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Cineworld Bankruptcy Judge Tells Regal Parent To Fast Track Theater Closings, Landlord Negotiations – “We Are Not Going To Stick Around Here Forever”
05.01.2023 - 02:11 / deadline.com
Judge Marvin Isgur told parties to the Cineworld bankruptcy Wednesday they need to speed things up as debtors and creditors hash out a restructuring plan for the giant movie chain, including closing theaters, wrapping up lease negotiations with landlords, and advancing an overall sale process.
“We are not going to stick around forever. The debtors need to be aggressive. I am not sitting here for a year, or for six months, to figure out what shops are closing. That is a process that is going to happen now,” said Isgur of U.S. bankruptcy court judge for the Southern District of Texas at a hearing today. Shops refers to theaters.
Cineworld filed for Chapter 11 in September.
“I have been very patient in this case [but] I want to see more action in terms of what this future company is going to look like…We need to move on with life,” Isgur said.
Cineworld has closed 23 theaters since filing and reached new lease agreements with 25% of landlords — a percentage that clearly failed to impress Isgur.
Negotiations with other landlords on “the rest of the portfolio are well underway,” said the company’s Kirkland & Ellis bankruptcy attorney, Josh Sussberg. “The management team has made it clear time and time again it is willing to close additional theaters absent landlord engagement [so] we encourage everyone to come together,” he said.
Cineworld yesterday said it would run a sale process focused on proposals for the togroup and talks with interested parties this month. The company also denied comments made by rival AMC Entertainment in a December regulatory filing that it had talked with Cineworld about acquiring some U.S. and European assets. AMC, in any case, said then that the talks were over.
The debtors said they are
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