Movie Theater Owners Call for Paramount-Warner Bros. Settlement

Key Points:

• Cinema United, previously opposing the Paramount–Warner Bros. Discovery merger, has shifted its stance and urged Paramount Skydance CEO David Ellison and California AG Rob Bonta to meet and explore resolution options for the lawsuit blocking the merger.
• The trade organization's leaders cited recent box office successes and industry momentum but expressed concern that ongoing uncertainty could hinder future growth and stability in the entertainment sector.
• Cinema United proposed four key safeguards for theaters, including commitments to maintain or expand theatrical releases with strong marketing, no increase in rental terms, and protections ensuring fair access to films for theaters of all sizes.
• The letter echoes concerns from Hollywood unions, such as IATSE and the Directors Guild, about the prolonged antitrust trial timeline potentially exacerbating industry challenges and prolonging uncertainty for workers and businesses.
• Overall, Cinema United emphasized the need for collaboration and good faith negotiations to secure a bold and sustainable future for the movie exhibition industry amid disruption and change.