Tag Archives: theaters

In Las Vegas, industry leader states theaters will endure rise of streaming websites

Wednesday, April 25, 2018|2 a.m.

Two film market leaders told theater owners Tuesday that are optimistic about the motion picture and theatrical exhibition business in spite of concerns about declining participation and competition from streaming services.

New Motion Picture Association of America chief Charles Rivkin and John Fithian, the president and CEO of the National Association of Theater Owners, provided a state of the industry speech at CinemaCon in Las Vegas, saying the strength of the movies being released will determine box-office sales.

“Our business increases or falls on the motion pictures in our cinemas,” Fithian stated.

CinemaCon is a yearly event of theater owners and exhibitors, throughout which they get an appearance upcoming movies from major Hollywood studios and a preview of some of the latest and biggest in theatrical technologies as well as concession alternatives.

Rivkin, who just recently took over the position at the MPAA from Christopher Dodd, stated that 263 million individuals went to the films a minimum of when in North America in 2017– more than three quarters of the North American population. He kept in mind that while package office was a little below the record in 2016, it was on par with the 2015 record. He says he believes the marketplace will always move between record-high or near record years.

He also stressed that he would continue to fight to protect intellectual property with anti-piracy efforts. Film and television account for $16.5 billion in exports, he stated, which the industry supports 2.1 million tasks and $139 billion in salaries every year.

Rivkin was previously the president and CEO of The Jim Henson Company and also acted as the U.S. Ambassador to France and as Assistant Secretary of State for Economic and Organisation Affairs.

“Let’s always provide on the pledge of our imaginative industry: high quality stories that talk to the hopes and dreams of our audience, and will continue to do so for generations to come,” Rivkin stated.

Fithian likewise applauded filmmakers and suppliers for “taking significant actions to attain more diversity and favorable representation on the big screen,” which he says their consumers are “requiring.”

“We are optimistic that 2017 and 2018 will one day be considered as a turning point on this front,” Fithian stated.

Fithian likewise talked to some of the major worries of the motion picture organisation and stated that younger audiences are still enthusiastic spectators. Inning accordance with comScore, moviegoers ages 18-44 constituted 63% of the total ticket office in 2017_up from 61% in 2016. Fithian said that interruption, whether it’s streaming or shortened periods where films are program exclusively in theaters, will not eliminate the theatrical business.

He questioned if “Black Panther,”” Go out “or” Wonder Female “would have been cultural landmarks had they gone straight to streaming.

“I have actually worked with (theater owners) for 26 years. I can’t begin to tell you how frequently reporters have asked me if the movie theater industry is dying. Every decline in admissions suggests secular decrease, every development or enhancement is meant to ‘conserve’ the theater service,” he said. “There has been a great deal of hype about the next ‘disturbance,'” he stated, listing off improvements varying from VHS to the advent of movies launching in theaters and home services the same day. “Yet we never pass away but stay a strong organisation in the face of interruption everywhere else in the home entertainment landscape.”

AMC, Carmike Offer 16 Movie Theaters to Beekman Financial investment Partners

Offer Part of Settlement to Win Regulative Approval to Get Carmike Cinema; but Video-on-Demand Might Posture Larger Long-Term Risk to Ticket Sales

Beekman Investment Partners III LP obtained 16 cinema with 184 screens from Chinese-owned AMC Entertainment Holdings Inc. (NYSE: AMC)and Carmike Cinemas. The offer becomes part of the settlement agreement with the US Justice Dept. to permit AMC to acquire Carmike as part of a prepared $1.2 billion merger.

The deal provides Beekman, which runs under the brand name New Vision Theatres, places in Florida, Georgia, Illinois, Minnesota, New Jersey, Oklahoma, Pennsylvania and Wisconsin. New Vision is the 4th platform financial investment in Beekman Financial investment Partners III, Beekman’s 3rd private equity fund raised in January 2015.

The sale finishes an essential part of AMC’s divestiture strategy to win approval for its offer to obtain Carmike Cinema.

Last December, AMC accepted a settlement deal from the Justice Dept. allowing the theater company to finish its suggested acquisition. Among other things, the deal required AMC to divest theaters in 15 markets, sell off its holdings, and relinquish governance rights in National CineMedia, and transfer 24 theaters with 384 screens to the network of Screenvision Media.

As soon as the merger is last, AMC will include Carmike’s almost 2,950 screens to its 5,420, developing the largest theater chain in the US.

Nevertheless, the AMC-Carmike merger likewise comes at a time when growing home-movie viewing is reported to be having a larger impact on motion picture ticket sales.

That trend might increase if Hollywood’s major studios succeed in their efforts to shorten the gap in between motion picture release dates when they are provided to home audiences.

Presently there is about a 90-day window prior to motion pictures released for theatrical viewing are offered for home watching. Studios are looking to shorten that to 30 to 45 days.

Such a move would add to the financial obstacles facing the movie theater market, according to Fitch Scores. Making video as needed (VOD) readily available within the theatrical release window would present a threat even as theater owners work to bring in more movie-goers by upgrading and revamping theaters.

“Permitting VOD accessibility less than 45 days after theatrical release could provide an additional earnings stream for studios, however it poses a danger to movie theatre participation – something theater chains are trying to combat with reseating and premium concession choices,” Fitch analysts said.

The diminishing timeframe to launching films for home viewing and increasing indirect competition from video on demand and other streaming services continue to add to progressive declines in movie theatre attendance, Fitch said in its report.

For now a minimum of, the expanded concession offerings and updated theater styles seem working. After decreasing 4.1% in 2015, presence at movie cinemas has held its own, growing by a modest 0.1% in 2016 and expected to remain flat in 2017.

Nevertheless, Fitch anticipates development in film ticket sales to stay tough absent an extremely strong movie slate in any given year, although higher ticket rates for big format screens such as IMAX and other boosted in-theater experiences could help offset long-lasting participation declines, Fitch stated.