Cinemex Holdings USA, the controlling arm for the U.S. branch of the Mexico-based company Cinemex Cinemas, recently emerged from Chapter 11 bankruptcy protection. The theater chain negotiated with its creditors for a modified lease plan that will include revenue-sharing.
Under the agreement, the cinema's landlords will receive additional revenue from movie tickets and food sold. Prior to the bankruptcy, Cinemex spent 30% of its revenue on lease payments.
Cinemex filed for Chapter 11 bankruptcy protection in April 2020, with more than $100 million accumulated in debt. The company closed 10 of its low-performing locations, leaving only seven open.
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