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EDITOR IN CHIEF- ABDULLAH BIN SALIM AL SHUEILI

Cineworld shuts down US and UK theatres; 45,000 jobs hit

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LONDON: Cineworld, the world’s second-biggest cinema chain, will close its UK and US movie theatres this week, leaving as many as 45,000 workers unemployed, as it fights a coronavirus-related collapse in film releases and cinema-going.


The company said the reluctance of studios to go ahead with major releases such as the new James Bond film had left it no choice but to close all 536 Regal theatres in the US and its 127 Cineworld and Picturehouse theatres in the UK from October 8.


Cineworld Chief Executive Mooky Greidinger told Sky News that the operations might resume in “two months, or a bit longer”. Movies including the superhero sequel “Wonder Woman 1984” are slated for a Christmas Day release.


“From a liquidity point of view, we were bleeding much bigger amounts when we are open than when we were closed,” Greidinger said. Cineworld’s statement on Monday, confirming leaks over the weekend, spelt out the scale of job losses from its move, which affects thousands of ancillary staff including cleaners and security as well as its own employees.


Shares fell as much as 60 per cent to an all-time low within ten minutes of the opening bell on Monday as the group, which is carrying heavy debt due in part to its acquisition of Regal in 2018, said it was looking at all ways of raising additional funds. By 0915 GMT, they were 30 per cent lower, taking their loss this year to more than 90 per cent.


— Reuters


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