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AMC Entertainment Holdings, Inc. Comments on Recent Media Reports

LEAWOOD, Kan.--(BUSINESS WIRE)--AMC Entertainment Holdings, Inc. (“AMC” or “the Company”) (NYSE:AMC), the largest theatrical exhibition company in the U.S., in Europe, and in the world, commented as follows in response to recent speculative media reports that contained some erroneous information regarding AMC, with the aim of adding clarity and factually accurate detail:

“AMC is an American company run from its Leawood, Kansas, headquarters by our management teams located in the U.S. and Europe”

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Dalian Wanda has never been a source of acquisition funding for AMC. AMC has completed four circuit-wide acquisitions and bought numerous individual theatres since being purchased in 2012 by Dalian Wanda Group Co. Ltd. (“Wanda”), including most recently Starplex Cinemas (“Starplex”) in 2015, ODEON & UCI Cinemas Holdings, Ltd. (“ODEON”) in 2016, Carmike Cinemas, Inc. (“Carmike”) also in 2016 and Nordic Cinema Group Holding AB (“Nordic”) in 2017. At no time was Wanda ever a source of funding for any of these acquisitions or individual theatre purchases. Additional information on the individual acquisitions is provided below.

Mainland China-based banks have never been a source of any funding for AMC. AMC has never received committed financing from any bank headquartered in mainland China for any purpose, including for acquisitions. All committed debt financing for AMC’s three most recent acquisitions were funded by a syndicate of U.S.-based banks with AMC as the borrower without financial guarantees or credit enhancements from Wanda. The fourth acquisition was funded by AMC’s available cash on hand.

Intercompany transactions between AMC and Wanda are de minimis. As previously disclosed on March 10, 2017, on Form 10-K, Wanda routinely reimburses AMC for general administrative and other expense in what are typically immaterial amounts incurred on behalf of Wanda. Total reimbursements of expenses received in the calendar years 2016, 2015 and 2014 respectively from Wanda were $461,000, $738,000 and $1,423,000. Total reimbursements of expenses from Wanda for the twelve-months ending December 31, 2017, are expected to be less than $600,000. Also previously disclosed in the 2016 10-K was Wanda’s capital contribution of $10 million to AMC received during February 2017 (without any increase in Wanda’s economic interest or voting rights in the Company) for one-time payments to certain officer, directors, and other personnel for extraordinary services rendered in connection with merger and...


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