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