Cineworld confirms it is considering bankruptcy
Cineworld has said it is considering filing for bankruptcy in the US, as the cinema chain continues to struggle with high debt.
The company, which also owns the Picturehouse chain in the UK, said it was examining options for how to restructure the business.
Shares in Cineworld plunged on Friday after a report that it was preparing to file for bankruptcy.
The company said currently its cinemas remain “open for business as usual”.
In a statement, it said: “Cineworld would expect to maintain its operations in the ordinary course until and following any filing and ultimately to continue its business over the longer term with no significant impact upon its employees.”
Like other cinema chains, Cineworld was hit hard by the pandemic.
The firm had hoped blockbusters such as the latest Bond film, Top Gun: Maverick and Thor: Love And Thunder would draw audiences back after lockdown restrictions.
But it recently said post-Covid customers levels were lower than expected and blamed “limited” film releases.
Responding to that report, Cineworld said it was looking at various options, including a Chapter 11 filing in the US.
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