The movie theater chain Cinemark is considering a sale of its entertainment assets, including the Hollywood Sign, after failing to turn a profit in two consecutive quarters.

The company reported a loss of $4.6 billion for the fourth quarter of 2018.

Its stock fell 8.3% in after-hours trading.

It said the deal is contingent on the sale of Cinemark’s remaining assets, which include the Hollywood sign and the adjacent park.

It is expected to close the sale in the second quarter.

Cinemark said the sale would not have a material effect on the company’s financial condition, as the company already has a significant amount of debt. 

“The Hollywood sign is a vital part of our business,” said Jim Murphy, chairman and CEO of Cinemarks parent company AMC Entertainment.

“It provides access to the largest movie and entertainment venues in the world, and we believe the sale will help bring additional economic benefits to the region.

It also creates a strong foundation for future expansion of the theater chain and for our other theater businesses.”

Murphy, who has been a critic of the Hollywood signed, said Cinemark will continue to operate under the old sign as it seeks to improve its operations. 

The theater chain is one of several movie theaters to have been threatened by the Trump administration. 

A company spokesman declined to comment on the possibility of a Cinemark sale.

Tags: Categories: About