AMC CEO urges approval of Paramount-Warner Bros. Discovery merger

AMC Entertainment reported its highest quarterly revenue and adjusted EBITDA in its 106-year history, attributing the rebound to a stronger box-office and recent releases such as "Super Mario," "Spider-Man: Brand New Day" and Christopher Nolan's "The Odyssey." The company’s chief executive, Adam Aron, said the upcoming Paramount-Warner Bros. Discovery merger would create a larger studio capable of delivering more theatrical releases, which he believes is essential for sustaining the recent growth in movie-going, especially among younger audiences.

"The proposed merger will allow the combined company to release at least 30 films a year with longer theatrical windows," Aron said, citing commitments from Paramount’s new leadership. He added that state attorneys general are filing lawsuits to block the deal, but argued that their concerns overlook the economics of theater operators, who negotiate film terms on a case-by-case basis. Aron emphasized that a robust slate of movies and longer exclusive theatrical windows are more critical to theater profitability than the relative bargaining power of studios. Aron noted that Paramount has already increased its annual film output after a change in ownership and is adhering to longer theatrical windows, suggesting that the merger would further improve the supply of content for exhibitors worldwide.