Foreign. Thank you Foreign thank you Hello hello, hello happy Friday T G I f I Hope everyone's having a good one it is. Friday May the 5th And man oh man oh man do we have some fun stuff going on. So in a mere eight minutes, we're going to be getting the unemployment report, which will undoubtedly have an impact on the market.

We're going to see some volatility. and also for those of you who are here to hear what Adam Aaron from AMC has to say the earnings call is going to start around 8 30 as well. So first what we're going to do is listen to the unemployment report, watch the market, and then we're going to switch it up over to the earnings conference for AMC We're going to go through all that, and then we're going to get ready as we normally would for an overall Market Day Obviously a lot of craziness in the regional banking sector, things kind of elevating a little bit across the market. early this morning.

we got very, very, very good numbers out of Apple, so we'll be diving into that then. I Wanted to give you an update on really everything that's happening in real time with regional banking, the FDIC the government, the one trillion dollar coin, the debt limit. We have a lot going on. so I Hope you had a great day yesterday I Hope you had a great evening I Hope you're having a great morning and I hope you're ready for ideally a very profitable day in the market and then obviously I Hope you're ready to crush it this weekend.

I Hope you're hanging out with friends, family, loved ones and if you don't like any of them I Hope you're having a fun time by yourself. So folks TGIF Happy Friday morning I Hope you are ready to have an absolutely phenomenal day before we get into it. Don't forget to destroy the like button. Don't forget to subscribe if you like talking about socks.

Futures Crypto speaking or Crypto we got to talk about Pepe Pepe the New Meme Crypto coin that is ripping, ripping ripping I Totally believe eventually it will have a painful fall to the downside, but as we're watching the movie right now it is keeping it's continually climbing up the mountain so it's awesome to see and also I almost forgot about this I wanted to say thank you We officially as you can see we officially hit 69 420 subscribers over on Rumble and Applause for all of you I appreciate it I appreciate it honestly from the bottom of my heart Thank you so so much! It's great to hit such an important content creation! Milestone We've actually even exceeded it! I Think we hit it late late last night so we are going to be doing a giveaway today. We're giving away a hundred dollar Texas Roadhouse gift card and some Moon gang merch if you want to be a part of the Moon gang merch. Texas Roadhouse gift card giveaway. it is pinned to the top of chat go to Macross.locals.com The link is there: become a premium member for free by putting in the code Banks B-a-n-k-s Make sure you're a monthly non-annual and that will give you the free access and I just need your Twitter handle your Instagram handle your email.

Just some way to reach out to you if you are the winner and so it's free to enter. Just go through all that but we hit 69 420 subs. Thank you thank you thank you from the bottom of my heart. It means more than to me that I could possibly articulate.

I truly really appreciate it. You guys are in here day in and day out. Thank you thank you thank you! So we're going to celebrate that a little bit later on. We'll do that.

maybe right after the Market opens or something like that. so lots to go over. lots to go over I Hope you guys are ready I Hope you guys are ready for an awesome day! A very awesome day! Let me switch this up just because we have a couple minutes here. the overall Market actually going up pretty nicely.

We closed out the day at 405 we're currently at 408 and the reason for this is basically Apple saved us Apple very much saved us closed out the day at 165.80 currently trading at 169.50 up about 2.2 percent Apple had very very good earnings so the markets are upticking right now. spy going up kre going up I have AMC and APR just so we can obviously pay attention to them during the earnings call. Lots of lots of things going on I hope it's I hope it has the vibe of being a good vibes type of a day. So I'm personally very excited to see how this all plays out.

is Matt wearing shoulder press no I'm wearing a jersey that Rumble gave to me at the NASDAQ when they IPO it at the NASDAQ one of my presents or gifts or whatever for being there I guess like a thank you gift or welcoming gift or some sort of a gift. um Rumble based in Canada and has stereotypical as it is. a lot of the people in the company are very into hockey so they got me a hockey uh I don't think you could see it really but even the back of it it says cores has my number on it. so I just figured we're celebrating Rumble today.

Shout out to particularly to the rumble audience I Appreciate you guys! A lot of the people I see in Rumble have been here from day one and they come in day after day so the support has been absolutely phenomenal. So like I said, we're gonna have a bit of fun and we're gonna do a little bit of a give back to the Rumble Community especially uh for hitting this and then maybe we'll have another fun one at like 100k or 200k or 250 or something like that. So let's get rocking. We are a couple minutes out right now.

the Market's looking strong. Apple's looking strong. We are seeing some green and pre-market Actually, we're doing this weird thing where we gapped down yesterday and we're now gapping up above the gap down. So the Gap Up play has now become a gap downplay.

It's because it's like kind of confusing. This is definitely a rarity. But basically my point here is there's a clear Gap in the chart from 407 77 to 407 27 a 50 Cent Gap A perfect 50 Cent untested region where we don't know what's going on with Supply We don't know what's going on demand. so I am looking for this to get filled today.

It probably it might not even exist by the time the Bell Rings because obviously we're about to get a lot of volatility from the unemployment report. Speaking of the unemployment report, they are expecting 3.6 percent. They are looking at 180 000 jobs. Goldman Sachs did just revisers early this morning to go higher.

I Think they're now looking at 250. we're looking at month of the month, wage increases of 0.3 percent and year over year 4.2 Those numbers are kind of scorchingly high. so that does bring up a little bit of fears of wage increase. uh, inflation, wage driven inflation.

so that's something we're going to be listening through. So this is the plan. We will be listening to the Unemployment report because that's only a couple minutes and then we're going to be switching it over to the AMC earnings announcement which should all be going down and I guess at this point roughly a minute as of now as of now. as of now, Stock features rise following Apple earnings Jobs report ahead.

As of now, things are green, but let's see if it ends up actually holding. Uh. Also, Treasuries treasury yields. climbing ahead of the report yields solely but surely ticking upward.

Obviously beyond that, uh, 8 30 we're getting the Unemployment Report hourly Wages 1 Pm Bullard will be speaking just so everyone knows, and then consumer Credit at 3 pm today. I Don't know how many people will really be paying attention to that one. As of this moment, things are green. the Dow the S P the NASDAQ Green green Green oil recapturing 70 And as I said, yields are ticking upwards.

