Cineworld, the world’s second largest movie theater chain, files for bankruptcy
The company added that it has access to nearly $2 billion in financing from existing lenders to continue operating. Cineworld also said in the filing that it “plans to operate its global business and theaters as usual throughout this process.”
“We have an incredible team across Cineworld laser who are focused on evolving our business to thrive as the movie industry returns,” Cineworld CEO Mooky Greidinger said in a statement on Wednesday. “The pandemic has been an incredibly difficult time for our business, with the forced closure of cinemas and a huge disruption to movie times that has gotten us to this point.”
Greidinger added that the bankruptcy filing is “part of our ongoing efforts to strengthen our financial position and is aimed at deleveraging that will create a more resilient capital structure and an efficient business.”
“This will allow us to continue executing our strategy to reinvent the most immersive cinematic experiences for our guests through the latest and most advanced screen formats and enhancements to our flagship cinemas,” he said. added. “Our goal remains to further accelerate our strategy so that we can strengthen our position as the ‘best place to watch a movie’.”
The economy has improved for cinemas, but a return to normal is still a long way off.
— Mark Thompson and Anna Cooban contributed reporting.