Regal and AMC CEOs back Paramount-WBD merger

The CEOs of the two largest U.S. theater chains have publicly endorsed the proposed merger between Paramount and Warner Bros. Discovery, arguing that a lengthy antitrust lawsuit would harm the industry's current momentum. Regal Cinemas CEO Eduardo Acuna announced his support on August 5, joining AMC Theatres CEO Adam Aron, who voiced his backing in late July.

Acuna stated he has held direct talks with Paramount CEO David Ellison, who has made specific commitments regarding the combined company's theatrical output. According to Acuna, Ellison pledged to release at least 30 films per year in theaters, maintain a protected theatrical window of 45 days before TVOD and 90 days before SVOD for a minimum of three years, and invest $30 billion annually in media content. Acuna said he believes Ellison is sincere and noted the executive has offered to formalize these promises through a consent decree with state authorities.

The endorsements from the exhibition giants come as Paramount faces a legal challenge from a coalition of 12 state attorneys general, led by California's Rob Bonta. The states filed an antitrust lawsuit on July 13, arguing the merger would give the combined entity,...