Shares in Cineworld plunged 57% on Monday, after the world’s second-largest movie chain confirmed it will temporarily close its cinemas in the U.K. and the U.S., putting 45,000 jobs at risk.

U.K. Prime Minister Boris Johnson acknowledged there would be “tough times ahead” in the jobs market following Cineworld’s announcement, but encouraged people to go to the movies.

Cineworld’s move comes after the release of the latest James Bond film, “No Time to Die” was delayed for the second time. The MGM film had been due to be released in April this year, but was then postponed until November because of the pandemic. It is now expected to be released on April 2, 2021.

Cineworld UK:CINE Chief Executive Mooky Greidinger said the closure of its 663 cinemas was “not a decision we made lightly.”

“We did everything in our power to support safe and sustainable reopenings in all of our markets,” Greidinger said.

Read: Cineworld Warns COVID-19 Still Threatens Its Future. It’s Not the Only Theater in Trouble.

All operations will be suspended at 536 theaters in the U.S. and 127 Cineworld CNNWF and Picturehouse theaters in the U.K. from Oct. 8. The company didn’t give a date for reopening its cinemas.

Shares in Cineworld, which plunged 57% when the market opened, were trading 27.77% lower in early morning trading on Monday.

Susannah Streeter, senior investment and markets analyst at
Hargreaves Lansdown, said the beleaguered
entertainment industry has taken another huge blow with the confirmation that
all of Cineworld’s venues will close their doors temporarily.

“Although the delay of the latest 007 blockbuster prompted the decision, Bond isn’t the villain in this piece. The spread of COVID-19 around the world has been a horror movie for the industry and the fresh wave of infections is the latest installment in what’s

(RTTNews) – Cineworld Group plc (CINE.L) confirmed Monday that it will temporarily suspend operations at all of its 536 Regal theatres in the US and its 127 Cineworld and Picturehouse theatres in the UK from Thursday, October 8. These closures will impact approximately 45,000 employees.

The decision was based on an increasingly challenging theatrical landscape and sustained key market closures due to the COVID-19 pandemic.

In the U.S., major markets, mainly New York, remained closed. Without guidance on reopening timing, studios have been reluctant to release their pipeline of new films.

Without these new releases, Cineworld said it cannot provide strong commercial films for customers in both the US and the UK, its primary markets, necessary for them to consider coming back to theatres amid Covid-19.

Mooky Greidinger, CEO of Cineworld, said, “….Cineworld will continue to monitor the situation closely and will communicate any future plans to resume operations in these markets at the appropriate time, when key markets have more concrete guidance on their reopening status and, in turn, studios are able to bring their pipeline of major releases back to the big screen.”

As announced earlier, the company is assessing several sources of additional liquidity and all liquidity raising options.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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As more and more movies have been pushed to 2021, Regal Cinemas’ parent company Cineworld could be closing all of its theaters in the U.S. and the UK Variety reports that the decision comes after the latest James Bond film, No Time to Die, had been delayed until next year due to coronavirus concerns.

The closures are expected to come within a week at the soonest, and the company has already confirmed the closures are currently being discussed. “We can confirm we are considering the temporary closure of our UK and U.S. cinemas, but a final decision has not yet been reached,” the Cineworld Cinemas Twitter account revealed. “Once a decision has been made we will update all staff and customers as soon as we can.”

Cineworld could be closing 543 Regal Cinema venues, and all of its cinemas across the United Kingdom and Ireland this week. While the closures would be “temporary,” it’s unclear if all the theaters will reopen when it is safe to do so. It’s worth highlighting that Regal is the second biggest domestic theater chian in North America, and Cineworld is the biggest operator of theaters in the United Kingdom. The company plans to write to UK Prime Minister Boris Johnson and Culture Secretary Oliver Dowden in order to inform them that their business right now is “unviable,” especially as major tentpole movies like No Time to Die and Black Widow have been hit with major delays for the second time.

On Friday, MGM and

The move could put up to 5,500 jobs at risk, if the plans go ahead. Photo: Naomi Baker/Getty Images
The move could put up to 5,500 jobs at risk, if the plans go ahead. Photo: Naomi Baker/Getty Images

Cineworld (CINE.L), Britain’s biggest cinema chain could close all its screens in the UK and Ireland, as soon as next week, following the news that the latest James Bond movie would be delayed until April next year.

The operator plans to write to prime minister Boris Johnson and the culture secretary, Oliver Dowden, to say that the industry has become “unviable,” according to reports in the Sunday Times.

The move could put up to 5,500 jobs at risk, if the plans go ahead. It will reportedly ask its staff to accept redundancy, with possible incentives to rejoin the company when theatres reopen — likely to be next year.

Like many others in the leisure and hospitality industries, Cineworld was impacted by the coronavirus pandemic, which has seen many blockbuster movies delayed as filming was postponed.

On Friday, MGM and Britain’s Eon Productions announced that “No Time To Die,” which was first scheduled for release in April 2020, would be pushed back for the second time.

Film industry bosses hoped the James Bond movie, which was due to hit UK cinemas on 12 November would boost cinema-goers and revive the sector.

Other blockbusters such as Marvel’s “Black Widow” and “West Side Story” have also been delayed until 2021.

Cineworld, which has 128 cinemas in the UK, started reopening its theatres in July after lockdown measure were eased. At the time, Cineworld Group Plc said that 561 of its 778 global sites had reopened, with 200 cinemas in the US, six in the UK and 11 in Israel still closed.

Cineworld Action Group, which is run by and represents Cineworld employees, tweeted: “The front page of tomorrow’s Times is announcing that Cineworld is