Regal Entertainment owner Cineworld Group has now chimed in on the controversy surrounding “Trolls World Tour” and AMC’s decision to no longer screen Universal Pictures films, saying that the theater chain will “not be showing movies that fail to respect the windows.”
Additionally, Cineworld called Universal’s decision to bypass a theatrical window for “Trolls World Tour” and instead go directly to PVOD (despite theater shutdown due to the coronavirus) “completely inappropriate” and that it “certainly has nothing to do with good faith business practice, partnership and transparency.”
AMC made the decision to essentially blacklist Universal after comments by Shell in a Wall Street Journal story published Tuesday morning that reported that “Trolls World Tour” made $95 million in digital rentals in the 19 days since its release. The film was initially planned for theatrical release but was moved to day-and-date with a digital release in March as thousands of theaters were forced to shut down during the coronavirus pandemic.
“The results for ‘Trolls World Tour’ have exceeded our expectations and demonstrated the viability of PVOD,” Shell said. “As soon as theaters reopen, we expect to release movies on both formats.”
“AMC believes that with this proposed action to go to the home and theatres simultaneously, Universal is breaking the business model and dealings between our two companies,” AMC CEO Adam Aron wrote in a letter to Universal. “It assumes that we will meekly accept a reshaped view of how studios and exhibitors should interact, with zero concern on Universal’s part as to how its actions affect us. It also presumes that Universal in fact can have its cake and eat it too, that Universal film product can be released to the home and theatres at the same time, without modification to the current economic arrangements between us.”
Universal in a statement Tuesday said that “our goal in releasing ‘Trolls: World Tour’ on PVOD was to deliver entertainment to people who are sheltering at home, while movie theatres and other forms of outside entertainment are unavailable. Based on the enthusiastic response to the film, we believe we made the right move… We absolutely believe in the theatrical experience and have made no statement to the contrary. As we stated earlier, going forward, we expect to release future films directly to theatres, as well as on PVOD when that distribution outlet makes sense. We look forward to having additional private conversations with our exhibition partners but are disappointed by this seemingly coordinated attempt from AMC and NATO to confuse our position and our actions.”
The comments also prompted a response from the National Association of Theater Owners (NATO), who insisted that the unique circumstances brought about by the coronavirus pandemic should not be used as justification to reduce the theatrical window.
“Universal does not have reason to use unusual circumstances in an unprecedented environment as a springboard to bypass true theatrical releases,” NATO president and CEO John Fithian said. “Theaters provide a beloved immersive, shared experience that cannot be replicated – an experience that many of the VOD viewers of this film would have participated in had the world not been sequestered at home, desperate for something new to watch with their families. We are confident that when theaters reopen, studios will continue to benefit from the global theatrical box office, followed by traditional home release.”
A spokesperson for Universal has not yet responded to TheWrap’s request for comment.
See Cineworld’s full statement below.
Cineworld’s policy with respect to the window is clear, well known in the industry and is part of our commercial deal with our movie suppliers. We invest heavily in our cinemas across the globe and this allows the movie studios to provide customers all around the world to watch the movies in the best experience. There is no argument that the big screen is the best way to watch a movie.
Universal unilaterally chose to break our understanding and did so at the height of the Covid-19 crisis when our business is closed, more than 35,000 employees are at home and when we do not yet have a clear date for the reopening of our cinemas.
Universal’s move is completely inappropriate and certainly has nothing to do with good faith business practice, partnership and transparency.
Mooky Greidinger, Cineworld’s CEO approached Brian Roberts, the Chairman of Comcast, back in 19th of March (after Universal announced that Trolls 2 would be released in breach of the window) and told him among other things that:
“Nice words from your team are worthless if we cannot trust you as a partner. The message that the media has portrayed is: “Hollywood breaks the window” – well, this is not true! All our partners called us in timely manner and told us that in the current situation they want to shorten window for movies that were already released as cinemas are closing, most importantly, they all reassured us that there will be no change to their window policy once the cinema business returned. Unfortunately I missed similar message in Universal’s announcement… not only did Universal provide no commitment for the future window – but Universal was the only studio that tried to take advantage of the current crisis and provide a ‘day-and-date’ release of a movie that was not yet released”.
