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CORRECTING and REPLACING AMC Entertainment Holdings, Inc. Announces Fourth Quarter and Full Year 2013 Results

  CORRECTING and REPLACING AMC Entertainment Holdings, Inc. Announces Fourth
  Quarter and Full Year 2013 Results

CORRECTION…by Business Wire

Business Wire

LEAWOOD, Kan. -- February 25, 2014

In the Balance Sheet Data table, the "Construction openings (closures), net"
row has been corrected.

The corrected release reads:

 AMC ENTERTAINMENT HOLDINGS, INC. ANNOUNCES FOURTH QUARTER AND FULL YEAR 2013
                                   RESULTS

AMC Entertainment Holdings, Inc. (NYSE:AMC, “the Company”), one of the world’s
largest theatrical exhibition companies and an industry leader in innovation
and operational excellence, today reported results for the fourth quarter and
full year ended December 31, 2013.

Gerry Lopez, AMC’s president and chief executive officer, stated, “Our strong
operating results in 2013 give us confidence that our strategy, as laid out
during the recent initial public offering (“IPO”) is working. Our
year-over-year revenue improvement in 2013 was fueled by the progress we are
making in our efforts to further set ourselves apart as the guest experience
leader in movie exhibition. Our five strategic action fronts, led by
innovations in comfort and convenience as well as our enhanced food and
beverage offerings, are changing industry standards. These initiatives drove
improved performance, and in combination with our expense-management focus,
also produced adjusted EBITDA gains for the year. These results demonstrate
the strength of our differentiated business model, heightened brand awareness,
and solid execution by our entire team at AMC.”

Mr. Lopez continued, “With the extremely robust AMC Stubs membership loyalty
program as an anchor, we delivered record revenues and our revenue growth
outpaced the domestic box office performance. Furthermore, with the completion
of our IPO and the subsequent refinancing of a significant portion of our
outstanding debt, we have increased our financial flexibility. This will
enable us to continue to reinvest in our business and receive a high return on
project investments that both enhance our guests’ experience, and our
long-term overall profitability.”

Quarter Results

AMC’s revenues for the three months ended December 31, 2013 increased 2.3% to
$713.0 million, compared to $697.0 million for the three months ended December
31, 2012. For the three months ended December 31, 2013, admissions revenues
increased 2.1% and food and beverage revenues increased 0.3%, driven by a 5.5%
increase in average ticket price, and a 3.7% increase in food and beverage
revenues per patron, offset somewhat by a 3.2% decline in attendance.

Adjusted EBITDA for the three months ended December 31, 2013 was $112.9
million compared to $114.8 million for the three months ended December 31,
2012. The current quarter was negatively impacted by additional expenses of
$3.8 million, (compared to $1.3 million in the prior period) related to a
cash-based management profit sharing plan which was terminated at December 31,
2013 and $3.2 million related to a voluntary retirement program both of which
were undergone in connection with the company’s IPO. Reconciliations of
non-GAAP financial measures are provided in the financial schedules
accompanying this press release.

Net earnings attributable to AMC for the three months ended December 31, 2013
was $279.6 million compared to $0.4 million for the three months ended
December 31, 2012. Diluted earnings per share for the three months ended
December 31, 2013 was $3.58 compared to $0.00 for the three months ended
December 31, 2012. Net earnings attributable to AMC for the three months ended
December 31, 2013 included reversal of a non-cash deferred tax asset valuation
allowance of $265.6 million, or $3.40 per share on a diluted basis.

Full Year Results

As a result of the August 30, 2012 Wanda merger, we do not have comparable
financial results for the period December 30, 2011 through August 30, 2012. In
order to present investors a meaningful period-to-period comparison of our
financial results, we have combined the prior year Predecessor with prior year
Successor operating information, on an unaudited pro forma combined basis. The
pro forma information for the calendar year ended December 31, 2012 does not
purport to represent what our consolidated results of operations would have
been if the Successor had actually been formed on December 30, 2011 (the first
day of that fiscal year), nor have we made any attempt to either include or
exclude expenses or income that would have resulted had the Successor been
formed on December 30, 2011. In addition, this pro forma information is not
presented in accordance with GAAP; for a presentation of our GAAP results of
operations, see the “predecessor” and “successor” information for 2012
provided in the financial schedules accompanying this press release.

AMC’s revenues for the year ended December 31, 2013 increased 3.6% to $2,749.4
million from $2,654.0 million for the year ended December 31, 2012, which
included two additional days due to change in accounting periods. For the year
ended December 31, 2013, admissions revenues increased 3.2% and food and
beverage revenues increased 5.8%, primarily due to a 3.0% increase in average
ticket price and a 5.6% increase in food and beverage revenues per patron.

Adjusted EBITDA for the year ended December 31, 2013 increased 2.2% to $448.1
million from $438.3 million for the year ended December 31, 2012 and was
negatively impacted by additional expenses of $11.3 million, (compared with
$2.6 million in the prior period) related to a cash-based management profit
sharing plan which was terminated at December 31, 2013 and $3.2 million
related to a voluntary retirement program both of which were undergone in
connection with the company’s IPO.

Net earnings attributable to AMC for the year ended December 31, 2013
increased to $364.4 million from $46.0 million for the year ended December 31,
2012. Diluted earnings per share for the year ended December 31, 2013 was
$4.76 compared to $0.68 for the year ended December 31, 2012. Net earnings
attributable to AMC for the year ended December 31, 2013 included reversal of
a non-cash deferred tax asset valuation allowance of $265.6 million, or $3.47
per share on a diluted basis.

As of December 31, 2013, the Company’s aggregate screen count was 4,976.
During 2013, the Company opened one new theatre with a total of 12 screens and
acquired four theatres with 37 screens in the U.S., permanently closed four
theatres with 29 screens in the U.S., and temporarily closed 371 screens and
reopened 339 screens in the U.S. to implement our strategy and install guest
experience upgrades.

Public Offering

On December 23, 2013, the Company closed its IPO, including the full exercise
of the underwriter’s option to purchase additional shares of 21,052,632 shares
of Class A common stock at $18.00 per share. The net proceeds to the Company
were approximately $355.3 million after deducting underwriter discounts and
commissions, and offering expenses.

Subsequent Events

On February 7, 2014, the Company completed the private offering of $375.0
million aggregate principal amount of senior subordinated notes due 2022 (the
“Notes”). The Notes were sold to investors at a price of 100.000% of the
principal amount thereof and bear interest at a rate equal to 5.875% per
annum.

In conjunction with the offering of the notes, on February 14, 2014 the
Company completed a tender offer (“the Tender Offer”) and acquired $463.9
million, or approximately 77.3%, of its outstanding 8.75% Senior Notes due
2019. The Company expects to call the remaining $136.1 million of untendered
notes in June of 2014.

Upon completion of the offering of the Notes and Tender Offer, the Company had
total debt outstanding of approximately $2.0 billion, with a weighted average
interest rate of 6.6% per annum. The Company has no debt maturing during the
remainder of 2014.

Conference Call / Webcast Information

The Company will host a conference call via live webcast for investors and
other interested parties beginning at 5 p.m. Eastern Time today. Participants
may access the live webcast by visiting the Company’s investor relations
website at investor.amctheatres.com. The call can also be accessed by dialing
(877) 407-3982, or (201) 493-6780 for international participants.

The replay of the call will be available from approximately 8 p.m. Eastern
Time today through midnight Eastern Time on March 11, 2014. To access the
replay, the domestic dial-in number is (877) 870-5176, the international
dial-in number is (858) 384-5517, and the passcode is 13576163. The archive of
the webcast will be available on the Company’s website for a limited time.

About AMC Entertainment Holdings, Inc.

AMC Theatres^® delivers distinctive and affordable movie-going experiences at
345 theatres and 4,976 screens primarily in the United States. AMC has
propelled a history of industry innovation and continues today by delivering
comfort and convenience, enhanced food and beverage, guest engagement and
loyalty, premium sight and sound and targeted programming to audiences in its
theatres across the United States.

Forward-Looking Statements

This press release includes “forward looking statements” within the meaning of
the “safe harbor” provisions of the United States Private Securities
Litigation Reform Act of 1995. Forward-looking statements may be identified by
the use of words such as “forecast,” “estimate,” “project,” “intend,”
“expect,” “should,” “believe,” and other similar expressions that predict or
indicate future events or trends or that are not statements of historical
matters. These forward looking statements include any statements regarding the
Company’s strategic and operational plans. Forward looking statements should
not be read as a guarantee of future performance or results, and will not
necessarily be accurate indications of the times at, or by, which such
performance or results will be achieved.

Forward looking statements are based on information available at the time
those statements are made and/or management’s good faith belief as of that
time with respect to future events, and are subject to risks and uncertainties
that could cause actual performance or results to differ materially from those
expressed in or suggested by the forward looking statements. For a detailed
discussion of these risks and uncertainties, see the section entitled “Risk
Factors” in the final prospectus contained in our Registration Statement on
Form S-1 filed with the Securities and Exchange Commission on December 19,
2013. The Company does not intend, and undertakes no duty, to update this
information to reflect future events or circumstances, except as required by
applicable law.

                                                                             
                                                                             
AMC Entertainment Holdings, Inc.
Consolidated Statements of Operations
For the Fiscal Quarters and Four Quarters Ended 12/31/13 and 12/31/12
(dollars in thousands, except per share data)
(Unaudited)
                                                         
                       Quarter Ended               Four Quarters Ended
                       December 31,                December 31,
                                                                 Pro Forma
                       2013          2012          2013          2012
Revenues
Admissions             $ 482,149     $ 472,276     $ 1,847,327   $ 1,790,489
Food and                 197,886       197,374       786,912       743,468
beverage
Other theatre            32,942        27,336        115,189       120,050
                                                              
Total Revenues          712,977      696,986      2,749,428    2,654,007
                                                                             
Operating costs
and expenses
Film exhibition          258,187       256,902       976,912       949,291
costs
Food and                 27,293        25,767        107,325       100,491
beverage costs
Operating                192,582       184,375       726,641       699,114
expense
Rent                     112,615       109,881       451,828       443,179
General and
administrative:
Merger,
acquisition and          931           2,862         2,883         10,036
transaction
costs
Management fee           -             -             -             3,750
Other                    37,491        21,841        97,288        71,754
Depreciation and         50,102        55,031        197,537       209,451
amortization
Impairment of
long-lived              -            -            -            285
assets
Operating costs         679,201      656,659      2,560,414    2,487,351
and expenses
                                                                             
Operating income         33,776        40,327        189,014       166,656
Other expense
(income)
Other expense            (1,231)       -             (1,415)       2,545
Interest
expense:
Corporate                32,259        35,018        129,963       155,219
borrowings
Capital and
financing lease          2,350         1,431         10,264        5,751
obligations
Equity in
(earnings) of            (9,292)       (898)         (47,435)      (15,760)
non-consolidated
entities
Investment              1,322        291          (2,084)      224
expense (income)
Total other             25,408       35,842       89,293       147,979
expense
                                                                             
Earnings from
continuing
operations               8,368         4,485         99,721        18,677
before income
taxes
Income tax
provision                (274,243)     3,400         (263,383)     6,505
(benefit)
                                                              
Earnings from
continuing               282,611       1,085         363,104       12,172
operations
Earnings (loss)
from
discontinued            (2,994)      (712)        1,296        33,845
operations, net
of income taxes
                                                                             
Net earnings           $ 279,617     $ 373         $ 364,400     $ 46,017
                                                                             
Diluted earnings
per share:
Earnings from
continuing             $ 3.62        $ 0.01        $ 4.74        $ 0.18
operations
Earnings (loss)
from                    (0.04)       (0.01)       0.02         0.50
discontinued
operations
Net earnings           $ 3.58        $ -           $ 4.76        $ 0.68
(loss) per share
                                                                             
Average shares
outstanding             78,092       76,000       76,527       67,230
diluted

                                                                                    
                                                                                    
Balance Sheet Data (at period end):
(dollars in thousands)
(unaudited)
                                                  As of
                                                      December 31,
                                                      2013           2012
Cash and equivalents                                  $ 546,454       $ 133,071
Corporate borrowings                                    2,078,811       2,078,675
Other long-term                                         370,946         433,151
liabilities
Capital and
financing lease                                         116,199         122,645
obligations
Stockholders' equity                                    1,507,470       766,774
Total assets                                            5,046,724       4,273,838
                                                                                    
Other Data:
(in thousands,
except operating
data)
(unaudited)
                         Quarter Ended                Four Quarters Ended
                         December 31,                 December 31,
                                                                      Pro Forma
                         2013           2012          2013            2012
Net cash provided by     $ 152,677      $ 106,017     $ 357,342       $ 150,438
operating activities
Capital expenditures       (96,878  )     (62,136 )     (270,884  )     (167,166  )
Screen additions           12             -             12              -
Screen acquisitions        12             166           37              166
Screen dispositions        -              -             29              60
Construction
openings (closures),       2              18            (32       )     -         
net
Average
screens-continuing         4,865          4,730         4,859           4,744
operations
Number of screens                                       4,976           4,988
operated
Number of theatres                                      345             344
operated
Screens per theatre                                     14.4            14.5
Attendance (in
thousands)                 50,400         52,086        199,270         199,034
-continuing
operations
                                                                                    
Reconciliation of
Adjusted EBITDA:
(dollars in
thousands)
(unaudited)
                         Quarter Ended                Four Quarters Ended
                         December 31,                 December 31,
                                                                      Pro Forma
                         2013           2012          2013            2012
Earnings from
continuing               $ 282,611      $ 1,085       $ 363,104       $ 12,172
operations
Plus:
Income tax provision       (274,243 )     3,400         (263,383  )     6,505
(benefit)
Interest expense           34,609         36,449        140,227         160,970
Depreciation and           50,102         55,031        197,537         209,451
amortization
Impairment of              -              -             -               285
long-lived assets
Certain operating          4,194          6,411         13,913          16,696
expenses (2)
Equity in earnings
of non-consolidated        (9,292   )     (898    )     (47,435   )     (15,760   )
entities
Cash distributions
from                       10,701         10,184        31,501          29,794
non-consolidated
entities
Investment expense         1,322          291           (2,084    )     224
(income)
Other expense              3              -             (127      )     2,882
(income)
General and
administrative
expense-unallocated:
Merger, acquisition
and transaction            931            2,862         2,883           10,036
costs
Management Fee             -              -             -               3,750
Stock-based
compensation expense      12,000       -           12,000        1,321     
(3)
Adjusted EBITDA (1)      $ 112,938     $ 114,815    $ 448,136      $ 438,326   

  
      (1) We present Adjusted EBITDA as a supplemental measure of our
      performance that is commonly used in our industry. We define Adjusted
      EBITDA as earnings (loss) from continuing operations plus (i) income tax
      provision (benefit), (ii) interest expense and (iii) depreciation and
      amortization, as further adjusted to eliminate the impact of certain
      items that we do not consider indicative of our ongoing operating
      performance and to include any cash distributions of earnings from our
      equity method investees. These further adjustments are itemized below.
      You are encouraged to evaluate these adjustments and the reasons we
      consider them appropriate for supplemental analysis. In evaluating
      Adjusted EBITDA, you should be aware that in the future we may incur
      expenses that are the same as or similar to some of the adjustments in
      this presentation. Our presentation of Adjusted EBITDA should not be
      construed as an inference that our future results will be unaffected by
      unusual or non-recurring items. Adjusted EBITDA is a non-GAAP financial
      measure commonly used in our industry and should not be construed as an
      alternative to net earnings (loss) as an indicator of operating
      performance or as an alternative to cash flow provided by operating
      activities as a measure of liquidity (as determined in accordance with
      GAAP). Adjusted EBITDA may not be comparable to similarly titled
      measures reported by other companies. We have included Adjusted EBITDA
      because we believe it provides management and investors with additional
      information to measure our performance and liquidity, estimate our value
      and evaluate our ability to service debt.
      Adjusted EBITDA has important limitations as an analytical tool, and you
      should not consider it in isolation, or as a substitute for analysis of
      our results as reported under U.S. GAAP. For example, Adjusted EBITDA:
      • does not reflect our capital expenditures, future requirements for
      capital expenditures or contractual commitments;
      • does not reflect changes in, or cash requirements for, our working
      capital needs;
      • does not reflect the significant interest expenses, or the cash
      requirements necessary to service interest or principal payments, on our
      debt;
      • excludes income tax payments that represent a reduction in cash
      available to us;
      • does not reflect any cash requirements for the assets being
      depreciated and amortized that may have to be replaced in the future;
      and
      • does not reflect management fees that were paid to our former
      sponsors.
      (2) Amounts represent preopening expense, theatre and other closure
      expense, deferred digital equipment rent expense, and disposition of
      assets and other gains included in operating expenses.
      (3) Non-cash expense included in General and administrative: Other

                                                                                 
                                                                                 
GAAP Results 2012
(dollars in thousands)
(unaudited)
                                                             
                                     From
                     December 30,    Inception       August 31,    Four Quarters
                     2011                            2012
                                     March 30,                     Ended
                                     2012
                     through         through         through       December 31,
                                                                   2012
                     March 29,       August 30,      December      Pro Forma
                     2012            2012            31, 2012
                     (Predecessor)   (Predecessor)   (Successor)
Revenues
Admissions           $  425,826      $ 816,031       $ 548,632     $ 1,790,489
Food and                171,599        342,130         229,739       743,468
beverage
Other theatre           39,018         47,911          33,121        120,050
                                                                
Total Revenues         636,443      1,206,072     811,492     2,654,007 
                                                                                 
Operating costs
and expenses
Film exhibition         221,191        436,539         291,561       949,291
costs
Food and                22,620         47,326          30,545        100,491
beverage costs
Operating               171,352        297,328         230,434       699,114
expense
Rent                    110,719        189,086         143,374       443,179
General and                                                          -
administrative:
Merger,
acquisition and         2,253          4,417           3,366         10,036
transaction
costs
Management fee          1,250          2,500           -             3,750
Other                   15,621         27,023          29,110        71,754
Depreciation and        56,847         80,971          71,633        209,451
amortization
Impairment of
long-lived             285          -             -           285       
assets
Operating costs        602,138      1,085,190     800,023     2,487,351 
and expenses
                                                                                 
Operating income        34,305         120,882         11,469        166,656
Other expense
(income)
Other expense           1,536          960             49            2,545
Interest                                                             -
expense:
Corporate               42,346         67,614          45,259        155,219
borrowings
Capital and
financing lease         1,488          2,390           1,873         5,751
obligations
Equity in
(earnings) of           (10,695  )     (7,545    )     2,480         (15,760   )
non-consolidated
entities
Investment             (25      )    (41       )    290         224       
expense (income)
Total other            34,650       63,378        49,951      147,979   
expense
                                                                                 
Earnings from
continuing
operations              (345     )     57,504          (38,482 )     18,677
before income
taxes
Income tax
provision               505            2,500           3,500         6,505
(benefit)
                                                                
Earnings from
continuing              (850     )     55,004          (41,982 )     12,172
operations
Earnings (loss)
from
discontinued           (620     )    35,153        (688    )    33,845    
operations, net
of income taxes
                                                                                 
Net earnings         $  (1,470   )   $ 90,157       $ (42,670 )   $ 46,017    
                                                                                 
Diluted earnings
per share:
Earnings from
continuing           $  (0.01    )   $ 0.86          $ (0.56   )   $ 0.18
operations
Earnings (loss)
from                   (0.01    )    0.55          (0.01   )    0.50      
discontinued
operations
Net earnings         $  (0.02    )   $ 1.41         $ (0.57   )   $ 0.68      
(loss) per share
                                                                                 
Average shares
outstanding            63,335       63,715        74,988      67,230    
diluted

Contact:

Media:
AMC Entertainment Holdings, Inc.:
Jessica Liddell, 203-682-8200
Jessica.Liddell@icrinc.com
or
Investor Relations
AMC Entertainment Holdings, Inc.:
Dan Foley, 866-248-3872
InvestorRelations@amctheatres.com
 
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