(Reuters) – AMC Entertainment Holdings approved millions of bonuses for its top executives and qualified employees as a means of preserving shareholder value during the COVID-19 pandemic, the theater operator said.
In a regulatory document on Friday, the company said that CEO Adam Aron would receive $ 3.75 million as a bonus, while other senior executives are entitled to $ 173,000 to $ 507,000 bonus.
The change comes at a time when cinema chains like AMC suffered a blow due to restrictions caused by the coronavirus, which caused delays in the release of films. The company avoided bankruptcy through a debt restructuring deal last year.
The shares of the company based in Leawood, Kansas, were also one of the “stonks” whose wild ride captivated investors several weeks ago and during which the price of its shares rose by more than 860% compared to the beginning of the year, at most .
AMC shares closed down 3.4% to $ 8.01 on Friday.
Reporting by Eva Mathews in Bengaluru; Editing by Maju Samuel