While the cinema community was deemed “less essential” by state officials during shutdowns, theaters across the country are entertaining and implementing reopening protocol in response to the COVID-19 pandemic.
Credit issuers, however, still have doubts about the industry.
S&P Global Ratings placed one of the largest global motion picture exhibitors on CreditWatch on August 7, 2020. Kansas City-based AMC Entertainment Holdings Inc. completed a distressed exchange with its consenting lenders to reduce the risk of a liquidity crisis over the next 12 months.
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S&P also noted its concern that the AMC theater reopening success would weigh heavily on future financial and economic conditions. Financial …