AMC and Loews Cineplex Kill Merger Talks
KANSAS CITY, MO — AMC has announced that its discussions with Loews Cineplex about a potential merger of the two theater chains have come to an end. At present, it’s unclear why the negotations died. For (slightly) more details, read the full press release below:
[quote]January 22, 2004 — AMC Entertainment Inc. (AMEX: AEN), one of the world’s leading theatrical exhibition companies, said today that its previously announced discussions with Loews Cineplex Entertainment Corporation relating to a possible business combination have been terminated.
AMC Entertainment Inc. is a leader in the theatrical exhibition industry. Through its circuit of AMC Theatres, the Company operates 224 theatres with 3,549 screens in the United States, Canada, France, Hong Kong, Japan, Portugal, Spain and the United Kingdom. Its Common Stock trades on the American Stock Exchange under the symbol AEN. The Company, headquartered in Kansas City, Mo., has a website at www.amctheatres.com
Any forward-looking statements contained in this release, which reflect management’s best judgment based on factors currently known, involve risks and uncertainties. Actual results could differ materially from those anticipated in the forward-looking statements included herein as a result of a number of factors, including among others the Company’s ability to enter into various financing programs, the performance of films licensed by the Company, competition, construction delays, the ability to open or close theatres and screens as currently planned, domestic and international political, social and economic conditions, demographic changes, increases in demand for real estate, changes in real estate, zoning and tax laws, unforeseen changes in operating requirements, the Company’s ability to identify suitable acquisition candidates and to successfully integrate acquisitions into its operations and results of significant litigation. [/quote]
I think this is a good thing. Neither chain manages many of their theaters very well in the DC/MD/VA market. The sound systems and projection standards aren’t what they should be. I think the larger the chain is, the less care for showmanship.