Market Overview

AMC Theatres® Statement about MoviePass Announcement: "Not Welcome Here"


AMC Theatres® announced today its concern that an announcement by a
small fringe player in the reselling of movie tickets is not in the best
interest of moviegoers, movie theatres and movie studios. Accordingly,
AMC is consulting with its attorneys to determine if or how AMC can
prevent a subscription program offered by MoviePass from being used at
AMC Theatres in the United States. AMC is the largest movie theatre
operator in the United States.

MoviePass announced a change to its "subscription model" that would
allow consumers to see up to 365 movies a year for a monthly fee of
$9.95. MoviePass envisions paying AMC its full ticket price without
discount. The AMC average ticket price for watching a movie at AMC
Theatres in the most recent financial quarter was $9.33. From what we
can tell, by definition and absent some other form of other
compensation, MoviePass will be losing money on every subscriber seeing
two movies or more in a month.

Bloomberg today called it a "crazy plan." AMC noted that it is not yet
known how to turn lead into gold. AMC believes that holding out to
consumers that first run movies can be watched in theatres at great
quantities for a monthly price of $9.95 isn't doing moviegoers any
favors. In AMC's view, that price level is unsustainable and only sets
up consumers for ultimate disappointment down the road if or when the
product can no longer be fulfilled. AMC also believes that promising
essentially unlimited first-run movie content at a price below $10 per
month over time will not provide sufficient revenue to operate quality
theatres nor will it produce enough income to provide film makers with
sufficient incentive to make great new movies. Therefore, AMC will not
be able to offer discounts to MoviePass in the future, which seems to be
among their aims.

While AMC is not opposed to subscription programs generally, the one
envisioned by MoviePass is not one AMC can embrace. We are actively
working now to determine whether it may be feasible to opt out and not
participate in this shaky and unsustainable program.

About AMC Entertainment Holdings, Inc.

AMC (NYSE:AMC) is the largest movie exhibition company in the U.S., in
Europe and throughout the world with 1,009 theatres and 11,083 screens
across the globe. AMC has propelled innovation in the exhibition
industry by: deploying more plush power-recliner seats; delivering
enhanced food and beverage choices; generating greater guest engagement
through its loyalty program, web site and smart phone apps; offering
premium large format experiences and playing a wide variety of content
including the latest Hollywood releases and independent programming. AMC
operates among the most productive theatres in the United States' top
markets, having the #1 or #2 market share positions in 22 of the 25
largest metropolitan areas of the United States, including the top three
markets (NY, LA, Chicago). Through its Odeon subsidiary, AMC operates in
14 European countries and is the #1 theatre chain in Estonia, Finland,
Italy, Latvia, Lithuania, Spain, Sweden and UK & Ireland.

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