AMC Entertainment says that unless circumstances change, it will be out of cash by late 2020 or early 2021.
The largest U.S. movie-theater exhibitor laid out the grim news in a Tuesday SEC filing, which sent company stock price below $4 per share. At the time of this writing, AMC stock (AMC) had declined 8% from Monday’s close.
The company sounded the alarm in a Tuesday filing to the Securities and Exchange Commission, pointing to low attendance figures for theaters that have managed to reopen amid the pandemic and the drought of major Hollywood films to lure moviegoers into its venues.
Without a major uptick in attendance or an injection of new funding, the company said, “existing cash resources would be largely depleted by the end of 2020 or early 2021. … to meet its obligations as they become due, the Company will require additional sources of liquidity or increases