A lot has just been discovered for the CMA theatres. The largest network of theatres in the United States had a difficult month after almost all theatres in the country had to close in mid-March due to the order of social exclusion. MAC has now issued a new financial plan, which has led to a significant increase in share prices.
MAC plans to sell the debt for $500 million, which will give it much more money to break into the diamond area. The funds of the proposed bonds will be returned in 2025. By the end of March, the theater network had $300 million in cash. The big problem is that the company also has almost $5 billion in debt, which puts it in serious danger of going bankrupt. The CMA should have said so in a statement.
Based on the important actions taken by the company, we believe that the current cash position is sufficient to survive the general cessation of operations until a partial restart in July. We believe that once the proposed bid becomes effective, the company will have sufficient liquidity to survive the worldwide suspension of operations until the partial opening of Thanksgiving.
Wall Street has kindly responded to this news and at the time of writing, the company’s shares have risen 30%. This is good news for cinemagoers who hope that the traditional exploitation of films will continue to be part of the film experience after all this. There’s a growing fear that people don’t want to go to the movies like they used to. While it is still in the air, it seems that the largest American chains can resume their activities, albeit to a limited extent.
The White House is preparing plans to reopen certain sectors of the economy in the coming weeks. The cinemas will be open from mid to late July. Initially, it will mainly be old films until the studios make new films available for screening. The theatres will also have to comply with the guidelines of social distance, which means a considerable reduction in the capacity of the theatres. They should also take additional disinfection measures.
Most studios have postponed their major releases to a much later date. Christopher Nolan’s shadow is still in 17th place. July, and Mulan Disney is at the end of the month. The studios were able to adjust their schedule to the opening of the theatres and the arrival of people. The situation changes quickly and many things can change from time to time. At least as long as AMC clings to life and hopes to be there when the dust settles. We’ll keep you informed of the situation. This news has already been broadcast by CNBC.
Author of various things online (mostly about movies) since 2013. The biggest fan of popcorn movies. An avid connoisseur of James Bond, Marvel and Star Wars. He has an incredibly fat cat named Buster and he always buys CDs. I have my reasons.