Member Info for RS2002

Ian is explaining that this is a Canadian ruling.

The appeal will progress and it is expected to dismiss lost synergies for Cineplex as they were never going to see any synergies or revenues in light of them being taken over by the purchaser at the time, Cineworld. Cineplex did NOT meet their debt and operations and breached multiple covenants thus rendering the takeover void.

In the event the appeal is unsuccessful comes the enforcement of a judgement which would need to be navigated and could take years.

Rockhopper an oil and gas exploration outfit has been involved in arbitration since 2017 (5 years) and remains unresolved. These are not simple matters.

In the worst case, where is Cineworld’s share price in 5 years? If Mooky and co what their $45m bonus the share price needs to be at 180p. Potentially a time where a draw down could be taken to raise funds and reduce debt. So many options and so much upside for the patient investor.

This has been discussed at length.

In the event the appeal is unsuccessful, Cineplex would be last in the line for an award.

Lenders would take priority. Thus, analysts and LENDERS have made it clear, the debt pile Cineworld is sitting on is in fact saving it.

“
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That is because if Cineworld were pushed into bankruptcy by the damages, Cineplex would be near the back of the queue of creditors to be paid, multiple lenders told the Financial Times.”

Source: https://www.ft.com/content/949af51b-7807-41c6-a895-223519dfa221

“Deltalo, if the company wins the appeal, there will be no £700m fine to be concerned about. You're talking nearly 300% upside in the short term. The share price would rally above 100p.”

Note how I have used similar wordings as Squib but with another assumed outcome.

Encouraging and a figure that I am more than content with.

B. Riley analyst Eric Wold estimates box office receipts in the United States and Canada, the world's largest movie market, will finish the year at about 80% of 2019 levels.

A survey by ticket-seller Fandango found 83% of movie fans planned to see three or more films on the big screen this summer. Advance ticket sales for the new "Doctor Strange" movie are the highest so far of 2022, Fandango said.
"I just think there's pent up demand," said Rich
Daughtridge, president and chief executive of Warehouse Cinemas in Frederick, Maryland. "People want to get out of the house."
Daughtridge is bullish on the summer slate.
In addition to the blockbusters, he sees potential for mid-budget movies such as an "Elvis" biopic, Brad Pitt action movie "Bullet Train" and horror flick "Nope." The offerings from
May to July offer a mix of original films and big-budget sequels in a variety of genres, he said.
"That, in my opinion, is the recipe for a great box office," he said.

Source: Reuters

IMAX CEO, Gelfond believes Netflix found out the hard way that it needs the promotional power of the theatrical window to profit off its $17 billion content budget.

Mountainous it would be great if you could feedback if conversations with streamers have matured more with Cineworld and Netflix. Mooky touted this last year in September before we witness Netflix fall off the cliff. This could be a great mutual partnership.

Source: https://www.nexttv.com/news/imax-ceo-gelfond-netflix-was-silly-to-think-it-doesnt-need-theatrical-releasing

Source: https://www.thetimes.co.uk/article/cineworld-boss-mooky-greidinger-ill-screen-netflix-films-in-cinemas-2cd630zqm

Yawn

Morning Mountainous, thanks again for taking time to attend the AGM on Thursday 12th.

Agree, Tegop. Their comments won’t have much influence. The Market Makers and Algo trading in the short term will steer the share price. Investors need only invest what they are comfortable with and patiently wait for updates on performance via admissions, concessions and advertisement revenue.

The entire market is down so right now and many are trying to understand where the bottom is.

I am buying each day across my portfolio as I believe this and many other shares (non-tech) have been oversold. Leisure and travel more so.

70% of Cineworld shareholders (note: non-invested derampers had no say in this) voted in favour of a bonus scheme to award Mooky and the board of directors.

When the share price recovers to 190p per share, the level they were at pre-pandemic, Mooky Greidinger would receive $45M, and the price would need to reach 380p to unlock the full amount.

