British cinema operator Cineworld Group, owner of Regal Cinemas, has proposed a plan to emerge from Chapter 11 bankruptcy. In what is described as a “debt-for-equity swap,” the company would reduce by some $4.53 billion the indebtedness of its principal U.S. claimants, who would be getting a stake in the company in exchange for waiving their claims. The group companies have commitments for roughly $1.94 billion in debtor financing from lenders to help ensure Cineworld operations can continue during its anticipated reorganization, which is subject to court approval. The transaction is expected to “result in very significant dilution of existing equity interests.” Continue reading Regal Parent Cineworld on Path to Chapter 11 Restructuring

When COVID-19 hit last year, AMC Entertainment had just taken on $4.8 billion in debt, a combination of a modernization effort that started in 2012 and acquiring competing movie chains to become the world’s largest movie theater company. Now, almost a year into the pandemic, AMC’s debt has risen to $5.5 billion — not including deferred rental payments. Pre-pandemic, AMC generated $5.5 billion a year in revenue. AMC Entertainment chief executive Adam Aron was the first to ink a deal for a limited exclusivity window. Continue reading AMC Chief Exec Adam Aron Still Optimistic in Perilous Times

A day after the opening of James Bond film “No Time to Die” was pushed to April 2, 2021, Cineworld stated it was considering closing 536 Regal Cinema theaters across the United States and 127 Cineworld and Picturehouse Cinemas locations in the United Kingdom. Now, Cineworld has confirmed the temporary suspension of its U.S. and UK operations starting Thursday, October 8, blaming the lack of new films in the pipeline. Cineworld is the UK’s biggest cinema operator and the second largest chain in the U.S. The closure will impact about 45,000 employees. Continue reading Cineworld Temporarily Suspends Operation of Regal Cinemas