AMC Entertainment shares are plunging after rival movie theater chain Cineworld warned that it might file for Chapter 11 bankruptcy.
AMC, the world's largest movie theater chain, joined the ranks ofas retail investors bet on a turnaround and drove its stock up more than 1,000%. Its shares fell more than 38% Monday to $11.05 after officials at U.K.-based Cineworld said in a statement Monday that it is trying to restructure its debt, which could include declaring bankruptcy.
"The strategic options through which Cineworld may achieve its restructuring objectives include a possible voluntary Chapter 11 filing in the United States and associated ancillary proceedings in other jurisdictions as part of an orderly implementation process," the company said. as customers shunned group settings. Adding to their challenges, some film studios are foregoing theatrical releases altogether and instead have premiered highly anticipated movies on streaming services.
AMC and Cineworld hoped movie-goers would return to theaters en masse once a majority of the pandemic restrictions were lifted, but patrons haven't filled seats in the volumes companies wanted. A May found that many Americans continue to avoid theaters because of ongoing COVID-19 concerns as well as high movie ticket prices.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Have more money than you need in retirement? Here are 8 ways to invest it💰 Sometimes investors end up with money they won’t ever need and want to know what to do with it. Here are 8 ways to invest your excess money in retirement.
Read more »
AMC CEO optimistic on future as rival Cineworld shares sinkCineworld, owner of Regal Cinemas, expects lower levels of admission through November 2022 due to a 'limited film slate.' It's reportedly planning to file for bankruptcy.
Read more »
Cinemas under spotlight as Cineworld stares at possible bankruptcyThe potential bankruptcy of world No.2 cinema operator Cineworld is shining a spotlight on the wider industry as it struggles to recover from the pandemic and compete with the growing popularity of streaming.
Read more »
Cineworld Responds To Bankruptcy Chatter: Options Include “Possible Voluntary Chapter 11 Filing” In U.S.In response to recent speculation, Cineworld has provided an update to its August 17 announcement regarding an evaluation of strategic options to both obtain additional liquidity and potentially re…
Read more »
Cineworld confirms it is mulling possible voluntary Chapter 11 filing in U.S.Cineworld was confirming press speculation, following Friday's Wall Street Journal report it was preparing to file for bankruptcy.
Read more »
Regal Owner Cineworld Confirms Chapter 11 Bankruptcy Filing Among “Strategic Options”The world's second-biggest cinema chain was reacting to media reports from Friday.
Read more »