Shutdown tough on movie theaters
The screens at the Angela Triplex Theater in Coaldale have been dark since mid-March, when Pennsylvania ordered the closure of all nonessential businesses.
And while some business sectors across the state are slowly reopening, Angela General Manager Michael Danchak said it will likely be at least another month before he and his fellow theaters can reopen.
“It doesn’t make sense to open up when people are skeptical and there are no good movies out, everything is put on hold,” Danchak said.
The shutdown has been tough on theaters and good for their competition: at-home streaming services.
The virus shutdown already claimed one of the Angela’s main competitors, Mahoning Valley Cinema. They announced last week that they wouldn’t reopen due to coronavirus.
They are not alone. One of the biggest theater chains in the country, AMC Theatres, is reportedly facing bankruptcy.
With CDC restrictions on large gatherings still in place, and most new releases delayed until July at the earliest, movie theaters across the country won’t reopen alongside other businesses.
Even in states where movie theaters are allowed to reopen, they are closed. Theaters in Texas were allowed to reopen on Friday, but some chains said they would remain closed until mid-July because there are no new releases.
The National Association of Theatre Owners says that new releases won’t be available until theaters reopen in the country’s major media markets.
“Some theaters in some areas that are authorized to open may be able economically to reopen with repertory product, however, many theaters will not be able to feasibly open,” NATO said in a statement.
While theaters wait to reopen, viewers rely more on one of their main competitors: streaming services.
In recent years, platforms like Disney+ and Google Play have increased in popularity as an alternative to going to the movies.
The movie “Trolls World Tour” was scheduled for release in theaters when coronavirus hit. Universal decided to release it on demand instead, for $20. Based on that success, the studio said it would consider releasing more movies online at the same time they debuted in theaters. Some theaters have threatened to boycott the studio in response.
But despite increased competition, Danchak remains optimistic that moviegoers will return if theaters reopen this summer.
“We’ve struggled with the Fire Sticks, people being able to stream movies at home,” Danchak said. “We’ve always done well with the family-oriented kids movies though.”
The Angela takes pride in low prices and a connection to the community. The theater holds fundraisers with community groups.
Danchak said he was surprised to see the Mahoning Valley Cinema, which was also connected with the community, go out of business. But he said movie theaters located in malls have to continue paying their rent even if they are closed due to coronavirus.
The Angela doesn’t have to pay a lease because they own the building. Danchak’s family bought and extensively renovated the theater over many years.
“We’re fortunate we have a low overhead. We still have bills, but we’re able to work with our debt companies. Hopefully we can pull through this,” he said.
Danchak recently posted on the theater’s Facebook page asking how many people would return. The responses were mostly positive, though some people said it is still too early at this time.
March and April are typically not known as big months for movie theaters. Blockbusters are more often released in the summer and around the holidays.
Danchak is concerned that if a second wave of coronavirus emerges in the fall, businesses could be forced to close once again. That could potentially wipe out a much more important season for theaters.
“I don’t think any business can sustain shutting town twice in one year for 6-8 weeks,” he said.