Coronavirus puts AMC Theatres' CEO & entire corporate staff on furlough
More than 26,000 now out of work at world's largest move exhibitor
AMC Theatres announced on Wednesday that it is furloughing all 600 members of its corporate staff, including its CEO Adam Aron.
"At this time, AMC is not terminating any of its corporate employees, however, we were forced under the circumstances to implement a furlough plan, which is absolutely necessary to preserve cash and to ensure that AMC can reopen our doors once this health crisis has dissipated," the company said in a statement.
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AMC said the furlough plan calls for "reduced working hours at reduced pay, or no working hours at no pay, for the hopefully short period of time when AMC’s theatres are all closed."
"This action impacts every corporate AMC employee, including all those at the highest executive levels and including AMC’s chief executive officer", the company said.
(Photo by Amy Sussman/FilmMagic)
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All furloughed corporate AMC employees and associates will retain their active employment status, including all health benefits.
"As we all know, these are unprecedented times. AMC is doing everything possible to ensure that we can welcome back both our associates and our guests as our theaters reopen", the company added.
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| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| AMC | AMC ENTERTAINMENT | 4.98 | +0.19 | +3.88% |
Last week, more than 26,000 employees working for AMC Theatres were furloughed or let go as the chain closed down its theaters across the country in response to the coronavirus.
Prior to closures, AMC attempted to remain open by limiting theaters to 50% capacity but was shut down after the CDC recommended a limit on gatherings of more than 10 people. AMC, based in Leawood, Kansas, and owned by China's Wanda Group, operates nearly 660 theaters in the U.S. and more than 250 theaters in Europe.