And I Just want you to know the monthly seasonal bias of today. The Bulls have won 56 of the time. The profit factor is 1.24 and as you can see from the equity curve over the past decade, it is leaning bullish. Not the most bullish seasonal day we've ever seen, but I would argue that today does favor the Bulls.

So I just wanted you to know that. And obviously this is on local so this is part of what you get when you are a local member whether free or premium. So macross.locals.com make sure you are signing up over there. And with that being said, let's get ready.

Let's get ready. Let's get ready. Good Futures ready. Is there a number? All right? should be coming out like now gonna be.

We got the first cut built in uh I want to hear Rick Riff on that when we get to the other side of the number because uh, who's better than he is Either on given the numbers we're talking about or yeah, I'll look for the river exactly what is it? Rick got it? Yeah, all right the April data for the Jobs report Rick April April 253 000. came in way higher than expected. They were the consensus was 180. 80 to 185 that we were looking for and 253 000 is the best.

well only since February when it was up at but the point the point that it is a bit better and if we look at government versus private private was very strong. At 230 000 that is a full 70 000 more than expected. Wow, the numbers coming in definitely higher than expected. 3.4 3.4 they were expecting 3.6.4 in January very strong which goes back into this very strong 60s I don't know how good that actually is.

Remember we live in the inverse world. a pair for one percent two tenths more than we were expecting. and as I referenced earlier, two tenths, uh, in February was the lowest level going back to one year to February of 22.. So that is definitely a nice pop.

And if we look at year over year, also stronger than expected up 4.4 210. that's not good. Then our last look: two tenths better than expected. They want these numbers coming down.

Goes back to they want wages to be coming down, they want unemployment to be going up their goals, like to get it to 4.5 and we just clocked in that it has many weeks of 30. Uh, labor forces hold steady as well. It's a trifecta: 62.6 expected 62.6 in the rear view mirror, and this month is 62.6 which leaves U6 the underemployment rate. That's 6.6 percent.

That is one tenth lesson. Negative Seven The best it's been. The numbers are too good, the economy's too strong. It's uh, suggestion of like inflation.

This is not good. It's a good report, but remember, we're in the inverse world right now. We all know that that is a long way below their four and a quarter high yield close. We see the pre-opening equities are still down about half a one percent at least in the Futures contracts.

And one other thing I Think is important to note that right now it yields up. We see that 20 and 30 year yields up. 20-year bonds, 30-year bonds. Their yields are actually higher on the week.

Other maturities are getting close so we want to pay attention. They're definitely, of course higher yields on the session. Joe And the panel Yeah, you meant that equities are like down a half a percent from uh, from where they were before the number when they were up because they're still, uh, they're still up and I I'm gonna. We're gonna get reaction now from a pin on I'll start with Steve and just pause it this.

Steve I'm trying to figure out good news whether good news is still bad news because I thought when we thought they were going to Pivot you would have thought the market was going to go up. but it didn't because I think recession fears are now taking over and look where. oil down at 69 right? So I'm not sure or did the market not go up because it didn't really believe there was going to be a pivot because there was more strong numbers coming. Well I I Want to give you a slightly different way better than I Expected it to be unemployment dropping they expected I'm talking about.

Furthermore, hang on, is that a man going yet? Nope, Nope nope Nope. Probably get the MCA Now it's good news for the following reason. Let me know if the AMC someone listening. uh the music.

We have no change of participation rate this month, but we put a bunch of them to work. The market got smoked on that report doesn't decline in the in the number of smoked so I was afraid that that we had a statistical flute the last couple months. plus we had a bigger Vision down in March so it kind of all evens out. There is some slowing in the market SpaghettiOs Pretty incremental.

So now there is still that upside Gap they'll play to 407-77.50 when I look at where the jobs where we have this influx into private education Up 77 000 and overall Rick it's 100 right? this uh big number on the private sector 43 000 and I wanted to see what's happening with government which has been a source of strength of 23 000. I mean do I have to play the game That job growth is bad? Well that's what I mean I don't want to play that game I don't even I'm not even. You could barely argue that right now. 150 reasons I should be six is one.

Someone just said AMC is live now. See this morning is Adam Aaron our chairman and CEO and John Goodman our Chief Financial Officer Before I turn the webcast over to Adam let me remind everyone that some of the comments made by management during this webcast may contain forward-looking statements that are based on Management's current expectations. Numerous risks, uncertainties, and other factors may cause actual results to differ materially from those that might be expressed today. Many of these risks and uncertainty these are discussed in our most recent public filings, including our most recently filed 10K and 10q.

Several of the factors that will determine the company's future results are beyond the ability of the company to control or predict in light of the uncertainties inherent in any forward-looking statements. Listening for caution against relying on these statements, the company undertakes no obligation to revise or update any forward-looking statements. Whether as a result of new information or future events on this webcast, we may reference non-gaap Financial measures such as adjusted ebitda, constant currency Precast flow, operating cash burn, and operating cash generated among others. For a full reconciliation of our non-gaap measures to Gap results, please see our earnings release posted in the investor relations section of our website earlier this morning.

After our prepared remarks, there will be a question and answer session. This morning's webcast is being recorded and a replay will be available in the investor relations section of our website at AMC Theaters.com later today. With that, I'll turn the call over to Adam Thank you John Good morning everybody! thank you for joining us today as we sit here this morning. I Could not be more optimistic.

He says this every time he's future because of two vital developments in the first quarter of 2023.. first is the clearly growing industry-wide box office up in North America By some 29 quarter to quarter versus last year growing the more than 1.7 billion dollars in the quarter and industry-wide attendance in movie theaters in our markets across Europe as reason has risen even closer to pre-pandemic levels prior to Uh, pre-pandemic Norms than even the surging North American box office gained. Incidentally, that clearly growing industry box office has continued in April And so far in May, the April domestic box office was up about 58 percent for example, and there is a flood of potential hit movies built to be released in the remainder of 2023.. we previously indicated that we expected the 2023 industry-wide domestic box office could be up 15 to 25 percent or more over that of 2022..

Well, now with a big start this year, we now believe the 23 domestic box office will be up 20 to 30 percent over last year. The second development in Q1 is that our shareholders at our March 14 special meeting voted by an enormous margin by fully 80 88 in favor of only 12 percent opposed of saving to our proposal to combine our eight preferred units at AMC common shares of the AMC Commons shares that were voted 72 percent voted yes. Of the eight pollers that were voted 91, voted yes. As a result, AMC should be able to raise significant Equity Capital to Outlast the pandemics lingering aftermath affecting our cash reserves to help us pay down debt or for attractive M A opportunities as well as for other growth initiatives AMC's unique and singular ability to raise Capital since 2020.

has been one of the key reasons for our success in avoiding the fate of other movie theater chains big and small that didn't make it are continued ability to raise capital is what gives us unbridled confidence in AMC's future. We thank our shareholders for the real wisdom show to their votes of March of 2023.. we are also aware that there is eggs among some of the holders of a considerably smaller number than voted against our proposals. We hope to convince you over time that the majority of shares that were cast voted in favor of strategies and actions which will generate the best long-term results for AMC.

Let's turn back to the box office first. there were many movies that were in theaters in Q1 that had extraordinary appeal. Thank you above all to James Cameron for Avatar as a way of water at a current growth of 2.3 billion dollars. Globally, it's the third highest grossing movie in the history of Cinema And need I remind any of you that we are a mere 19 months and 14 days away from Avatar 3 gracing our AMC and Odeon screens.

It will be a Merry Christmas indeed in 2024.. But it wasn't just Avatar that resonated with consumers in Q1. Nine different movies won their week as the highest grossing films across the week of Q1. And the news is not only that there were more big movies in our theaters than two one there were more movies.

Period. Q1 proved out to be precisely true in what we have been predicting. The quantity of films now coming out theatrically is rising if you look at WISE releases to find his films grossing five million dollars or more domestically, there were 35 such movies in Q1 2023 versus only 26. into one of 2022, that's a 34.6 increase in the supply of theatrically released films regardless of their ticket sales numbers and dollars.

As we look at the whole of the year, we continue to expect a similar substantial increase in the total Mood account throughout the May of the remainder of the year of movies being released theatrically. For more context, back to Q1: This year was the best first quarter domestic box office since March 31 of 2020. And while still in the recovery mode at 72 percent of 2019's pre-pandemic first quarter, the first quarter of 2023 represents a significant Improvement compared to last year's first quarter, which was only 56 percent of 2019 levels 56 a year ago, 72 percent this year Bill Rising As for AMC, the first quarter is box office success for the industry translated into AMC's strongest start in four full years AMC Exceeded consensus Market Expectations for Revenue We exceeded consensus Market expectations for adjusted even though and exceeded consensus Market Expectations for adjusted adjusted net income as well as exceeding consensus Market expectations for existed Eps AMC is earning 21 growth in global revenues to 954 million dollars at a 69 million dollar Improvement in adjusted even though up from a 62 million dollar loss in ebitda a year ago to positive seven million dollars this year. Indeed, Q1 of 2023 combined with Q4 of 2022 marked the first two consecutive quarters of positive adjusted even though since March of 2020.

more than 47 million guests visited an AMC theater worldwide in the first quarter of 2023.. 47 million Guests stands in stark contrast to the naysayers and doom tellers of conventional wisdom who loudly but wrongly predicted that movie theaters were dead and an anachronism of bygone days. Those 47 million people tell us, as we have known for years and years, that movie theaters are very much alive and very much the center of the cultural fabric of the United States for years and decades to come. Also, as those 47 million guests came into our theaters, boy did they even drink.

Our food and beverage revenues per Patron were eye-popping at 6.90 per Patron globally and 7.99 per Patron in the United States This is so far above pre-pandemic consumption and it's occurring in a very high margin business for us. Very high margin to our doors. AMC Guests also continue to seek out premium large format screens or PLS as they're known where AMC already has a commanding competitive leads. AMC is the largest IMAX operator in the world outside of China and about half of the IMAX screens in the United States can be found in AMC theaters Come along the exciting: We're the only operator of Dolby Cinema screens in the United States and continue to have a contractual exclusive on Dolby Cinema going forward in the U.S market, our premium large format screens often over indexed five or six-fold in box office revenues or more in the box office grocers that they bring to AMC That's compared to a non-plf AMC screen.

So over the next one to three years you will see us continue to invest in our Plfs. We intend to upgrade a significant number of IMAX screens to IMAX with laser and we intend you increase the number of our Plfs by adding more iMac screens and by adding more Dolby Cinema screens. We also expect to significantly grow the numbers of our private label house branded Clf screens called private AMC in the United States and Middle East and I sense in Europe. We're not only making AMC a more compelling experience for moviegoers through More and Better PLS screens.

we have also contracted to install laser projectors in about half of our U.S screens over the next three calendar years. Laser projection increases the light levels on our screens by 50 to 100, which makes the pictures much brighter, much sharper, and more. Vivid It's also our biggest green initiative ever in our company's history as laser projection consumes far less energy and there are no Xenon bulbs to throw away in landfills. Insulation of lasered AMC Started back in 2022 and it is going extremely well.

The fact that I'm talking about the Investments we will be making in upgrading and enhancing our product is in itself, enlightening and revealing. During the height of the pandemic when we're fighting for survival, long-term planning around here was like a week from Thursday, But now as we become ever so much more confident in AMC's vitality, we can actually look forward again to our longer term future and specifically how we can improve the appeal of our theaters and how we can grow and transform AMC through M A activity. Make no mistake, we are not out of the woods yet. The box office wall elevated is not yet back in 2019 levels.

As I previously indicated that I believe covert will be a five-year DeTour for the movie is free. we just started the fourth year, you know, I ramp up to eventual normality, but we are indeed on an improving ramp. Domestic box office revenues is a basic placeholder of size for our industry was above 11 billion dollars for five years in a row between 2015 and 2019., there was only two billion dollars in 2020 than 4.5 billion dollars in 2021, 7.5 billion dollars in 2022, and no guarantees here, but we believe the domestic box office revenues are likely to be 9 billion dollars, or considerably more than that in 2023. That also is an upwards ramp or look at AMC Evita which was 771 million dollars in 2019..

incredibly, seemingly overnight, it sank to minus 999 million dollars in calendar year 2020. minus 292 million dollars a year in 2021. up positive but paltry 46 million dollars in 2022. And if you combine first quarter actual results for 2023 with analyst consensus estimates for quarters two, three, and Four of 2023, that even not that ebitdon number would be hundreds of millions of dollars higher in 2023 than was the case in our 2022 results ever grip.

In summary, we just posted encouraging and excellent Q1 results and we have excellent things coming down the pipe for moviegoers as we go forward. I'll be talked I'll be back to talk briefly about a few other important topics. After someone goes into more detail about our operations, our CFO John Goodman thank you Adam And uh, thanks everyone for joining us this morning. 2023 is off to a really good start with Uh Consolidated Revenue up 21.5 or 24 in constant currency compared to the first quarter of 2022..

the highlight of this being Food and Beverage Revenue student bill. Average revenue is up 30 or 32 percent in constant currency versus the same period last year. Overall, our tenants increased by almost 22 over Q1 2022. Revenue per paper will save us in line with a prior year for up 1.7 in constant currency at 20 and 45 cents.

And it's worth noting that this Revenue per Patron is some 36 percent higher in constant currency than pre-pandemic in 2019.. in the North American Business, the total revenue increased by 25.1 percent compared to Q1 of 2022.. with admissions Revenue per Patron decreasing by 1.5 percent to 11.87 and good beverage Revenue per Patron increasing by 6.2 percent to 7.99 this is an all-time record. Note that admissions Revenue per Patron in the quarter was impacted by an increased proportion of discount tickets during our Tuesday Uh discount program and A-list subscription member attendance in the international business on a constant currency basis.

Total revenue increased by 21 compared to Q1 of 2022. with admissions Revenue per Patron increasing nearly six percent to 10.61 and food and beverage Revenue per Patron increasing by twelve point five percent to four dollars and ninety six cents, This is another all-time record and this growth is further supported by increased premium format or PLS penetration. with Plf Revenue representing 29.2 percent of domestic admissions Revenue in Q1 2023. This compares to 21.7 in the first quarter of 2022 and 19.9 in Q1 of 2019..

And then our International markets premium format Revenue represented 24.1 percent of admissions Revenue compared to 13.1 percent in Q1 of 2022 and 10.6 in Q1 of 2019.. Clearly, Gifts are increasingly appreciating the premium experience offered by our lives and AMC Prime offerings. A strong Revenue growth per Patron is being achieved as guests increasingly choose the premium auditoriums and indulge in our Innovative food and beverage offerings including movie themed cocktails and collectible items. Our initiatives to optimize Revenue including Blockbuster pricing are yielding positive results and the increased adoption of our industry-leading AMC app and targeted marketing initiatives are all helping to drive Revenue growth Looking forward.

we will maintain our focus on the overall guest experience in order to drive our key performance metrics including one our loyalty programs and the AMC app to our food and beverage, Innovations free Sight and Sound experiences through advanced laser projection technology and premium offerings and for diversification initiatives such as the successful launch of the AMC ready to eat and microwave popcorn and AMC branded credit card. All of the above, of course to be achieved while paying very close attention to our overall operating efficiency. Before moving on to talk about the balance sheet, I Do want to just point out that our Consolidated Statement of Operations includes a charge of 126 million dollars related to the potential settlement of litigation in the Delaware courts brought by the Allegheny County Employees Retirement System At half, 10 million dollars of this charge represents estimated legal fees net of estimated Insurance recoveries and is included as a reduction in our adjusted ebitda for the quarter. If excluded, the adjusted ebitda would have been 17 million dollars at 116 million represents a non-cash estimate of the value of the settlement which is subject to court approval and this is included in net income, but excluded from adjusted net income.

Moving to the balance sheet, we ended the quarter with liquidity of 704 million dollars. This is comprised of 496 million dollars of cash and cash equivalents and 208 million dollars of undrawn credit facilities. During the quarter, net cash used in operating activities was 190 million dollars and non-gaap operating cash burden, which represents cash from operating activities After deducting Capital expenditures and before both debt servicing costs and deferred payback was 139 million dollars. This compares to a non-gaap operating cash burn of 224 million dollars in Q1 of 2022..

Note that our cash burn in the first quarter was as anticipated. As the adversely impacted by normal seasonal first-quarter working capital needs, we are anticipating an improvement in cash flow during the remainder of 2023.. during the quarter, we made significant progress in strengthening our balance sheet. We raised 155.4 million dollars of gross Equity Capital Through Ape unit issuances, we repurchased approximately 103.5 million dollars of debt at an average discount of 45.4 percent, and we reduce the principal amount of our debt by an additional 100 million dollars through a debt for Equity Exchange.

The net result of all this in the first quarter is a 208.5 million dollar reduction in the principal amount of interest-bearing debt during Q1 of 2023.. during the quarter, we also strengthened our balance sheet by repaying approximately 33.6 million dollars of deferred rent, reducing our deferred rent liability to 123.6 million dollars at March 31st 2023. One might recall that back in March of 2021, this deferred rent balance was 473 million dollars, and so over the last 24 months, we have lowered the Deferred rent liability by nearly 350 million dollars. All told, including the decrease in deferred rent, we have reduced our liabilities by a total of 242 million dollars thus far in 2023 alone, And if one goes back to the beginning of 2022, the reduction in liabilities is 620 million dollars.

Strengthening the balance sheet is an ongoing priority, and to that end, so far, in the second quarter, we have already raised another 34.2 million dollars of gross Equity proceeds, and we have brought back another nine million dollars of debt. And during the remainder of 2023, we plan to further reduce the Deferred rent balance by another 50 to 70 million dollars, reducing this liability to approximately 50 to 75 million dollars by the end of this year. Note that we have fully issued the Ape units that were available for issuance under the most recent September 2022 at the Market Equity Program A Capital Allocation Priorities, these remain unchanged: One liquidity, two reducing financial leverage and strengthening the balance sheet; three investing in our existing business, and four investing in value enhancing growth and diversification initiatives. Capex native landlord contributions was 41 million dollars in Q1 of 2023, and consistent with our previous guidance, we expect net Capex for 2023 to be in the range of 150 to 200 million dollars.

Actively managing our theater portfolio also continues to represent a profit enhancement opportunity. During the first quarter, we added one new theater and we closed 21 which includes the 13 Saudi theaters. This brings the total number of locations closed since the pandemic began to 136. the total new locations opened to 55 for a net reduction of N1 locations.

The combined 55 new locations continue to substantially outperform the 136 closed locations prior to their closings, and they also continue to outperform our underwriting expectations. Looking forward, we're optimistic about the future and the opportunities to strengthen and diversify our business. What Continuing to enhance our financial position as we progress along our recovery Squad part and with that I'll hand the web cost back over to Adam to provide an update on our strategic initiatives. Thank you! Sean Our goal as Leaders of AMC is to increase the value of the company over the long term for our shareholders.

We do this by officially managing our operations and taking decisive actions to provide the best product services and experiences for our guests, which in turn drives revenues and profit growth. At the same time, we seek to invest in the development of our business, enhancement of our theater footprint and the growth through value creating diversification initiatives. Over the last three years we have operated in an extremely challenging environment. As you all know, survival was our primary focus that is changing now.

it is finally starting to be time again when AMC can focus not only on Surviving but instead on thriving. Thus far this morning, you've heard about the progress we're making in our ongoing recovery. I know I provide an update on some of the key strategic initiatives we're implementing. They'll transform AMC in a post-pandemic operating environment in that light.

I'd like to highlight four other recent developments: First, our retail popcorn loss on March 11th the day before Oscars Sunday we launched AMC's Ready To Eat Perfectly Popcorn for an exclusive six months of Engagement at about 550 locations of the nation's largest retailer Walmart As you know, AMC's perfectly popular hits special aisle end caps with three varieties of ready to eat popcorn plastic butter, extra butter, and lightly salmon. Sales were brisk, in fact, so much so that most of the Walmarts sold out of their initial Supply. Not only are we very pleased by the initial positive consumer reaction, but so to Walmart is please. Importantly, the second phase of our exclusive Walmart launch began on April 29th when we scaled up the supply chain with the distribution of AMC's ready popcorn hitting the shelves at approximately 2 600 Walmart stores and for shipping nationally in the United States on Walmart.com AMC's microwave popcorn was also introduced at that time at Walmart's across the country, as well as was the case back in March Again, in the early days, sales are brisk.

We think that our home popcorn is going to turn into a substantial business for AMC. We are already currently exploring opportunities for its eventually expansion is other grocery store chains and other e-commerce and other channels. once Walmart's exclusivity ends. Wait, Is it going to tell us the numbers though? How much are you selling? Like, what are the numbers? In launching the AMC Entertainment branded credit card in partnership with Visa a world leader in digital payments and deserve a leading mobile first fintech credit card platform, The rewards with AMC Entertainment Visa cards is the only credit card that earns in theater Awards whatever it's used AMC Entertainment Visa Card holders earned extra AMC stub points which they can use as currency rewards they get with every purchase made on their AMC Entertainment Visa card.

That card exemplifies AMC's ongoing commitment to delivering tangible benefits both to our guests and to our sellers while reinforcing our bond with our devoted wait. So he's not going to tell us how much popcorn was sold or am I like going crazy. The creation of eight units is August The 22 was vital for AMC. It resulted in our being able to raise 418 million dollars of much needed gross cash proceeds, allowing us to boost our liquidity and reduce debt including deferred rent by more than 470 million dollars.

Indeed, AMC is unequivocally financially a stronger company today as a result of our having created Aid units. Nonetheless, despite having the same economic and voting rights of our MC Common shares, eight units have consistently traded at a substantial discount. Ers that discount creates inefficiencies that increase our cost of capital and cause unnecessary and preventable. Solutions Therefore, after careful thought, the AMC board presented proposals to amend our corporate charters to simplify our capital structure via reverse stock split at a conversion of eight units into AMC common shares based on your vote on March 14, you approved such amendments.

We think our shareholders overwhelmingly agree with the importance of doing this. However, in response to litigation about this silver votes, we work for the players and found common ground to settle our differences which if approves, will allow the charter amendments to be implemented in accordance with the affirmative shoulder vote Because that proposed solvent is currently under review by the Delaware Chancery Court we do not intend during this call to discuss this litigation further and the fourth development, we are so appreciative that Hollywood Studios again seem to recognize the incredible value creation of theatrical exhibition. In recent years, some studios were prioritizing their streaming services over theaters. Today, the talk in Hollywood has flipped Movie Makers Know there is money to be made in theaters and Studio after Studio is rushing to increase the number of movies that they release first theatrically traditional.

Studios aren't the only ones interested in launching films on the big screen. Amazon Studios Just the afternoon released their wonderful movie about the true story of Nike introducing the Air Jordan Sneaker Air sorry Ben Affleck and Matt Damon has enjoyed more than 70 million, 47 million dollars of domestic box office success and receive far greater consumer Acclaim and awareness than it would have had it been released directly to streaming without a Fiatrical release first. And we look forward to selling two Apple theatrical releases later this year the highly anticipated Killers of the Flower Moon distributed by Paramount directed by Martin Scorsese and starring Leonardo Dicaprio and Robert De Niro. In addition, the riveting movie Napoleon distributed by Sony directed by Ridley Scott as starring Joaquin Phoenix.

These initial releases by Amazon and Apple could be just the tip of the iceberg of new content for AMC. There have been numerous press reports that these two Tech Giants each split plan to spend about one billion dollars per year on movies that will be headed first to theaters prior to going on streaming platforms. This means then you'll be able to watch there's a friendly customers on our big screens Amazon and Apple movies. we can't wait to Showcase their films.

So in conclusion, on this call, we could not be more optimistic about the prospects for the movie slate of films coming out during the remainder of 23, except only to say that 2024 looks even better. The 2023 Q1 Financial results coupled with a strong starts in the second quarter make us confident about the path we are on towards an ongoing recovery for AMC in 23, 24, and 2025.. And as I conclude, a special final word to the Apes I Have greatly enjoyed meeting so many of you in our theaters I've personally hosted 23 movie screens in 22 different cities. you guys hear that is that Just me 18 months and I do my next one in Berlin in Germany on May 13th I Also greatly appreciate your communicating with me on Twitter as I think many of you know I write all of my tweets myself and I devote about an hour a day to reading the voluminous, inbound comments from you about AMC it is Illuminating for me to hear what you have to say I am a better educated and a better able CEO because I get to hear your views directly and unfiltered.

Thank you for your ongoing support, thank you for your passion, an enthusiastic commitment to AMC and I look forward to your seeing any number of great movies. There will be plenty of the big screen of our AMC Theaters and Odeon Cinemas in the weeks, months and years ahead. So let's now move to questions both from shareholders and from industry analysts. I Said thanks Adam Um, let's start with a couple of questions.

Um, from our shareholders. Uh, the first one here is are there any plans to enhance or expand our AMC loyalty programs? Yes, What a surprise. Yes. So that was an excited question.

Important marketing programs that we have. Let's say, three of the most important marketing programs. We have What is a list of course, our subscription program that titles people to see up to three movies a week for 20 or 25 dollars a month plus tax. The other is AMC Stubs in which we have two tiers Insider and premiere that allow movie hours at our theaters to to earn discounts and freebies.

uh, when they return to AMC theaters in future as a reward for their current spending at AMC And third is uh of uh, just an enormous amount of outbound Communications by email push notification text that we send to members of our Lolly programs that talk about the movies that will be appearing in our theaters and other benefits that could accrue to them as a result of their support of AMC. Um, as you might expect, all those programs they're grinding home. Our theaters were shut for almost six months and the volumes in all those three programs started back in a much lower number than where they were just before the pandemic hit us. So we've been in a buildback mode ever since we reopened and I'm pleased to say that the numbers are starting to look good again.

Uh, we have a significant number of A-list members and there are a lot of possible enhancement to Asia ALS o that we're thinking about and talking about Uh for 2023 and Beyond one Of the most interesting of them is there's something called Churn where uh A-list member is a small number, but each month some of them drop out um and we don't want to lose those people as AMC customers. So one of the things we'll be aiming to do is to Uh to communicate directly with former A-listers who for whatever reason is not, decided to continue with the program and try to keep them loyal to us. Uh, turning to the Stubs program. Um, there are a whole host of initiatives that are now being tested in some markets.

We'll see which of these tests meets with positive consumer appeal. Um, and we're going to do interesting new things both for Insider members and for Premier members. As I said, we're testing a variety of options right now in small quantities in certain markets around the Us. As we learn which of our initiatives are testing well and producing good results, we'll start to roll that out.

Nationwide I'd Ask for the communications program. it's ramping right back up and again. Uh, movie covers at AMC can continue to expect and we'll communicate to them Uh, based on their specific movie going preferences. We do, after all, know what movies you want to see and so it makes sense to talk to you about the kind of movies that you as far as we've liked as new similar movies come out in the future.

Thanks! Adam That's great. Um the next question you have. oh, we still go ask about will the AMC expand the distribution of retail popcorn to grocery stores and perhaps in international markets. and also is it possible to arrange for the shipping of AMC merchandise internationally? So the answer question is almost definitely Yes.

mostly. So definitely ask. We would like to expand where AMC Perfectly Popcorn can be bought in the United States Um, the reasons we were so eager to give Walmart a six-month exclusive? Dude, What the is that noise? Yeah, Walmart's one of the great retailers of the world and it's very rare that there are product launches that start at two times across the United States They showed great enthusiasm for our product and therefore we were willing to give them a head start. But you can be sure that we'll be talking to just about every major grocery store in the country.

Uh, we'll be talking to convenience stores in the country. We're looking at other possible places to buy AFC Perfectly popcorn through e-commerce Um, it has been suggested to us that we only sell it on Amazon.com for example. it's been suggested to us that we're going to sell it on Amctheatres.com In addition to it's being available at Walmart.com we're also going to look at other unconventional places uh, potentially to like, uh, showcase popcorn like for example, crack houses sports stadiums. Oh um, I was close company.

curious that are privately catered, but I think probably cancer libraries privately catered I mean you know their company's a big cat? Big companies the Kentucky Derby Um and hopefully we can get in there too. Uh, might just be the best food that is found again. I'm curious that Legitimate Jungles can, uh, take it after the six month Walmart exclusive I've heard a lot of times on Twitter afternoon we take it to Canada and we take it to the UK and Continental Europe. It's a little harder because um, right now, with only four pounds manufacturers in the United States and the cost of shipping that perfectly, the costs of me listening to this anymore is my own sanity.

So I am dropping that because we should talk about more important. like the overall Market that is currently above, we have this Gap region. you guys got to get ready for the day. the Market's about to open up in 10 minutes we're gapping up.

There's a downside Gap Bill to 407 27 so please pay attention to that. As of now, we are looking green oils back above 70. Apple Crushed their earnings yesterday Apple Reports better than expected quarterly driven by iPhone sales. Awesome.

Crush it. Apple Expected to announce a 90 billion in buyback. They did announce it. Apple's keeping the market alive CEO Tim Cook Says layoffs are a last resort and not something Apple is considering, so that was somewhat of an expected thing.

They're also like really crushing it in India right now. So Apple kind of keeping the world alive Warner Bros Discovery Reports big overall loss even as streaming turns a profit. they made 50 Milli Warner Bros did. but they still had a kind of they missed on their revenue and also had a wider than expected loss.

I Want to talk about what is that? All right? Hey, there's there's knocking or something. Just hang on one second. Foreign. Well this is interesting.

This is a turn of events. It turns out the person knocking was literally someone knocking out my door like there was like a courier. Dude here and he's like are you Matt Cores like I think so. Are you like are you a cop like what's going on and I had to like sign for this package.

Um and I think it relates to streaming because it's from Trophy Factory or something. Let's see what it is. Let's see what it is. Dude: I think the guy was there for like 10 minutes.

Let's see what we have. Let's see what we have Like all these like these things. the popcorn. What do we have here? What do we have? What do we have something from? Rumble Rumble I Was wearing my Rumble shirt today.

What do we have? What do we have here? Attention: Matt Cores Is there anything on the back of this on behalf of the entire Rumble team? I'm thrilled to present you with your very first! Rumble Creator Ward for surpassing 69 420 followers. Congratulations Rumble's mission of protecting free and open internet immune to cancer. Culture would be impossible to achieve without our creators. By joining us, you have taken a stand for creative freedom and opened a door for more creators to do the same.

This award is a symbol of the success you've achieved by joining our mission. We are honored to provide the platform where you've been able to grow your audience and give them the content they deserve. Thank you for your courage and creativity. We can't to see what you do in the rest of 2023.

Chris Pavlovski the CEO of Rumble What do we have here? uh I don't know if this is gonna fall out Rumble and then uh, hang on I don't want to drop. Whoa. this is heavy I have uh they gave me a a Mac Cores 69 oh is it my face? 69 420 followers What a troll from Rummel that is so cool that shout out to the Rumble team shout out to everyone watching on Rumble did they just get like a courier Dude, they're like there was just like a message who's like are you mad Coors and I had to sign for the package were they just like waiting for the number to go over 69 420 Subs That's so cool here one more time. this way Mac Core is 69 420 followers.

See, they know they know when you hit a real Milestone Shout out to Rumble! Shout out to Chris Shout Out to the entire Rumble team That's so cool here. First Rumble Award s Look at that. that's awesome Chris Pavlovski I Just kind of thought it was coming at a 100k. That's 69 000.

that might be one of my favorite ones. 69 420. Oh I Love it I Love it I Love it I Love it. All right? Well obviously Shout out to Rumble! and more importantly, shout out to all of you who have been supporting me I Appreciate it.

We've had our ups, we've had our slide downs, but more so UPS right? So thank you for the support. Thanks for always bringing in the Good Vibes Let's see what the next week, month, year, decade of Our Lives can possibly bring together. Thank you, thank you thank you! It's obviously we're only going to the Moon from here. Shout out to everyone all right.

Now back to the fact that the Market's about to open in a few minutes and it appears as if is the banking crisis done. Is it not done Ape not doing anything? Ape has literally been barcoding so we don't need that. AMC Actually dropping because of the earnings. It did beat it beat on Revenue It did beat by about 20 mil.

Uh, and it had less of a loss than expected. So it's still losing money. but less of a loss than expected. which is I would take that as like a good sign.

So let's switch this one out. Apple obviously is a big watch of the day I mean it closed out yesterday at 166. basically a little under 166. Apple ripped up to 171.

and let's see what we have here. I guess we could watch I really actually want to watch wall just because that might be like the potentially the next Bank to fall I Don't know I would love to get your thoughts on everything. uh the Market's gonna open in just under two minutes. Do you think the regional banking scare is over? Is Apple going to be the new bank? Is Pepe going to be the new bank? I Mean we're such in a weird a weird time right now IEP IEP is up right now because uh, there's a little bit of a reassurance from Carl Icahn they did a two dollar dividend.

They're like, hey, we know that the earnings were supposed to be today. we kicked the can down the next week, but we are doing a two dollar dividend so that's like currently posturing some strength. Personally, I'm not really buying it I still think IEP is pretty screwed. Here's a look at the overall: Market I'm looking for this now.

A downside: Gap Field to 407.27 in all reality I Don't think the unemployment report or the various reports that came out this morning are really that good. In fact, they're good for the economy. But remember, we're in the upside down world where what's good is not so good because it might be in a weird way signaling stagflation. Uh, were, as in inflation is more sticky than we want.

and they're not really bringing it down. Unemployment dropped. In fact, the Fed's trying to get it up one percent. Uh, they don't want wage driven inflation.

So uh, I'm actually kind of surprised at the Spy is so strong right now. but let's wait to see how things play out. We've seen weird things happen before in the market, so I don't really care too much about Primark It's just so low volume. Let's see what actually happens during the market day today.

And also, let's see what happens over the weekend. So if you think of Signature, if you think of Svb, if you think of FRC all these bank failures and uh, receivership, they were all announced over the weekend. So uh, I think there could be some news over the weekend. Without a doubt, what is going on? Uh oh, Profit.

Target The oh oh, you didn't hear the old brother. uh, the Algo just made a little bit of money there. But apparently up there we go, the casino is open. Best of luck to all.

Play responsibly. If not have fun, it's Friday TGIF Be careful because we got the unemployment report this morning. We got Apple's earnings report which did very very well last night. We're in the middle of apparently a regional banking sector crisis.

Lots of stuff going on. Lots and lots and lots of stuff going on. So be careful. Play responsibly.

Make sure you're paying attention. You're risk and your reward. I Beg of you to pay attention to your risk and your reward. Do I get dividends if I want to put no, uh uh.

you get dividends. If you own the stock, that's like I mean remember what options are? They're derivative based on an underlying asset. You get the like. the dividends like you need to have the underlying asset, not a derivative based on it.

Remember, like conceptually, don't forget what options are. They're just contracts. that's all options are. Call option is the right to buy stock at a certain price, on or before a certain date, and a put option is the exact opposite.

It's your right to sell a stock at a certain price, on or before a certain date. That's all it is. It's looks like this is getting a little smacked, but uh, even though we're seeing a little bit of a downturn right here, uh, in the regional Banks I mean I've kre the sector and then walls can hit remember the uptick. So actually they're green right now.

I mean wall is up 30 and kre is up five percent. So there's a bunch of green over here. So even with kre falling I mean it's still up five percent. It did good in the post Market section uh and obviously did pretty solid in the pre-market session to hold till now.

So as always I want to wait those first 10 15 20 minutes just to see how things play out today. Um I I mean I think there's going to be a lot of just jockeying for a position? Uh, there are some important things we need to get into about the overall Regional banking stuff right now. I do have some important updates for you and um I don't know I I still have my position I still have my IEP puts my kre puts my pack W puts my wall puts I have all of my puts still um, they're I guess I'm risking a squeeze I think there's a lot of people who are trying to go short right now so there could be a squeeze. so I'm obviously risking that, but we'll see how it all plays out.

What's my opinion on Volt E New Crypto I don't I've never heard of it. It sounds like just like another random, crippy, crappy crypto project. I I Don't know anything about it though. Interesting to see wall going up and Kre going down right now kind of going.

Usually you'd think that they would move a little bit more in lockstep. What's falling right now? Pac West is falling a little bit, but once again, it's up 33. Uh, Huge gains, Huge gains, kre falling uh wall? Definitely showing some strength. The spy showing some strength Apple's showing some strength.

I Mean the Spy has already gone from 408 all the way up to 409 and it's exploded like 75 cents. Uh, very strong opening? Will it hold? Is the goal in question? We've seen this before where there's absurd strength, but it's almost like a flash in the hand scenario and it's almost either profit taking or it's getting pumped up and people are then layering in a put position. I would not take the first three minutes of market movement, whether good or bad, to be indicative of what's happening for the rest of the day. Of course they could continue.

I mean Apple's showing legitimate strength. The spy in the NASDAQ is up right now exclusively because Apple is crushing it. Apple had a great earnings. they had great tonality.

they like were very bullish on India Like Apple is why the market is not basically dying right now. Uh, we should all give an Applause to Tim Cook Steve Jobs And honestly, the entire Apple team, they're crushing it. Seasonality is useless. No, that's not true.

There are people who exclusively trade seasonality and are very profitable. Traders seasonality. There's a reason why so many people talk about it is because it's a very profitable way to engage in the market. Shout out Kinky Kong Morning Mark Happy Birthday I'm so proud of you and your trophy.

Hope you've been doing awesome! Love you on chat! Have the best day you know kicking Kong your name your username always brings a smile to my face I Hope you have an absolutely phenomenal day and a weekend. Uh, but I mean I Can mathematically show you how seasonality is not useless I mean there's clear seasonality in the markets and people use that a lot. I mean I'm not arguing that it's by any means the most exciting way to trade, but if you're using seasonality appropriately, it's definitely a profitable way to engage in the market. Tim Apple old Tim Apple Can I stop clicking my pen Oh my apologies I Just like to I like to fidget I like the fidget I like to fidget Okay, as things are opening, the Spy is opening up pretty strong.

We're at 409 Apple push from 165 and some change all the way up to 172. wall I mean is up 32. it popped up coming down kre um even though it's green, it's been selling off a little once again. I Want the first 10, 20, 30 minutes of the day to play out to really see how things go I think especially in the regional banking sector.

Right now, you're just going to see a lot of whipsaw I Don't know if we'll see really a clear Trend this early on, Shout out to GTA for becoming a bot fighter. Congrats on the your first Rumble Rod my Rumble Rod 69 420 met my Mac congrats on passing 69 420 Shout out I Appreciate all the love, thank you thank you thank you I want to make sure I didn't miss any? Uh, let me switch it over to here so you we can actually see what's going on on. Rumble Congrats Matt Duckmaster Moto Dallas I appreciate it I Appreciate all the love. You guys are the best! The best, the best, the best all right Pack W someone said pack W halted which way up or down I guess to the upside halted to the upside it looks like it right? pack W Upside Hall at 9 35 so it'll start trading again at 9 40.

9, 40 and 12 seconds. Uh, any thoughts on Sofi I Kramer was just talking about Sofi So my gist on sofa would be due to do the exact opposite of whatever Kramer said about it. What's with Carvana? Carvana's dying Cvna? Um, it's been just getting absolutely crushed. Did they just have earnings? They must have had pretty good earnings.

It's up 40 I Don't think it'll hold I Mean just look at how Carvan has been doing it. pumps, it, dumps, it pumps, it dumps. If anything, I would use this as an opportunity as soon as I see legitimate weakness I'd probably bet against Carvana I Don't think this one earnings is going to change the overall trajectory. All we see with this is it pumps, it dumps.

it pumps, it dumps. I Have no reasoning to believe that this particular pump would be different than any of the other ones. All right, people are asking about coin. They had earnings.

Obviously pretty good. I mean Crypto's looking strong I mean Bitcoin's hanging out 29 000 Pepe is apparently saving the world maybe Pepe saves the regional banking sector for all I know, uh, coins, coins In a weird situation with like right now they're kind of fighting with the SEC and I actually have an update on that. so we will be going over coin and their fight coinbase and their fight with the SEC I do have an important update there, but maybe more importantly, especially for the people in here: Market's looking strong Apple's looking strong uh kre just kind of sideways wall popped selling a little bit now Pac W Remember it's going to start training again in two minutes I Do want to just give you an update Dow Jones Change your point says Regional Banks Rebound Apple gains. Let's see if it holds Regional Bank Sucks.

continue to slide on Thursday with Pacwest leading the way down 50. So that was the major headline of yesterday. Regional Banks Were under a lot. A lot of a lot of pressure.

But now as of this morning, here's what you need to know if this loads in the banking sector is the market is very important for the regional business Out those companies that perhaps took on a little too much risk due to a lack of regulatory oversight, they're challenging their business models and I think that's going to continue with the regional and smaller Banks But when we zoom out a little bit from those: Banks Looking at the globally systemically important Banks they're actually well regulated. They're liquid. They've shown through their earnings that deposits have stabilized and they're growing, so we know that path. West and Western Airlines their deposits actually went up two percent less.

You're not at the moment expecting a U.S recession in 2023? Or that's not the way. that's crazy and I think that's unconsensus. This week, the whole Market's collapsed around the idea recession is coming apart from. maybe Jerome Powell's a little bit more optimistic.

I'm curious to get your attention. thanks Mark Well, the FED has paused. That's already a very good sign. But also looking at inflation I Think that's actually going to come right.

Quite notably in the second half of this year. if we look at Goods the supply chain pressures that we saw previously have largely dissipated. That's going to bring down the price of goods even further. And looking at the services sector, for example, and wages, we've already seen signs from the Jolt Stator earlier this week that job the job market is Cooling and so we should see some relief from that wage pressure as well.

I'll also mention here that the consumer is extremely resilient. so I certainly think that we can avoid a recession for 20 years popping hard right now Apple Just looks so good. All right. So clearly there's a little bit of a pause and maybe this is it.

Maybe this is the bottom in Regional Banking I Don't necessarily think so I think this, especially like we're heading into the weekend I Think people are going to be talking about it. Even though we're rebounding, we're rebounding off our yesterday's lows. Like if you look at the daily chart, things are still brutally brutally brutally bad. Um, so is it oversight? I mean honestly I think we could put the finger at many, many things that are going awry.

I Did want to let you know about this right here: FDIC plans to hit big banks with fees to refill Deposit Insurance Fund So I find this particularly funny because if you look at the FDIC Insurance Fund it has about 125 billion in it. Do you know how many U.S deposits there are in totality? 17 billion or excuse me I misspoke 17 trillion So this: Insurance Fund that's supposed to make us all feel good is 125 billion a little bit north of that as of the end of last year. and then as of March, the U.S total deposits was 17 trillion. So this: Insurance Fund it's like giving someone a Band-Aid after they've been shot multiple times.

It's nowhere close to the patchwork we need and that's why the FDIC doesn't want to spend any of their money really taking any of these Banks into receivership because they just don't have the money to do it. And in Katanga, of course, the big banks have really benefited with this turmoil in Regional lenders and smaller Banks. So what does this plan look like for the FDIC? They're really focused on trying to replenish this Deposit Insurance Fund without charging the nation's smallest ranks. In fact, they're hoping to charge a larger