AMC Entertainment Holdings, the world’s largest movie-theater chain, registered a $2.2 billion net loss in the first quarter, underscoring the devastating economic blow the pandemic has had on the exhibition industry. AMC saw “virtually no revenue” in the two weeks of the quarter ended March 30 when theaters closed — a 14-day period that devastated the company’s results, according to the Wall Street Journal.
- The fallout: CEO Adam Aron said he expects about 97% of the company’s U.S. theaters to reopen in July, but that heading into 2021 and 2022 the company will consider closing an unspecified number of unprofitable locations.
- New reality: With theaters closed, studios have shipped would-be theatrical releases to streaming services and digital rentals. When Comcast’s Universal Pictures said it would pursue such a strategy even once theaters reopen, AMC declared it would not book the studio’s movies on his screens. [WSJ]