Calling it is a "purely business decision", Yash Raj Films (YRF), the leading player in the Indian film industry, has inhibited its more than 10-year-old distribution contract with film producer Karan Johar's Dharma Productions.

Well, it is believed that Karan thinking about doing business minus the YRF have been making its way around the rumor mill for quite some time.

Mr. Rafiq Gangjee, Vice President (Marketing and Communication) said, “As always, Dharma Productions had offered some films to us. However, at this point in time we have taken a conscious decision not to acquire any films but to only produce and distribute our own.”

“They respected and accepted this. It is purely a business decision,” Gangjee said.

YRF’s alliance with Johar dates back to ‘Kuch Kuch Hota Hai’, which was Karan’s first movie in 1998.

Since then, Johar always sold his movies to the YRF for distribution including ‘Kabhi Khushi Khabie Gham’, ‘Kabhi Alvida Naa Kehna’ and ‘Dostana’.

The distribution rights of the his upcoming films ‘Wake Up Sid’ with Ranbir Kapoor and Konkona Sen Sharma and Rensil D'Silva’s untitled next project starring Kareena Kapoor, Vivek Oberoi and Saif Ali Khan, were also provided to YRF.

But, the reports said that the agreement did not become reality, and will be forwarded to Ronnie Screwvala's UTV Motion Pictures in Mumbai.

Karan's Dharma Productions has entered into an exclusive worldwide distribution contract with UTV Motion Pictures for its next two releases. The deal includes theatrical, home video, overseas, satellite and all other new media distribution rights at a cost of Rs 60 crore

Regarding his involvement with UTV, Karan said, “I have known and been in touch with Ronnie for a long time and I am glad I am finally getting a chance. His passion and sensibility towards understanding cinema is exceptional and I am looking forward to working with his company.”