The particular world’s biggest movie chain offers warned it could run out of money right at the end of the year, citing a dive in film-going and delayed film releases amid the coronavirus outbreak.
Despite reopening nearly all its theatres, AMC Entertainment Holdings said attendance remained down 85% in the US and 74% elsewhere.
AMC says it is aiming to raise money.
The particular warning follows rival Cineworld’s current decision to temporarily close the cinemas in the US and UK.
AMC, which has earlier said it is spending about $100m a month, told investors that it anticipated its cash to “be mainly depleted by the end of 2020 or even early 2021”.
How much money needed is “material”, the company added.
“There is really a significant risk that these potential options for liquidity will not be realised or that they can be insufficient to generate the materials amounts of additional liquidity that would be necessary until the company is able to achieve a lot more normalised levels of operating revenues, inch the firm warned in a submitting with US financial regulators.
‘We could reduce movie-going forever’
AMC, which is controlled by Chinese conglomerate Dalian Wanda Group, operated greater than 1, 000 cinemas globally before the pandemic.
While many are in the US, it also has more compared to 300 international locations via its Odeon and UCI Cinema subsidiaries.
In the US, restrictions because of the virus have kept theatre capability limited to 20%-40%. And in some important markets, such as California and Nyc, the firm’s cinemas have not however reopened.
The industry is rocked by decisions to delay releases of big-budget films like Wonder Woman 1984 and Mission impossible movie No Time To Die, that is now due for release within April 2021.
Within a recent interview, Wonder Woman movie director Patty Jenkins warned that movie-going was facing a real threat associated with extinction.
“If all of us shut this down, this will not have to get a reversible process, ” she stated. “We could lose movie theatre-going forever. ”