CINEWORLD ANNOUNCES SIX CINEMAS TO CLOSE IN UK INCLUDING ONE IN MIDLANDS

Cineworld has announced six UK locations it plans to shut down as part of its restructuring strategy. The cinemas in Glasgow Parkhead, Bedford, Hinckley, Loughborough, Yate, and Swindon Circus are set to close in the upcoming months.

The company is now initiating a consultation process with employees at these sites, promising to offer as many redeployment opportunities as possible to nearby locations. According to Sky News, Cineworld, which currently operates around 100 sites nationwide, the restructuring plan will now be presented to the court for approval, and if granted, the process is scheduled to commence in September.

The chain explained that the decision to close these six locations was due to their commercial unviability, as part of an effort to return the business to profitability. The plans also include 'reducing rent to market level' at other UK locations.

The restructuring process will not affect the Cineworld business outside of the UK. While this process is ongoing, all Cineworld cinemas in the UK will continue to operate as normal.

A spokesperson for Cineworld stated: "We are implementing a Restructuring Plan that will provide our company with a strong platform to return our business to profitability, attract further investment from the Group, and ensure a sustainable long-term future for Cineworld in the UK."

It's anticipated that other cinema operators might step in to take over some of Cineworld's shuttered locations. Vue's chief executive, Tim Richards, previously stated he would 'absolutely' consider taking over sites from competing operators.

He commented: "They would need to be qualitatively complimentary with our circuit but I think we've already demonstrated over the last 20 years that M&A and purchasing cinemas is part of our DNA."

2024-07-27T08:20:21Z dg43tfdfdgfd