AMC Theatres Says 'Existing Cash Resources' to Be Depleted by End of 2020 or Early 2021 | THR News - video Dailymotion

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Movie theater giant AMC Theatres said on Tuesday that its "existing cash resources would be largely depleted by the end of 2020 or early 2021" if current trends persist.

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00:00AMC Theatres revealed on Tuesday that it's running out of its cash resources.

00:05The movie theater giant explained that if current trends persist,

00:09existing cash resources would be largely depleted by the end of 2020 or early 2021.

00:15Thereafter, to meet its financial obligations as they become due,

00:18the company will require additional sources of liquidity or increases in attendance levels.

00:23Major movie releases that were previously scheduled to be released in the fourth quarter

00:26have either been rescheduled for 2021 or slated for streaming releases instead.

00:31AMC added certain competitors have decided to temporarily re-close their theaters

00:35in light of the ongoing pandemic and the reduced slate of movie releases,

00:39which may further exacerbate the trend.

00:41The company said it believes its cash burn to date is in line with prior expectations.

00:46However, given the reduced movie slate for the fourth quarter

00:48and in the absence of significant increases in attendance from current levels,

00:52its existing cash resources will run out.

00:55Among measures the firm is considering to boost its liquidity are additional debt

00:59and equity financing and further re-negotiations with landlords

01:02regarding its lease payments, among other measures.

01:05For more on this story, head to THR.com.

01:07For The Hollywood Reporter News, I'm Neha Joy.

AMC Theatres Says 'Existing Cash Resources' to Be Depleted by End of 2020 or Early 2021 | THR News

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