AMC Theatres said Tuesday that its existing cash resources would be “largely depleted” by the end of 2020 or early 2021 because of the “reduced movie slate for the fourth quarter,” as well as “the absence of significant increases in attendance from current levels.”
The company said it has two ways out of its cash crisis: Either more customers need to buy tickets, or it will have to find new ways to borrow money.
Getting butts in seats has proven a major challenge. As of October 9, AMC reopened 494 of its nearly 600 US theaters at a seating capacity between 20% and 40%. But AMC(AMC) isn’t filling the limited seats it’s offering: Since the US theatrical market reopened in the late summer, it has served more than 2.2 million guests. That represents an attendance decline of 85% compared to last year.
Boosting liquidity won’t be easy without a return to business-as-usual. It’s exploring…
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