet vanishes

(CNN) -- A French passenger aircraft carrying 228 people has disappeared off the coast of Brazil, airline officials say.

A file photo shows an Air France jet on take off. Some 228 passengers are aboard the missing aircraft.

Air France told CNN the jet was traveling from Rio de Janeiro to Charles de Gaulle airport in Paris when contact was lost.
The airline said flight AF447 was carrying 216 passengers in addition to a crew of 12. The plane is listed as an Airbus A330.
A crisis center is being set up at Charles de Gaulle where the plane had been due to land at 11.15 a.m. local time.
Reports said an air force search and rescue operation was underway around the Brazilian island of Fernando de Noronha, 365 kilometers (226 miles) off the mainland.
Don't Miss
iReport.com: Send your photos, videos
The Airbus 330 is a twin-engine long-range aircraft introduced into commercial aviation in the 1990s. CNN air travel expert Richard Quest says the plane, a workhorse of trans-Atlantic routes, has an impeccable safety record.
"It has very good range, and is extremely popular with airlines because of its versatility," he said.

Pakistan tightens security after terror attacks

ISLAMABAD, Pakistan (CNN) -- Pakistani authorities increased security throughout the capital Friday after this week's deadly bombings in Lahore and Peshawar, and a threat by the Taliban to carry out further attacks.

Smoke billows from a fire at the site of a marketplace bomb in Peshawar, Pakistan, on Thursday.

1 of 2


var CNN_ArticleChanger = new CNN_imageChanger('cnnImgChngr','/2009/WORLD/asiapcf/05/29/pakistan.peshawar.blast/imgChng/p1-0.init.exclude.html',1,1);
//CNN.imageChanger.load('cnnImgChngr','imgChng/p1-0.exclude.html');
All vehicles must go through checkpoints before entering Islamabad, the city's deputy police inspector general Bin Yamin told CNN. Three people have been arrested in Islamabad in connection with the current threats, he said.
The Pakistani Taliban claimed responsibility for Wednesday's suicide attack in Lahore that killed 27 people. It also threatened to continue attacking cities in Pakistan until the military ends its operations against Taliban militants in the country's northwest.
There has been no claim of responsibility for the Thursday attacks in North West Frontier Province.
Officials said they believed bombers who killed 12 victims Thursday may have caused some of the blasts to lure people nearer before detonating further explosions.
The attacks targeted Dera Ismail Khan and the provincial capital, Peshawar, where government forces have waged a massive operation against Taliban militants.
The deadliest of the attacks occurred early Thursday evening. Timed explosive devices on two parked motorcycles detonated back-to-back, killing six people at two crowded adjacent bazaars, said Shafqat Malik, Peshawar bomb disposal squad chief.
Two children were among the dead, and at least 75 people were wounded. Three suspected militants were killed by police.
After the bazaar attacks, several of the suspects fled to a rooftop, where they fought a gunbattle against police. Three suspected militants were killed, police said.
The militants are going after both civilians and military targets, and some analysts believe Pakistan should prepare for more attacks as its military operation continues against the Taliban.
Don't Miss
Pakistan army spokesman fights media war
Taliban claims responsibility for Lahore suicide attack
Taliban seek return to peace deal in Pakistan
Refugees survive on food 'cows won't eat'
"This will increase to an extent because they (the militants) are on the run and when they are on the run they have to do something somewhere," military analyst Gen. Jamshed Ayaz Khan said.
The Pakistani military reported Friday that its forces killed 28 "terrorists" in the Swat region and apprehended seven others -- including several commanders -- in the past 24 hours. Four Pakistani soldiers died in a roadside bombing attack on Thursday near Mingora, the largest city in the Swat region, the military said.
The fighting has uprooted some 2.4 million Pakistanis from their homes in the northwestern region of the country, according to the latest data from the United Nations.
Peshawar police recovered two suicide vests and said they thought the attackers might have caused initial blasts to lure more people to the area before detonating additional explosives.
Thick smoke engulfed the streets after the attacks, and GEO-TV showed dazed people mingling and running amid burned-out vehicles and mounds of building debris. Firefighters doused flames, and other emergency workers scrambled to rescue people from rubble.
In another bombing Thursday, three policeman and one civilian were killed on the outskirts of Peshawar, authorities said.
Another suicide bombing occurred later in Dera Ismail Khan, the province's southernmost city. A police officer and a civilian were killed, authorities said. At least 12 were wounded.
Peshawar and Dera Ismail Khan are more than 250 kilometers (155 miles) apart.