Regal Cinemas is closing all its US theaters indefinitely. Here's how the company grew to be the second-largest theater chain in the country.

Mary MeisenzahlOct 6, 2020, 02:03 IST

A Regal Cinemas remains closed during the coronavirus pandemic on May 3, 2020 in New York CityRob Kim/Getty Images

Regal is closing its more than 500 US theaters indefinitely due to the coronavirus pandemic and a lack of new releases to show.
The closure is expected to affect as many as 45,000 jobs in the US and UK.
See how the chain was founded in Knoxville, Tennesee, and grew to become the second-largest in the world.

With coronavirus cases spiking in some areas of the country and few films to show, Regal Cinemas announced that it will indefinitely close all 536 of its US theaters.

The closure will affect 45,000 jobs, with 40,000 of those in the US. Right now there are no clear plans for a reopening timeline. It "might be in two months, it might even a little bit longer," CEO Mooky Greidinger told The New York Times.

About 100 locations will remain open in Eastern and Central Europe, though the company makes the bulk of its revenue in the US and UK.

Regal officially opened its door in 1989. In years since, through mergers and acquisitions, it grew to become the second-largest theater chain in the world.

Entrepreneur Mike Campbell started Regal Cinemas in 1989. It was headquartered in Knoxville, Tennessee, in an old warehouse, according to a contemporaneous Associated Press article.

Regal. Reuters

Entrepreneur Mike Campbell started Regal Cinemas in 1989. It was headquartered in Knoxville, Tennessee, in an old warehouse, according to a contemporaneous Associated Press article.

The company's first theater was in Florida, where Campbell renovated an already existing theater with new carpets, concessions, and screens, more than doubling its size.

Regal theater. Photo by Joe Raedle/Getty Images

The company's first theater was in Florida, where Campbell renovated an already existing theater with new carpets, concessions, and screens, more than doubling its size.

Regal theaters grew, especially in the suburbs, and were known to be relatively upscale compared to competitors, with cafes selling cappuccinos and cookies inside. By 1995, Regal was the ninth-largest movie theatre chain in the US.

Regal theater. Photo by Jason Koerner/Getty Images for Codeblack Films

Regal theaters grew, especially in the suburbs, and were known to be relatively upscale compared to competitors, with cafes selling cappuccinos and cookies inside. By 1995, Regal was the ninth-largest movie theatre chain in the US.

In 2001, with nearly 4,000 screens across 328 theaters, Regal became one of several theater chains to declare bankruptcy.

Regal theater. REUTERS/Mario Anzuoni

In 2002, Denver billionaire Philip Anschutz became the majority owner in Regal Cinemas, United Artists Theaters, and Edwards Theaters, combining them all under the new parent corporation Regal Entertainment Group.

Philip Anschutz. AP Photo/Reed Saxon

In 2002, Denver billionaire Philip Anschutz became the majority owner in Regal Cinemas, United Artists Theaters, and Edwards Theaters, combining them all under the new parent corporation Regal Entertainment Group.

In 2008, Regal Entertainment acquired Consolidated Theatres, a movie chain with locations in mid-Atlantic states. The Department of Justice required Regal to divest some theaters in areas where it would otherwise have a monopoly.

Department of Justice. REUTERS/Mary F. Calvert

In 2008, Regal Entertainment acquired Consolidated Theatres, a movie chain with locations in mid-Atlantic states. The Department of Justice required Regal to divest some theaters in areas where it would otherwise have a monopoly.

Regal was one of many companies to downsize in 2011, laying off many managers and projectionists to better compete with Netflix and Redbox.

Regal. Shutterstock

European chain Cineworld bought Regal in 2017 for $3.6 billion, making it the second-largest movie theater chain in the world.

FILE PHOTO: A Cineworld cinema logo is pictured in Canary Wharf in London Reuters

The coronavirus pandemic hit Regal and all movie theaters hard, forcing Regal to close al its theaters indefinitely beginning March 17.

A man cycles past a shuttered movie theater in Times Square following the outbreak of coronavirus disease (COVID-19), in the Manhattan borough of New York City, New York, U.S., March 17, 2020. Carlo Allegri/Reuters

Theaters began reopening throughout the summer according to local regulations, with social distancing measures keeping attendance low.

Regal. Photo by Daniel Knighton/Getty Images

Regal announced that beginning Thursday, it would close all 536 US theaters and 127 UK theaters.

Regal theater. AP Photo/Jae C. Hong

In the press release, CEO Mooky Greidinger cited the lack of blockbuster releases that could potentially sustain theaters. Last week, MGM pushed back the release of the James Bond film "No Time to Die" from November until next April.

In the press release, CEO Mooky Greidinger cited the lack of blockbuster releases that could potentially sustain theaters. Last week, MGM pushed back the release of the James Bond film "No Time to Die" from November until next April.

Spiking COVID-19 cases in New York City have reintroduced stricter measures for indoor gatherings. "Despite our work, positive feedback from our customers, and the fact that there has been no evidence to date linking any COVID cases with cinemas, we have not been given a route to reopen in New York," Greidinger said.

Regal theater. AP Photo/Jae C. Hong

Spiking COVID-19 cases in New York City have reintroduced stricter measures for indoor gatherings. "Despite our work, positive feedback from our customers, and the fact that there has been no evidence to date linking any COVID cases with cinemas, we have not been given a route to reopen in New York," Greidinger said.

The closures will affect 45,000 jobs in the US and UK, and Cinemark's share prices dropped by more than a third since the announcement.

Regal theater. AP Photo/Jae C. Hong

See how NYC is reopening for indoor dining as a new state report warns that up to 50% of restaurants could be forced to close permanently

Cookies on the Business Insider India website

Regal Cinemas is closing all its US theaters indefinitely. Here's how the company grew to be the second-largest theater chain in the country.

Entrepreneur Mike Campbell started Regal Cinemas in 1989. It was headquartered in Knoxville, Tennessee, in an old warehouse, according to a contemporaneous Associated Press article.

The company's first theater was in Florida, where Campbell renovated an already existing theater with new carpets, concessions, and screens, more than doubling its size.

Regal theaters grew, especially in the suburbs, and were known to be relatively upscale compared to competitors, with cafes selling cappuccinos and cookies inside. By 1995, Regal was the ninth-largest movie theatre chain in the US.

In 2001, with nearly 4,000 screens across 328 theaters, Regal became one of several theater chains to declare bankruptcy.

In 2002, Denver billionaire Philip Anschutz became the majority owner in Regal Cinemas, United Artists Theaters, and Edwards Theaters, combining them all under the new parent corporation Regal Entertainment Group.

In 2008, Regal Entertainment acquired Consolidated Theatres, a movie chain with locations in mid-Atlantic states. The Department of Justice required Regal to divest some theaters in areas where it would otherwise have a monopoly.

Regal was one of many companies to downsize in 2011, laying off many managers and projectionists to better compete with Netflix and Redbox.

European chain Cineworld bought Regal in 2017 for $3.6 billion, making it the second-largest movie theater chain in the world.

The coronavirus pandemic hit Regal and all movie theaters hard, forcing Regal to close al its theaters indefinitely beginning March 17.

Theaters began reopening throughout the summer according to local regulations, with social distancing measures keeping attendance low.

Regal announced that beginning Thursday, it would close all 536 US theaters and 127 UK theaters.

In the press release, CEO Mooky Greidinger cited the lack of blockbuster releases that could potentially sustain theaters. Last week, MGM pushed back the release of the James Bond film "No Time to Die" from November until next April.

The closures will affect 45,000 jobs in the US and UK, and Cinemark's share prices dropped by more than a third since the announcement.