SANTA MONICA—Two AMC theatres in Santa Monica may permanently close as the company faces financial issues in the coming months, as a result of the COVID-19 pandemic. The theatres are located on 1310 3rd Street and 1441 3rd Street Promenade. AMC issued a press release and 8-K Filing document on Wednesday, June 3. It revealed portions of their current financial situation and their perspective on the future.
“The COVID-19 pandemic has had and will continue to have a significant and adverse impact on our business. As a result of the pandemic, all of our theatres worldwide have temporarily suspended operations through late June, and we are generating no revenue from admissions, food and beverage sales, or other revenue, which represent substantially all of our revenue and cash flow from operations. We cannot predict when or if our business will return to normal levels,” the company said in a statement.
AMC continues to advertise new films that will screen at its theatres, such as Christopher Nolan’s latest film “Tenet” which is set to premiere on July 17. The company recently posted about the film on Facebook and one customer replied, “but will AMC be open? My favorite theater chain. I really hope it can be saved.” Several others expressed their support towards seeing the company’s theatres reopening.
For the Santa Monica locations, one community member shared their satisfaction towards the closure in a comment online. “Good to hear AMC could close up its theaters in Santa Monica. They run their business with disregard for their patrons, and provide as little as possible [for] customer service that their leaving won’t be missed, but applauded.”
AMC celebrated its 100-year anniversary this year. The company was founded in 1920 as Durwood Theatres. The multi-screen theatre chain grew over the decades and was incorporated as American Multi-Cinema, Inc. (AMC) in 1968.
AMC will host a conference call and webcast for investors and interested parties at 4:00 p.m. CST/5:00 p.m. EST on Tuesday, June 9. The company expects to report more of their financial results for the first quarter that day.
