*** Coronavirus Impact on the Entertainment Industry ***

175,671 Views | 1893 Replies | Last: 2 yr ago by TCTTS
TCTTS
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AG
Eh, you're being a little over dramatic.

For one, what we're going back to, at first, won't be "100 or 200 people" in a theater, Theaters will be at 50% max capacity for months, likely, if that, and there will be all kinds of cleaning/disinfecting protocols between showings. Again, whether you trust some 17-year-old to properly disinfect is one thing, but I think standards will be high, simply due to the concern, which managers will hear about nonstop.

As for the whole streaming thing, even if every major theater chain went under, and people weren't comfortable sitting in packed theaters again until this time next year, studios would STILL make more money in the long run by waiting to release their biggest movies in theaters, when all of the chains were inevitably resurected by new investors. There's simply too much money to made theatrically compared to what would be made streaming those same titles exclusively.

Theater-going will no doubt be a strange and rocky experience for the next six months or so, but to act like this is enough to completely blow up the insanely profitable business model that theatrical releases are for studios is disingenuous. Yes, this will almost assuredly kill the 90-day theater-to-streaming window, but by this time next year, if not far sooner, the theatrical experience will be as profitable as ever.
TCTTS
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https://collider.com/amc-theaters-reopen-plans-tenet/

Quote:

"As we plan our reopening, the health and safety of our guests and associates is our absolute highest priority. To be able to open, we also need a line of sight into a regular schedule of new theatrical blockbusters that get people truly excited about returning to their favorite movie theaters. Those blockbusters are scheduled to return this summer, beginning with Warner Brothers' Tenet and Disney's Mulan, with many more major titles scheduled immediately thereafter."

"While we expect to open our theaters in the weeks ahead of these new blockbusters, utilizing creative programming of immensely popular previously released films, we would be wise to do so only directly in advance of the release of major new movie titles. AMC is currently working through every detail required to successfully showcase these exciting new releases in an environment that's safe and welcoming for moviegoers, and we will share those details as we get closer to the dates when our theaters will reopen."

Basically, "We'll start showing some classics until the new releases start playing, but we're not going to start showing the classics until we know for sure that the new releases aren't budging." That said, with Warner Bros. publicly committing to release Tenet in July as long as theaters are open, and Disney basically saying they'll do the same with Mulan a couple weeks later, knock on wood, but it really is starting to look like theaters will be open again come late June/early July, starting with "immensely popular previously released films." Followed by Tenet and Mulan in the second half of July, a handful of additional new films in August, and then what looks to be a fairly traditional slate for September on into the fall. Cannot wait.
Satellite of Love
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C@LAg said:

TCTTS said:


https://variety.com/2020/film/news/amc-theatres-sued-not-paying-rent-1234587733/
from a business POV, it makes sense. Get the lawsuit started now before AMC declares bankruptcy
AMC is backed by a Chinese conglomerate. They won't go under.
bad_teammate said on 2/10/21:
Just imagine how 1/6 would've played out if DC hadn't had such strict gun laws.

Two people starred his post as of the time of this signature. Those 3 people are allowed to vote in the US.
Fairview
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I heard it was the German company Madrigal Electromotive.
Brian Earl Spilner
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God, if I'm able to watch something like Star Wars, Empire Strikes Back, BTTF, or any other classic in the theater once they reopen, I'm there will bells on.
TCTTS
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https://collider.com/spider-man-3-into-the-spider-verse-2-new-release-dates/


https://collider.com/thor-4-doctor-strange-2-new-release-dates/
MBAR
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SF2004 said:

Hollywood holding out for the theaters will be disastrous for both.

Time to cut ties with an antiquated business model and go direct to home at a premium. I think there is a market for $20-$40 home rentals.

The think AMC and Regal will be hard pressed to make it through this. Too much overhead and consumer confidence will be shot for mass gatherings for a long time.

