CMX Cinemas, a premium movie theater operator in the United States, has filed for bankruptcy under Subchapter V with the United States Bankruptcy Court for the Southern District of Florida, raising concerns about the future of its theaters. If you’re a frequent customer, here’s what we know so far and what it means for the company.
Why did CMX Cinemas file for bankruptcy?
CMX has initiated bankruptcy proceedings with the aim of reducing its financial obligations, strengthening its balance sheet, and restructuring its operations. The company intends to protect its employees and secure a strong financial position that will allow it to continue operating across the United States.
It plans to submit a reorganization plan to the court and exit Subchapter V during the early part of the third quarter of 2025. As part of the process, CMX will review its lease portfolio and engage in negotiations with landlords to improve lease terms, with a focus on long-term growth and maximizing value for shareholders and business partners.
ALSO READ July 4th: Where and when to watch Independence Day fireworks?
Will CMX Cinemas close its theaters?
No. According to a company statement, CMX expects to continue operating its business and theaters without interruption throughout the restructuring process, and customers can still enjoy their movie experiences as usual. The company also stated that it plans to honor all existing membership programs, including CMX Rewards and CMX Passport.
Additionally, CMX announced it will uphold its commitments to business partners and continue normal operations without disruption to customers, vendors, or employees as much as possible. Regarding potential layoffs, CMX ruled out this possibility and assured that employees will continue receiving their regular pay and benefits without interruption.
About CMX Cinemas
CMX Cinemas opened its first flagship dine-in theater in April 2017 at Brickell City Centre in Miami, Florida, marking a turning point in luxury moviegoing experiences. Since then, the company has been known for offering premium cinematic experiences featuring advanced technology and plush leather recliners at select locations.
Its main concepts include:
- CMX CinéBistro – a high-end movie theater experience with in-seat service and a menu of modern American cuisine prepared by professionally trained chefs.
- CMX Cinemas – renovated traditional theaters offering classic movie concessions.
- CMX Stone Sports Bar – available at select locations, enhancing CMX’s appeal as a complete entertainment destination.
ALSO READ What are Chuck E. Cheese’s new Chuck’s Arcades? We’ll tell you
How many CMX Cinemas are there in the United States?
The chain currently operates 28 theaters with 311 screens and approximately 1,400 employees nationwide.
What is Subchapter V of the U.S. Bankruptcy Code?
Subchapter V, part of Chapter 11 of the U.S. Bankruptcy Code, is designed to help small businesses facing financial challenges. It provides a faster and more cost-effective reorganization process than traditional Chapter 11, allowing companies to restructure their debts while continuing to operate and stabilize their finances.
Who is eligible for Subchapter V?
To qualify for Subchapter V, a company must meet certain requirements, with the primary condition being the total amount of debt. Initially, the debt limit was $2,725,625, but it was raised to $7,500,000 under the CARES Act.
