FRESNO, Calif. (KSEE/KGPE) – Theaters around the globe, 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 have had to make emergency decisions to stay afloat.
Cineworld owns 747 theaters and 9,139 screens globally. 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 just haven’t been enough people going to theaters and not enough movies being released by studios to keep the company afloat – resulting in Cineworld filing for Chapter 11 bankruptcy in the Southern District of Texas earlier this month.
According to Deadline, a U.S. Bankruptcy Court judge granted Cinemaworld immediate access to $785 million of a financial facility so they could meet their ongoing obligations including to vendors, suppliers, and employee salaries and benefits.
It had been reported that the company only had $4 million cash on hand. Judge Marvin Isgur in his closing remarks event went as far as to say that without this ruling the business could have been closed.
So what does this means for our local Regal locations?
For the time being, they will continue to run “business as usual” according to a statement from Mooky Greidinger, Cinemaworld CEO.
“We continue to welcome our guests to cinemas around the world, which will not change during the Chapter 11 cases, and expect that all membership programs, including Regal Unlimited and Regal Crown Club in the United States and Cineworld Unlimited, should continue as usual.”-Mooky Greidinger, Cineworld CEO
Greidinger also said that he expects employees will continue to receive their usual wages and benefits without interruption. So for the time being, we can rest assured that the Cineworld locations in our area will remain open and staffed to enjoy the upcoming slate of fall and winter releases.