I am not a virus will kill us all (as said earlier) but when we start to open back up I am not going to be be bopping into a dirty theater to sit with 100 or 200 people in a chair that has been used by multiple people all day right off the bat. It will take a lot of time before that confidence is back.
Yeah I know others here are ready to go back now, but I am not in that group. It'll be awhile for me.
Fairview
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TCTTS said:


https://collider.com/thor-4-doctor-strange-2-new-release-dates/


I'll take this trade any time!
TCTTS
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The headline is a bit misleading. They're not trading release dates. Thor is only moving up a week.
Brian Earl Spilner
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AMC's latest internal email. (Good news for TENET.)

Quote:

Full message:
> **NOW WHAT?**

> 

>I hope that you all are healthy and safe. Your safety is extremely important to me and to AMC, and will require thoughtful planning by AMC for the time when we reopen both our theatres and our various regional, divisional and global headquarters offices, whenever that will be.
>
>  

>**$500 MILLION IN NEW MONIES ARE IN OUR ACCOUNTS**

>  

>With the completion on Friday of a new $500 million financing, the recent press reports of financial disaster for AMC in the next 2 or 3 months have happily been proven to be flat out wrong. What a relief.



>We got the money! Added to what was already in our coffers, more than $750 million now sits in our bank accounts. Sounds like a huge number right? Well think about this. Last year, in 2019, AMC went through $750 million in total spending every fifty days.



>Of course, with all our theatres closed, we have drastically reduced our expenses in 2020. As you know far too well, furloughs have hit every level of AMC, including all of our senior officers and me. So, our payroll expense is way down. There are no movies showing, so there are no film rents. We are working with our theatre landlords to defer theatre lease payments. With no activity at our theatres, we are not buying supplies. Capital investment spending has been put on almost a complete halt.



>With no revenues coming in, we simply had to have this slashing of expenses. And as we look ahead, we will need to maintain our relentless focus on keeping spending down. This is because we still have plenty of fixed cost bills that must continue to be paid. So, our current situation is that we tap into and reduce our cash reserves every single day.



>We have said publicly that the monies we now have in hand can guarantee our company's survival at least until the end of November of 2020, even if all our theatres stay closed. And, we have already put other strategies into motion immediately to further increase the amount of cash we have on hand, as we strive to lengthen our financial runway well into 2021.

>  

>**LET'S GET OUR THEATRES OPEN**

>  

>The best thing we can do to stop the cash drain that comes from having continuing expenses and no revenues is to get our theatres open. The sooner moviegoers buy tickets from us again, and drinks (both soft drinks and harder drinks) from us again and popcorn and other food items from us again, the sooner we will get you back to work and the sooner we will increase rather than decrease our cash reserves.

>  

>**EASIER SAID THAN DONE**

>  


>But to get our theatres or offices open, all of the following conditions must be true:



>1. It must be lawful to re-open our theatres and offices. Many parts of the U.S., and many countries across the globe, are still looking at shelter-at-home orders and/or prohibitions against gatherings in large groups.



>2. It must be safe to re-open our theatres and offices. We will not and cannot open back up, if our guests or associates are not safe. You can be sure that we are actively exploring all sorts of possibilities to ensure safety for our guests and for our associates. Masks, gloves, new cleaning protocols, wipes, temperature scanning, social distancing and other strategies are all being explored. Not every idea will be implemented, but the totality of our actions will be comprehensive and convincing. And we won't allow ourselves to buckle under political pressure to open prematurely, if that puts our people or our guests at grave risk if we do.



>3. It takes time to re-open 1,000 theatres. We will have to re-supply all of our theatres. We will have to bring back our employee teams, and train them on new coronavirus related procedures. We will have to convince our guests to come back to our theatres again. From beginning to end, to ramp up and open again, that all could take one to four weeks of lead time depending upon the location, and perhaps up to eight weeks or longer to get everything back open.