26p to 190p - 630% increase for those acquiring shares now

26p to 380p - 1360% increase for those acquiring shares now

As an investor (not an un-invested deramper) I am glad the board are incentivised to get the share price back up.

I have my expectations set though and am content to invest in this global sell off and patiently wait for markets to recover.

Which improves Cineworld’s position as they manage cash flow and engage the former Regal shareholders.

No regrets? Why are you here posting then? That was a rhetorical question btw.

I just joined you.

Parsnip, it takes a special kind of degenerate to post such comments. Your parent(s) absolutely failed you.

Bonkers is entitled to post his opinion. That said, what exactly is your motive?

Well that is clear. You posted:

“Sell
26 Apr 2022 16:00
For the love of god, no matter how huge your losses are - something is always better than nothing.

SELL BEFORE THIS DROPS EVEN FURTHER AND YOURE LEFT WITH NOTHING.”

Global markets are down.

Tell us what you think investors should invest in? Anything beneficial to post?

https://www.lse.co.uk/ShareChat.asp?ShareTicker=RR.&share=Rolls-Royce-Holdings

Squib, I am invested in Rolls and hold about 10,000 shares at an average of 90p.

What are your thoughts about debt vs market cap?

Rolls has about £10bn debt. Its market cap is ~£1.6bn.

Is this a concern?

I would like to know your opinion.

Squib:

1. Cine is about profit to earnings. It made profit every year prior to covid

2. Rolls which you are shilling has £10bn debt. It’s market cap is £1.6bn. Tell me, why are you not posting this on the Rolls bb?

I am invested in Rolls too and I am not worried about the current debt pile because I know long term the company is solid and will recover. Much the same way I see the same with Cineworld.

Morning LPD, I agree. It is oversold at the moment. But then look at the entire market. Rolls Royce is now 78p. I am holding an average of 90p there now (topped up this morning to average down from 102p).

Regards to Cineworld. The Cineplex judgement has NOT crystallised yet the current sp is reflecting this as if it has. If Mooky and the BoD are confident they can appeal or reach a reduced judgement, I am not going to speculate and I will let the due process finish.

MoM has done fantastic and given Spider-Man had an 88 day theatrical run before being available on digital and ancillary releases, I am more interested in the media attention and the studios taking notice to firmly retire any notion of day date and look at extending the theatrical window beyond the new 45 day one. That said, it is well known that movies make 80-90% of their box office revenue in the first 30 days so it is not as big an issue as the pessimistic make it out to be.

I post here because I can appreciate many are seeing their portfolios hurting and significantly down. Well, join the club! We are all in this together. Amazon have written off a $10bn loss with Rivian the EV company. Amazon own 18% of the company and it has seen 70% of the value wiped out. The relevance is all investors right now, private and institutional are seeing losses. You just have to ride it out.

The funds and their algo trades are pushing this down along with the wider market.

I will let the Board comment on how the appeal progresses and how Q2 fairs at the end of June.

Strange MoM is a great start but I didn’t put too much into it making a material impact on the share price.

I am more interested in MoM enticing audiences back and returning consistent attendance. I believe this is happening and as others have posted this is now about an existential crisis with streamers who are now in negative growth. They need to consider theatrical to offset production costs. Netflix Red Notice had a $200m budget. Netflix had to reclaim those costs and they did that by increasing subscription prices. That went down like a lead balloon.

I am not letting non-investors or day traders with positions either way depending on the day sway my investment here. I am well aware of the risks investing but are no purpose coming onto a board when you are not invested pushing FUD and encouraging others to sell up. These individuals have motives.

I always keep in mind, Cineworld have $5bn debt (minus future leasing and liabilities). 70% of that ($3.4bn) was there after the Regal takeover (2018) and the share price was 303p (May 2019) following this acquisition and 200p (Feb 2020) just before covid hit. I believe it will return to earlier levels and patience is required.

Good luck, investors.

Parsnip, re read the comments in this thread to understand who asked what, and what cineworld is doing to remain competitive and using a select process.