FILE PHOTO: Closed signs are seen at an AMC theater during the coronavirus disease (COVID-19) outbreak in New York City, United States, April 29, 2020. REUTERS / Brendan McDermid
(Reuters) – AMC Entertainment Holdings has granted its top managers and eligible employees millions in rewards to preserve shareholder value during the COVID-19 pandemic, the theater operator said.
In a filing for approval on Friday, the company said that Chief Executive Officer Adam Aron would receive $ 3.75 million as a bonus, while other top executives would be eligible for bonuses ranging from $ 173,000 to $ 507,000.
The move comes at a time when cinema chains like AMC have taken a hit due to coronavirus-induced restrictions that have resulted in delays in movie releases. The company fended off bankruptcy last year with a rescheduling agreement.
The Leawood, Kansas-based company was also one of the “stonks” whose wild ride attracted investors a few weeks ago and which saw the share price rise more than 860% year-over-year.
AMC stock closed 3.4% on Friday at $ 8.01.
Reporting by Eva Mathews in Bengaluru; Adaptation by Maju Samuel