Cineworld considers bankruptcy as cinema struggles continue

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Cineworld considers bankruptcy as cinema struggles continue
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Conditions are dimming at many movie theaters around the world.

FILE - A man walks past a Cineworld cinema in Leicester Square, London, on Oct. 5, 2020. Cineworld Group PLC, the world's second-largest chain of movie theaters, said Monday Aug. 22, 2022 that it is considering filing for Chapter 11 bankruptcy protection in the U.S. and similar actions elsewhere. Cineworld Group PLC, one of the industry's biggest theater operators, confirmed Monday that it's considering filing for Chapter 11 bankruptcy protection in the U.S.

But this summer's $3.3 billion in ticket sales is still running nearly 20% behind the summer of 2019, before the pandemic, as of Sunday, according to data firm Comscore. And there don't seem to be any big hits on the immediate horizon to make those numbers much better. The company's stock in London tumbled 21.4% to the equivalent of roughly 3.8 U.S. cents. That followed a 58.3% plunge on Friday after The Wall Street Journal reported the company was preparing to file for bankruptcy protection within weeks.

Rival AMC Entertainment has also called the upcoming film schedule relatively weak, though it’s optimistic about the end of the year and about 2023.

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