Are Cineworld’s Fresno Theaters at Risk After Bankruptcy Filing?
FRESNO, Calif. (KSEE/KGPE) — Theaters around the world, including some in the Central Valley, have been impacted by the effects of the pandemic and the rise of streaming services. Companies such as Cineworld had to make emergency decisions to stay afloat.
Cineworld has 747 theaters and 9,139 screens worldwide. That number includes five theaters here locally (four in Fresno and one in Clovis) under the Regal brand (whose parent company is Cineworld).
Despite blockbusters such as Top Gun: Maverick, Jurassic World: Dominion, Spider-Man: No Way Home, and others, there simply aren’t enough people going to the movies and not enough movies being released by the studios to keep the company afloat. which led to Cineworld filing for Chapter 11 bankruptcy in the Southern District of Texas earlier this month.
According to Deadline, a U.S. bankruptcy court judge has granted Cinemaworld immediate access to $785 million of a financial facility so they can meet their ongoing obligations, including to vendors, suppliers, and wages and benefits. employees.
It had been reported that the company only had $4 million in cash. Judge Marvin Isgur, in his closing remarks, went so far as to say that without this decision, the company could have been closed.
So what does this mean for our local Regal sites?
For now, they will continue to operate “business as usual” according to a statement from Cinemaworld CEO Mooky Greidinger.
“We continue to welcome our guests to theaters around the world, which will not change during Chapter 11 affairs, and expect all membership programs, including Regal Unlimited and Regal Crown Club at USA and Cineworld Unlimited, continue as usual. ”
-Mooky Greidinger, CEO of Cineworld
Greidinger also said he expects employees to continue to receive their regular wages and benefits without interruption. So for now, we can rest assured that Cineworld locations in our area will remain open and staffed to take advantage of the upcoming slate of fall and winter releases.