Why the world's second largest movie theater chain may be filing for bankruptcy Photographer: Amir Hamja/Bloomberg via Getty Images Amir Hamja/Bloomberg/Getty Images this weekend as the Regal theater chain said it will shut down all 536 locations on Thursday. More than 7,000 movie screens will be dark in the U.S. Pedestrians pass in front of a Regal Cinemas movie theater at sunset in New York, U.S., on Tuesday, Oct. Greidinger added that the bankruptcy filing is “part of our ongoing efforts to strengthen our financial position and is in pursuit of a de-leveraging that will create a more resilient capital structure and effective business.” “The pandemic was an incredibly difficult time for our business, with the enforced closure of cinemas and huge disruption to film schedules that has led us to this point.” “We have an incredible team across Cineworld laser focused on evolving our business to thrive during the comeback of the cinema industry,” Mooky Greidinger, Cineworld’s CEO, said in a statement on Wednesday. The company warned late last month that a voluntary Chapter 11 filing was one of the options it was reviewing to reduce its debt. Cineworld also said in the filing that it “expects to operate its global business and cinemas as usual throughout this process.” The company added that it has access to nearly $2 billion in financing from existing lenders to keep operating. It also expects the action will “strengthen its balance sheet and provide the financial strength and flexibility to accelerate, and capitalize on, Cineworld’s strategy in the cinema industry.” The British company, which owns more than 500 movie theaters across the United States, said that it commenced Chapter 11 proceedings in the United States Bankruptcy Court for the Southern District of Texas to shed company debt. Cineworld Group - the world’s second largest movie theater chain and owner of Regal Cinemas - said Wednesday that it has filed for Chapter 11 bankruptcy protection.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |