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Author Topic: Century Theatres for sale? Jim Ziegler Jedi Master Film Handler Posts: 753 From: West Hollywood, CA Registered: Jul 99 posted 04-01-2005 04:38 AM                     This was emailed to me. The original source is the Hollywood Reporter, but you have to subscribe to get it. Any of you Century guys heard anything? Hollywood Reporter March 31, 2005 Century Theatres on block By Nicole Sperling Bay Area-based Century Theatres is looking for a buyer. According to several sources, the 64-year-old theater circuit has enlisted the services of investment banker Morgan Stanley to manage the sales process. An offering memorandum went out to interested parties Monday. Century did not return calls seeking comment. Morgan Stanley investment banker Richard Brail declined comment. Founded in 1941 by Raymond Syufy, the 1,000-screen circuit is run by brothers Raymond and Joseph Syufy. Based in San Rafael, Calif., the circuit boasts theaters throughout Northern California as well as in Arizona, Nevada and nine other Western states. The Syufy brothers have built up a very successful theater chain over the years, and, sources speculate, are more interested in selling because of the current market conditions, which have seen various chains gobbled up by larger competitors or private equity players looking for fresh investments. Likely parties for the regional circuit include the three largest U.S. theater chains, Regal Entertainment Group, backed by oil billionaire Philip Anschutz; AMC Theatres, now owned by affiliates of JP Morgan Partners and Apollo Management; and Loews Cineplex, which is backed by Bain Capital, the Carlyle Group and Spectrum Equity Investors. All these companies have said they are interested in growing their business through acquisitions. According to one exhibitor, "(Century is) a nice circuit, well concentrated in good markets with a modern asset base. It's a strong company." Also interested in kicking the tires are thought to be such smaller companies as Texas-based Cinemark U.S.A, now owned by Madison Dearborn Partners Inc., and Kerasotes Theatres in the Midwest, which received a $75 million equity investment in 2003 from Providence Equity Partners for the sole purpose of growing the circuit. Sources say confidentiality agreements are being executed and letters of intent likely will be accepted this month.  |  IP: Logged Dave Williams Wet nipple scene Posts: 1836 From: Salt Lake City, UT, USA Registered: Jan 2000 posted 04-01-2005 09:30 AM                        Well the story is an actual story, as to its authenticity, time will tell. Not sure why the syufy's want to sell. The price would be very high. The company has no debt, and owns 90 percent of its buildings and land. Even if the market went south, it is positioned to survive because of that fact. If I were a betting man, and I am not, I would say that the chain is valued at about 3 billion, give or take a few million, and not counting the 1 or 2 billion in cash reserves that can be drained by the brothers before a sale, giving them each about 2 to 3 billion a piece, and then retirement of course. Could be they are just ready to let it all go, getting old, and no confidence in anyone else to run the joint in thier absence. They are the whole and sole owners, with no other partners or stockholders, so It would make sense for them to want to bail instead of handing it to spoiled kids or relatives.  |  IP: Logged Jim Ziegler Jedi Master Film Handler Posts: 753 From: West Hollywood, CA Registered: Jul 99 posted 04-01-2005 02:42 PM                     I wouldn't be surprised if Syufy held on to the land and buildings and acted as landlord. If I am not mistaken, I think a lot of their properties are already set up like that with Century paying rent to Syufy - at the very least when I worked for Century, he building I was in was set up that way.  |  IP: Logged Eric Hooper Jedi Master Film Handler Posts: 532 From: Fort Worth, TX, USA Registered: May 2003 posted 04-01-2005 03:58 PM                     quote: Jim Ziegler interested in selling because of the current market conditions Wow. Imagine that. One of the biggest getting out of the biz because of "current market conditions." Could it be the decline of patrons due to the DVD 3 month release... Hmm? Hmm? I told you all it was starting... The death of the movie theatre. The Syufy's are smart to get out now, and suck every dollar out of every property they own while they can.  |  IP: Logged Jim Ziegler Jedi Master Film Handler Posts: 753 From: West Hollywood, CA Registered: Jul 99 posted 04-01-2005 05:46 PM                     Everyone is always predicting the death of the theatres.. Remember, it is the theatrical release which makes the DVD sales a reality - anything released straight to DVD is a dog...  |  IP: Logged Sam Graham AKA: "The Evil Sam Graham". Wackiness ensues. Posts: 1431 From: Waukee, IA Registered: Dec 2004 posted 04-01-2005 06:48 PM                        Oh HELL no. This had better be somebody's idea of an April Fool's joke.  |  IP: Logged Mike Spaeth Phenomenal Film Handler Posts: 1129 From: Marietta, GA Registered: Jul 2000 posted 04-01-2005 08:53 PM                        No joke - came through to me from NATO.  |  IP: Logged Jesse Skeen Phenomenal Film Handler Posts: 1517 From: Sacramento, CA Registered: Aug 2000 posted 04-01-2005 10:05 PM                     "Remember, it is the theatrical release which makes the DVD sales a reality - anything released straight to DVD is a dog..." Porn's been going straight-to-video for about 20 years now If this news is true, they should sell their dome theatres to ME!  |  IP: Logged Sam Graham AKA: "The Evil Sam Graham". Wackiness ensues. Posts: 1431 From: Waukee, IA Registered: Dec 2004 posted 04-02-2005 06:31 AM                        Century corporate employees should be using the power of suggestion with two words around the office this week..."Berkshire-Hathaway". If Century is as healthy as they're being made out to be here, Century would be a good fit in Warren Buffet's portfolio, and that would keep Century independent of being merged into another circuit. I really don't want to see a Regal or an AMC get the chance to crap all over this chain. It's a pretty safe bet Electro-Voice and THX don't either.  |  IP: Logged Dave Williams Wet nipple scene Posts: 1836 From: Salt Lake City, UT, USA Registered: Jan 2000 posted 04-05-2005 09:13 PM                        Funny you should mention warren buffett. He just recently stated that he is going to aggressivly go after investments such as this. I do believe you may have something there. Ciao  |  IP: Logged Mark Gulbrandsen Resident Trollmaster Posts: 16657 From: Music City Registered: Jun 99 posted 04-12-2005 05:49 PM                     I have made on offer for the chain but there is one hold up...... I insisted that they remove all Strong equipment and replace it with all Kinoton.... They didn't seem really happy about this and I Don't know if they will agree with that so it may hold up the sale ... at least to me. Mark  |  IP: Logged Jesse Skeen Phenomenal Film Handler Posts: 1517 From: Sacramento, CA Registered: Aug 2000 posted 04-13-2005 12:26 PM                     Can't you do that yourself AFTER you buy the theaters?  |  IP: Logged Jim Ziegler Jedi Master Film Handler Posts: 753 From: West Hollywood, CA Registered: Jul 99 posted 04-17-2005 03:18 PM                     Jesse, if he just bought the circuit, where is he gonna get the money for 1000 projectors? Sriously though, rumor has it that they have a buyer now - some investment banker.  |  IP: Logged Frank Angel Film God Posts: 5305 From: Brooklyn NY USA Registered: Dec 1999 posted 04-19-2005 11:31 AM                        Here on the East coast where the sun shines first, when I was a kid one of the classiest chains with the nicest theatres was the Century chain. The Centure Meadows in Queens was a flagship, first-run operation -- it could have been the model for how theatres are supposed to be operated. It was one of my favorate theatres -- getting to go there was a delight. Unfortunately it was converted to a hidious 12-plex, which survives today and can be held up as the kind of abomination that happens to beautiful theatres when they are forced to be something they are not -- it's unnatural and the demons from hell now live there. But I digress....anyway, there was the RKO chain with their gorgeous palaces, Skouras (sp?) chain which mainly operated second runs, but Century was surely a dominant player at the time and they seemed to run many of the best neighborhood houses out side of Manhattan. And btw, "neighborhood houses" in those days usually were better run than the biggest multiplexs in Manhattan today, IMHO. I think this Century chain pulled out some time in the mid-80s, selling off most of its properties. The Meadows is the only one that remained a theatre and now lives life as an ugly multi; I am sure if you go in there and listen closely, you can hear its soul quietly whispering, "Please, someone....let me die." So my question -- is did this current West coast Century chain at one time own theatres in NY, or is it a totally different animal?  |  IP: Logged Adam Martin I'm not even gonna point out the irony. Posts: 3686 From: Dallas, TX Registered: Nov 2000 posted 04-19-2005 01:50 PM                     Different Century.  |  IP: Logged

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