AMC Theatres has ‘substantial doubt’ it can remain in business

Local News

NEW YORK (WTVO) — AMC Theatres said Wednesday it has “substantial doubt” it can remain in business after closing its locations due to coronavirus.

According to CNN, the world’s largest theater chain expects to lose between $2.1 billion and $2.4 billion in the first quarter.

“We are generating effectively no revenue,” the company said.

AMC also said its revenue was down 22% over the same period last year.

“We believe we have the cash resources to reopen our theatres and resume our operations this summer or later,” AMC said. “Our liquidity needs thereafter will depend, among other things, on the timing of a full resumption of operations, the timing of movie releases and our ability to generate revenues.”

Movie studios have postponed most of 2020’s big releases.

A media report last month suggested that online retailer Amazon, which operates its own film production division, had held buyout talks with the struggling theater chain.

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