If any company ever needed to quit the doom diet, it’s AMC. We realize time’s are challenging and they need to tell shareholders something, but does it have to be that they have “substantial doubt” their business can continue to stay afloat? I mean, really.
Negative prophetic hypotheticals aren’t even remotely encouraging for businesses.
Sure, AMC are burning cash while closed and if they open and don’t do enough business they’ll burn reserves even faster. The problem is the longer they stay closed, I’d argue, the worse it all gets.
The theater chain, which closed its theaters earlier this year, expects to have lost between $2.1 billion and $2.4 billion in the first quarter.
AMC Theatres has ‘substantial doubt’ it can remain in business – CNN
I’ve been saying all along that they should reopen as soon as it’s safe to do so. More and more businesses are being allowed to reopen. We’re in June now, and while there are no new wide release movies available, it seems prudent to me that they should get the theaters open — again, if it’s safe to do so — then start showing movies.
Or are they literally going to wait until the week of Tenet on July 17? I’ve heard they may reopen in July, but not seen any actual date on the AMC website. Has anybody else?
Movies, Movies, Movies 
Cineworld seem to have re-structured for opening in the UK, I guess that’s the kind of deal AMC need to broker.
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Yes, something.
They have over $700 million in cash reserves, but staying closed and telling people there is “substantial doubt” they will be able to stay in business because they have almost zero revenue seems counter-intuitive.
Just start opening in areas where it is safe to do so. I’m not getting the whole deal of it’s too expensive to open. It’s going to cost the same amount to open whether they do it now or wait another month or more to do so. Get open, start showing movies, figure out how to operate lean and mean, but get open.
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Right. They can make a loss while the product gets back to previous levels; that will take a while. But there’s no point in waiting for normal to return; we have to improvise and change. Audiences have lost the habit and the thread; it’ll take time to regain confidence.
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