Cineplex to reopen some Canadian theatres as coronavirus causes revenues to plunge

Cineplex Inc. is reopening some of its theatres across Canada as the company struggles with the fallout of COVID-19 and the demise of its takeover deal.

The Toronto-based movie theatre company will open some theatres in British Columbia, Saskatchewan, Quebec, New Brunswick, Nova Scotia and Newfoundland on Friday.

READ MORE: Cineplex not requiring guests to wear masks when theatres reopen

The reopenings come as Cineplex vows to sue U.K.-based chain Cineworld PLC for calling off a $2.8-billion takeover of the company.

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On Monday, Cineplex said the COVID-19 pandemic had a “material negative effect” on its operations and resulted in a $178.4-million loss in the first quarter.

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The company lost $2.82 per diluted share for the three months ended March 31, compared with a loss of 12 cents per share or $7.36 million a year earlier.

Cineplex revenues tumbled to $282.8 million from $364.6 million, while attendance plunged to 10.7 million from nearly 15 million.