>4. It also Is crucial that we have a line of sight into blockbuster movie titles coming soon. We may open some theatres with previously released popular films, movies that have been shown on DVD's and on television for months if not years. We can not do so for too long, though, as many of our theatres are not likely to be all that successful merely with older film product. To run a network of theatres as large as AMC and Odeon, we will need new movie releases to be on the horizon. Right now that commences with Warner Brothers' Tenet (which currently is slated to release July 17) and Disney's Mulan (which currently is slated to release July 24).



>5. And finally, it will take some cooperation from this dreadful horrid virus that has put the entire world on lockdown these past few months. Right now it is only April, and no one, literally no one, really knows for sure what the world will look like in June and July. Will the virus be in some kind of check, such that life can return to some new kind of normal then, and what would that new normal look like? Or will the virus still be running strong then, still giving the world fits and scaring consumers, even as summer starts. The only thing we really know is that 30 days from now and 60 days from now and 90 days from now, we will know more than we know today. No matter how you slice it, these are uncertain times.



>Take these five factors together, it seems extremely unlikely that AMC staffs up or gets anything more open than it is now in the month of May. Openings in June and July are possible but not definite. It all will depend on the status of each of the five factors described above. Is it possible that June and July will be our months for the lights of AMC and Odeon to shine brightly once again? Hopefully, yes. But is it possible that our re-opening is delayed >beyond then? If life has taught us all anything in the past couple of months, it is literally that anything is possible.

>  

>**YOU AND AMC**

>  

>You are incredibly important to AMC. So, we will continue to brief you, and let you know the latest news as soon as we can.



>Until that next communication, be smart, stay healthy, stay safe.

>  

>Adam

>  


>Adam Aron
>CEO and President
>AMC Entertainment

>Proud to Offer the Most Movie Theatres in the World
TCTTS
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https://www.forbes.com/sites/scottmendelson/2020/04/26/box-office-tenet-must-save-hollywood-wonder-woman-robert-pattinson-john-david-washington-imax-chris-nolan/
FL_Ag1998
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Well, I for one will be there opening weekend whenever it does come out. Nolan is an absolute in-theater must-see for me.
TCTTS
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Same.
Teddy Perkins
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Amazon Prime is streaming some SXSW films for free for the next 10 days (until May 6th). List available here. Which are worth checking out?
littlebitofhifi
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Texas opening movie theaters effective May 1st with 25% occupancy per Abbott's current press conference.
TCTTS
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Good luck finding a theater that can actually open then. Both AMC and Cinemark have said they're not opening before late June/early July and that it's going to take weeks to stock up again, re-hire/re-train staff, etc. Not to mention, there won't be new movies to show until July, and it's going to take time to program/schedule "classic" blockbuster content to show until then.

That said, good to see things starting to move toward normal again...
TCTTS
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Probably the biggest movie to date that will now skip a theatrical release altogether and go straight to streaming. Judd Apatow's next big comedy, originally set for June 19, will now release digitally on June 12...



Fairview
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Is there a trailer out for that movie. I probably missed it but I'm not seeing it anywhere.
TCTTS
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AG
Not yet, but I imagine one is coming relatively soon.
John Matrix
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So, with Texas opening up on May 1st-at least partially-what exactly does that look like concerning movie theaters? I know there are no actual new movies being released, but I could see the Alamo drafthouse maybe showing some classics for a while. Those in the know, what are the possibilities here?
Brian Earl Spilner
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AG
Great question. I can't imagine them opening before June, though. There's just no movies to show. They would probably be worse off than just staying closed, unless they can actually bring people in.
Bunk Moreland
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I'll be there Friday night at 25% capacity if any of the ones around here open. Show me Casablanca, Ben Hur, Gladiator, Forrest Gump...whatever.
Sex Panther
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If there's a movie theater open near me on May 1, I'll be there. Wonder what Alamo's plan is
Big Al 1992
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Just tell me when Top Gun 2 opens.
TCTTS
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John Matrix said:

So, with Texas opening up on May 1st-at least partially-what exactly does that look like concerning movie theaters? I know there are no actual new movies being released, but I could see the Alamo drafthouse maybe showing some classics for a while. Those in the know, what are the possibilities here?

As I mentioned above, the biggest issues I keep seeing are that it's going to take time for theaters to restock and then not only rehire, but retrain employees to get them up to speed on all the new disinfection/safety protocols. AMC claims that entire process is going to take at least six weeks or so, and won't even be starting that process for another couple weeks, most likely. That said, they're obviously a giant, nationwide chain, so I imagine that time period will be significantly less for Alamo Drafthouse and the like, along with your smaller, mom-and-pop theaters. Still, I'll be shocked if any theaters in Texas are even be capable of opening on Friday. My guess is that it's going to take even the smallest theaters another couple of weeks to get up and running, schedule programming, etc.
TCTTS
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Big Al 1992 said:

Just tell me when Top Gun 2 opens.

December 23, 2020. We've got a while.
John Matrix
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TCTTS said:

John Matrix said:

So, with Texas opening up on May 1st-at least partially-what exactly does that look like concerning movie theaters? I know there are no actual new movies being released, but I could see the Alamo drafthouse maybe showing some classics for a while. Those in the know, what are the possibilities here?

As I mentioned above, the biggest issues I keep seeing are that it's going to take time for theaters to restock and then not only rehire, but retrain employees to get them up to speed on all the new disinfection/safety protocols. AMC claims that entire process is going to take at least six weeks or so, and won't even be starting that process for another couple weeks, most likely. That said, they're obviously a giant, nationwide chain, so I imagine that time period will be significantly less for Alamo Drafthouse and the like, along with your smaller, mom-and-pop theaters. Still, I'll be shocked if any theaters in Texas are even be capable of opening on Friday. My guess is that it's going to take even the smallest theaters another couple of weeks to get up and running, schedule programming, etc.


Thanks for the info. I definitely didn't think any would be be open by Friday, but it seems like maybe the first of June there might be movies rolling which is awesome.
TCTTS
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AG

https://www.hollywoodreporter.com/news/alamo-drafthouse-wont-reopen-texas-theaters-weekend-1292154
MBAR
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Honestly what's the point at 25% capacity
Duncan Idaho
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MBAR said:

Honestly what's the point at 25% capacity

There isn't any.

Theaters are dead until a vaccine. Anyone that can afford what they will have to charge for tickets and concessions, will have a nice home theater and can afford a $50 first run rental

Long live drive ins.
TCTTS
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I don't know why people think theaters are suddenly going to start charging even higher ticket prices. I mean, I understand the economics of it, but I don't think that's the route theaters will take out of the gate. They're going to be doing anything they can just to get people to show up again. I bet they don't start hiking prices until the fall or so. Also, I think you're underestimating how many people straight up don't give a sh*t about the virus and will be showing up regardless.
Sex Panther
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Duncan Idaho said:

MBAR said:

Honestly what's the point at 25% capacity

There isn't any.

Theaters are dead until a vaccine.


lol sure
Duncan Idaho
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Alamo theater isnt opening at 25% capacity.

One of the major chains (Cinnemark I think) is way over leveraged. They won't last.

I know you think I am being overly negative but I foresee a huge up tick by the fall and people will start isolating and limiting interactions on their own not due to government actions.
GIF Reactor
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TCTTS said:

Also, I think you're underestimating how many people straight up don't give a sh*t about the virus and will be showing up regardless.

I agree. Look at the public beaches that have re-opened. People sure as hell weren't 6-feet apart. I suppose an argument for that is the ventilation aspect.

I'd like to go, but I'm not willing to risk the health of my family on the sanitizing efforts of a teenage kid working at the movie theater. And I feel like a crazy person taking my own chlorox wipes there and wiping everything down myself.
littlebitofhifi
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AG
AMC is the chain that is highly leveraged. Cinemark is in a strong financial position (by comparison). And Cinemark specifically said that they could "operate and make money off auditoriums with 25% and 30% capacity limits". Given the food & beverage sales at Alamo, I'm highly confident they're in a similar position.

Your doom & gloom is a bit counter to what the theater chains are saying.
 
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