What happened
Actions of AMC Entertainment (NYSE: AMC) were rising 17% more on Friday afternoon trading, despite announcements that films like the premiere of the latest James Bond film No time to die were postponed yet again, this time until October.
And
While delaying movies is expected to have a negative impact, since few viewers will come to the cinema without new titles, AMC is opening dozens of cinemas this month that were previously forced to remain closed.
Image source: Getty Images.
Nothing has really changed about the situation around the COVID-19 pandemic, but a number of cities and states that were once adamant about keeping public places closed have suddenly changed their minds and will now allow them to reopen.
Illinois, for example, redesigned theaters in November, but has just launched a plan that includes reopening theater operators. AMC will reopen seven cinemas today and dozens more on January 29. However, masks will be required and occupancy limits of 25% of capacity will be imposed.
What now
Although not having a new list of films is a problem, being closed was even worse, as AMC has been able to generate at least some revenue from open cinemas through innovative ideas, such as renting the entire hall to groups.
Other films being postponed include Cinderella, which will now be released in July, as well as sequences of Peter Rabbit and Ghostbusters which were postponed until November.