Exhibition giant and Regal Theaters owner Cineworld said on Thursday that the United States Bankruptcy Court for the Southern District of Texas, Houston Division has confirmed a third amended Chapter 11 plan of reorganization, which calls for a new board led by former Pepsi and Pepsi Bottling top executive Eric Foss.
“This milestone paves the way for the group Chapter 11 companies to implement the restructuring transactions contemplated by the plan and to successfully emerge from their Chapter 11 cases,” the world’s second-largest movie theater company said. “Cineworld continues to expect to emerge from the Chapter 11 cases in July.”
The plan calls for a newly incorporated company, “NewCo,” to become the sole owner of Cineworld when it emerges from Chapter 11 bankruptcy protection. It will get a new board of directors. The latest restructuring plan update “set out that the group Chapter 11 companies expect the NewCo board to include Eric Foss as chairman,” Cineworld said. The executive “has served as chairman and CEO of two Fortune 200 companies and has extensive global business experience in the food, beverage and service industries,” it highlighted. “The company understands that the selection of additional NewCo board members is ongoing.”
Foss served as CEO of Aramark, a provider of food, facilities and uniform services to hospitals, universities, school districts, stadiums and other businesses around the world. from 2012 and as its chairman and CEO from 2015 until his retirement in 2019. Before that, he was CEO of PepsiCo unit Pepsi Beverages Company and chairman and CEO of publicly-traded The Pepsi Bottling Group. Foss currently serves on the boards of Cigna, Diversey Holdings, Primo Water and Selina Hospitality.
“The confirmation of our plan of reorganization is a significant milestone as Cineworld moves towards emerging from this process in a strong financial position and with a more resilient capital structure,” said Cineworld CEO Mooky Greidinger. “Cineworld remains focused on refining and growing our global business and cinemas for our guests around the world and delivering the most immersive and cutting-edge cinema experiences that make us the ‘Best Place to Watch a Movie’.”