Cineworld’s roots go back 90 years in the industry and it was always open to showing any movie as long as the rules were kept and not changed by one sided moves. Today we make it clear again that we will not be showing movies that fail to respect the windows as it does not make any economic sense for us.
We have full confidence in the industry’s current business model. No one should forget that the theatrical side of this industry generated an all-time record income of $42 billion last year and the movie distributors’ share of this was about $20 billion.
All the Hollywood Films Arriving on Demand Early Because of the Coronavirus
Since most U.S. movie theaters have shuttered in response to the coronavirus pandemic, studios are rushing out VOD home releases of movies that were only just in theaters.
Disney/Warner Bros./Universal
"Trolls World Tour"
The sequel to the 2017 animated hit announced it would be available for digital download on April 10 -- the same day it was supposed to land in theaters. Now it's a VOD exclusive.
Universal Pictures
"Birds of Prey"
The Margot Robbie spinoff of 2017's "Suicide Squad" debuted on demand on March 24. The film grossed $84 million since opening on Feb. 4.
Warner Bros.
"The Hunt"
The Universal/Blumhouse horror film was first delayed from release last fall due to controversy over its violent content -- and then sidelined after its March 13 opening by the coronavirus. It's available to stream now.
Universal Pictures
"The Invisible Man"
The Universal horror film starring Elisabeth Moss grossed nearly $65 million since its Feb. 26 release in theaters. It's available to stream now.
Universal Pictures
"Emma."
Focus Features' adaptation of the Jane Austen novel opened in limited release Feb. 21 -- and picked up $10 million in ticket sales until the pandemic shut down theaters. It's available to stream now.
Focus Features
"Bloodshot"
The Vin Diesel comic-book movie opened March 6 and grossed $10 million before theaters shut down. It's available on VOD now.
Sony Pictures
"I Still Believe"
Lionsgate's biopic starring K.J. Apa as Christian music star Jeremy Camp hit VOD on March 27 -- just two weeks after it opened in theaters.
Lionsgate
"The Way Back"
Warner Bros. released the Ben Affleck drama "The Way Back" -- which grossed $13 million in theaters since its March 6 opening -- on VOD less than three weeks later, on March 24.
Warner Bros.
"Onward"
Disney and Pixar’s animated feature was made available for purchase on Friday, March 20, and the film hit Disney+ on April 3.
Disney/Pixar
"Sonic the Hedgehog"
Paramount Pictures' "Sonic the Hedgehog" set a new record for video game adaptations with a $58 million domestic opening weekend on Feb. 14 and has grossed $306 million worldwide theatrically. It's available on demand now.
Paramount Pictures
"The Call of the Wild"
20th Century Studios' feel-good film starring Harrison Ford and a giant CGI dog is available on demand now.
20th Century
"Downhill"
Barely escaping an avalanche during a family ski vacation, a married couple (Julia Louis-Dreyfus and Will Ferrell) is thrown into disarray as they are forced to reevaluate their lives and how they feel about each other. It's available on demand now.
Fox Searchlight
"Never Rarely Sometimes Always"
"Never Rarely Sometimes Always" is the story of two teenage cousins from rural Pennsylvania who journey to New York City to seek an abortion. The film premiered at the Sundance Film Festival and walked away with a Special Jury award. It's available for VOD now.
Focus Features
"Endings, Beginnings"
"Endings, Beginnings," a romantic drama from Drake Doremus starring Shailene Woodley, Sebastian Stan and Jamie Dornan, opened early on digital on April 17 and on demand on May 1. It was meant to open theatrically on May 1.
Samuel Goldwyn Films
"To the Stars"
"To the Stars," a period drama set in 1960s Oklahoma that stars Kara Hayward, Liana Liberato, Jordana Spiro, Shea Whigham, Malin Akerman and Tony Hale, was bumped up to a digital release on April 24 and an on demand release on June 1. Martha Stephens directed the film that premiered at Sundance in 2019 and was meant to be released theatrically by Samuel Goldwyn Films.
