Corona direct hit movie theaters “Appeal for rental support measures…not when it comes to big companies”

Movie theaters have been closed after 9pm due to the government’s upgrade to the 2.5th stage of social distancing. The photo shows a movie theater in downtown Seoul on the 7th. [연합뉴스]

Movie theaters that have plunged more than 70% of the audience due to Corona 19 have appealed that they need support measures to ease the rent burden.
The Korea Theaters Association released a press release on the 30th, saying, “CGV, Lotte Cinema, and Megabox, which have a high proportion in movie theaters, are thoroughly excluded from various support because they belong to the conglomerate group.” “The movie theater should be included in the rental support plan, such as providing tax incentives for rent cuts.”

“Recently, a policy to lower the rent burden of self-employed people affected by Corona has been publicized, but the beneficiaries of the policy have been limited to small business owners and SMEs,” he said.
The association said, “About 80% of sales in the Korean film industry come from movie theaters. It is also creating the largest number of jobs in the film industry,” he said. “In this aspect, if a movie theater collapses, a large number of workers will be thrown into the streets and it will bring a tremendous impact to the entire film industry.”
According to the Integrated Cinematography Network of the Film Promotion Commission, the number of movie theater audiences frozen with Corona 19 this year totaled 59.4 million by the 29th. It is the lowest number of annual audiences since 2004, when counting the power grid was started. The record plunged to 26.2% of 226.66 million people last year, a record high.
CGV, which was hit by a direct hit, announced that it would reduce 30% of the 100 directly operated stores nationwide within three years. To date, eight branches have been suspended. Lotte Cinema is also planning to close the doors of 20 branches in stages, starting with 3 branches that have a high loss among direct management theaters nationwide over the next 2 years. Megabox also closed its doors this year, including its member companies.
The association said, “The operating deficit of movie theaters amounts to hundreds of billions of won.” “We are negotiating with the building owners to lower the rent, but rarely accept it. Most movie theaters have made efforts to cut costs this year by reducing the number of employees, cutting wages, stopping business, and taking a break from work. However, unless the rent, which is the biggest burden, is reduced, it will eventually become a fire.” did. In addition, he said, “It is not the time to ask whether it is a large company or not,” he said. “In addition to rental fees, special support measures to maintain employment, various taxes, and utility bills should be implemented as soon as possible.” Don’t miss the golden time. It must be recognized that support for movie theaters is a way to prevent the collapse of the film industry as a whole.”

Reporter Na Won-jeong [email protected]