Major Cinema Chains Program $2.2 Billion Upgrade

The eight biggest cinema chains in the US and Canada announced a $2.2 billion upgrade project that will finally modernize movie theaters.

The Big Picture: The reputation of movie theaters having poor projection or being dirty is well known, leading many people to stay home and watch a movie instead of going out. By updating them to modern standards, more people may make moviegoing a habit.

Behind the Curtain: The National Association of Theatre Owners (NATO) announced that Regal Cinemas, Cinemark, Cineplex, Marcus Theatres, B&B Theatres, Harkins Theatres, and Santikos Entertainment are all getting glow-ups.

• They’ll update 21,000 screens over the next three years, including obvious upgrades like more comfortable seating, and better projection and sound systems, but also more tangential things like unique dining options.
• And some will even experiment by adding pickleball courts, ziplining attractions, and bowling alleys, turning theaters into experiential hubs, not just places to see movies (though that’s still the main goal).

The Future: Moviegoing is finally trending toward normal after four years of COVID and dual strikes that upended cinema-going habits and led to fewer released movies… but still down 13% from last year and way down from 2019. Still, NATO chief Michael O’Leary told Variety, “across the industry, we’re feeling that perhaps we’ve turned a corner.” If the refurbishments increase ticket sales, expect the typically cash-strapped chains to finally attract some fresh investment.