AMC Entertainment Explores Film Production, Branded Credit Card – Deadline

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AMC CEO Adam Aron – who has previously announced a surge in retail popcorn sales and the acceptance of cryptocurrency payments – got excited on Monday by a flood of new businesses suggested by the 4 , 1 million channel investors, from an AMC credit card to a return to film production to its own branded cryptocurrency.

AMC may have fought for his life last year, when it repeatedly avoided bankruptcy, Aron said on a conference call after the results. But it’s a new era thanks to the cash the company was able to boost from a rising stock price earlier this year thanks to fans-turned-investors on Reddit chat rooms and on social media. CFO Sean Goodman read Aron a free list of questions from this pool.

80% of AMC shareholders are now individual investors (as opposed to institutions) who continue to buy and hold the shares, and which the CEO must keep in his corner.

Here are some of his responses:

On AMC making films – Aron recalled that this had been tried. The former production and distribution company of the Open Road channel with Regal won an Oscar for best picture for the film 2015 Projector. “When so much content is created, it’s interesting to ask if AMC should fund the content? Should CMA Fund Exclusive Content? … These are possibilities that we will explore in 2022 and beyond. I’ve had conversations with some of Hollywood’s top filmmakers before. We have an equity war fund to think differently about our future. The possibility of creating joint ventures with filmmakers is something we could consider. “

On AMC Branded Credit Cards – “We have already started discussions with several of the major credit card issuing banks to see if we can start something in 2022.” There is a client base, he said, in AMC Stubbs, AMC A-List and the new army of retail investors who are “very invested in our business financially and emotionally.”

On Crypto – AMC has been exploring with third parties how we can accept crypto “and even start our own”.

About NFTs – AMC is currently “in conversation with several major Hollywood studios about the concept of joint commemorative NFTs related to major movie titles” which are being shown in AMC theaters

On the merchandise – “T-shirts, golf shirts, coffee mugs, hats.” Sounds like a good idea to us, especially if we can connect it to the major movie titles playing in our theaters. “

About eSports and Games – “There is reason to think this might be a smart idea. Aron noted that Epic Games president Adam Sussman was on AMC’s board of directors. And, “Not a week goes by without being asked to form a partnership with GameStop, which apparently a lot of you have heard about,” he joked about the other memes stock. hot.

Aron has also made sure to stay ahead of the bad press he clearly anticipates when he sells shares by the end of this year, explaining that he has to do so for estate planning purposes. Because at his age, 67, it is “prudent” to diversify. “You should expect to see stock transactions shortly on my behalf,” he said, noting that he will still hold over 2 million AMC shares.

Aron and Gamble reluctantly responded to a question from a single Wall Street analyst before logging out after Aron appeared to take a hit on Wall Street in his comments.

“You don’t drive a car looking in the little rearview mirror and wondering where you’ve been. You look through the large front window where you are heading. When some people watched AMC, they made the mistake of looking at where we were during the pandemic. They ignore our enthusiastic new shareholders who have armed us with a war chest of over $ 1.8 billion, ”he said, referring to the company’s new liquidity.

“We intend to use it carefully to get to the other side of this pandemic. At the same time, this money should allow us to think boldly about how we can transform ourselves into a new business that does more than just show movies in theaters. “


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