The movie theater industry has taken a major hit over the last five months, as many theaters around the country remain closed. Now, Dallas based Studio Movie Grill has filed for bankruptcy amid recent struggles. While the chain has recently reopened some locations, the restaurant style movie theater filed for chapter 11 last week.
Studio Movie Grill plans to remain open as the business is restructured. “We plan to use this filing to strengthen our business by reducing liabilities and reposition SMG to emerge a stronger organization built for the future as we recover from the unparalleled impact of Covid-19,” said Chairman Brian Schultz. While one third of their locations remain closed, the open locations will continue operating according to their website.
Studio Movie grill first opened in DFW in 1993 and has since expanded to 10 states. The movie theater chain was able to secure lenders that have agreed to provide a new loan to support its restructuring. Hopefully the popular movie theater chain comes back stronger than ever.