Samuel Goldwyn Films
"Impractical Jokers: The Movie"
truTV's first-ever feature-length film arrived early on digital on April 1. Follow James "Murr" Murray, Brian "Q" Quinn, Joe Gatto, and Sal Vulvano, aka The Tenderloins, playing themselves in a fictional story of a humiliating high school mishap from the early '90s.
truTV
"Artemis Fowl"
Disney's adaptation of the Eoin Colfer fantasy novel "Artemis Fowl" was meant to debut in theaters on May 29 but premiered exclusively on Disney+. The film is directed by Kenneth Branagh and stars Colin Farrell and Judi Dench.
Disney
"The Infiltrators"
The theatrical release of Oscilloscope's docu-thriller "The Infiltrators" has been postponed, and the film was released on both Cable On Demand and Digital Platforms starting June 2.
Oscilloscope
"Working Man"
The March 27 theatrical release of "Working Man" has been canceled due to the theater closures, and the film premiered on May 5 via Video On Demand.
Brainstorm Media
"Jump Shot: The Kenny Sailors Story"
"Jump Shot: The Kenny Sailors Story," a sports documentary executive produced by NBA star Steph Curry, was made available for streaming on the new service Altavod between April 16-18 for $7.99 and is available for pre-order beginning April 9. 10% of all the proceeds will be donated to COVID-19 relief efforts. The documentary tells the story of the player, Kenny Sailors, who pioneered the jump shot, and it features interviews with Curry, Kevin Durant, Dirk Nowitzki, Clark Kellogg, Bobby Knight and more.
Photo by Rob Carr/Getty Images
"Scoob!"
Warner Bros. announced on April 11 that it would release the family animated film “Scoob!” for digital ownership and premium video on-demand on May 15, making it the second film (after Universal's "Trolls World Tour") to cancel a planned theatrical release and head straight to home release pandemic.
Warner Bros.
"The King of Staten Island"
"The King of Staten Island," the comedy starring and co-written by "SNL" star Pete Davidson and directed by Judd Apatow, skipped its theatrical release date of June 19 and opened one week early on VOD everywhere on June 12.
Universal Pictures
"The High Note"
"The High Note," the latest film from "Late Night" director Nisha Ganatra that stars Tracee Ellis Ross and Dakota Johnson, made its premiere on VOD on May 29. It was meant to open on May 8 theatrically.
Focus Features
"Waiting for the Barbarians"
Ciro Guerra's film starring Mark Rylance, Johnny Depp and Robert Pattinson was originally slated for a theatrical release but was picked up by Samuel Goldwyn Films to instead be released via cable on demand and on digital in August
Samuel Goldwyn Films
"Irresistible"
Jon Stewart's latest film, a political comedy called "Irresistible," will skip theaters and make its premiere online for on demand digital rental on June 26. The film from Focus Features stars Steve Carell and Rose Byrne and was meant to open in theaters on May 29.
Daniel McFadden / Focus Features
"My Spy"
The Dave Bautista action comedy "My Spy" was originally meant for a theatrical release from STXfilms and was due to hit theaters in March. Amazon then acquired the film from STX and will now release it on streaming on June 26.
Amazon Studios
"The One and Only Ivan"
The animated Disney film based on Thea Sharrock's best-selling children's book "The One and Only Ivan" is the latest feature to skip theaters and move to Disney+. The movie features the voice talent of Angelina Jolie, Danny Devito, Sam Rockwell, Bryan Cranston and Helen Mirren. The film was previously slated for theatrical release on August 14 but will now debut on Disney+ one week later on Aug. 21.
Disney
"The Secret Garden"
The re-imagining of the book "The Secret Garden" was meant to open in UK theaters in April but delayed its theatrical release until August. But STXfilms will now release the StudioCanal and Heyday Films movie on PVOD for $19.99 on August 7 in North America. "The Secret Garden" stars Colin Firth, Julie Walters and Dixie Egerickx.
STXfilms
1 of 29
”Irresistible“ joins a list of big films heading to digital home entertainment platforms early
Since most U.S. movie theaters have shuttered in response to the coronavirus pandemic, studios are rushing out VOD home releases of movies that were only just in theaters.