By Chathushka Perera
New York, USA (CWBN)_ Owing to the shortage of movies created by the outbreak of the Covid-19 pandemic, and also the reluctance among members of the public to visit cinemas, AMC warned investors yesterday, (11th Dec) in a public declaration that it is unable predict the outcome of the situation. The company claimed that it will be facing a short fall in funds by USD 750,000 in mid-January.
The declared documents noted that the recent decision taken by Warner Bros to air its movies due in 2021, simultaneously in cinemas and on HBO Max, “exaberated” the pressures working against it.
Following the announcement made Warner Bros, AMC’s CEO Adam Aron said that the former “intends to sacrifice a considerable portion of the profitability” to take over HBO Max. He also added that “we will do all in our power to ensure that Warner does not do so at our expense. We will aggressively pursue economic terms that preserve our business.”
Hence AMC failed to carry out similar discussions with third party content publishers.
AMC among many other companies in the entertainment sector have been struggling extensively over the course of the pandemic with many releases and productions being postponed till next year in the hopes that the pandemic restrictions would ease.
