·

Total revenues were $764.0 million compared to total revenues of $821.1 million for the three months ended June 30, 2015.  

·

Admissions revenues were $481.2 million compared to $533.4 million for the same period a year ago.  Average ticket price was $9.63 compared to $9.91 for the same period a year ago.

·

Food and beverage revenues were $243.5 million, compared to $250.5 million for the quarter ended June 30, 2015.   Food and beverage revenues per patron increased 4.7% to an all-time high record of $4.87.  This quarter marks nine of the last ten quarters AMC has set an all-time high record in food and beverage per patron.

·

Net earnings were $24.0 million and diluted earnings per share (“diluted EPS”) were $0.24 compared to $43.9 million and $0.45, respectively, for the three months ended June 30, 2015. 

·

Adjusted diluted earnings per share (1) were $0.24 compared to $0.48 for the three months ended June 30, 2015.  Included in adjusted diluted earnings per share for the three months ended June 30, 2016 was approximately $5.5 million of merger and acquisition costs.

·

Adjusted EBITDA(1) was $129.6 million compared to $157.8 million for the three months ended June 30, 2015.  Adjusted EBITDA Margin (1) for the second quarter was 17.0% compared to 19.2%, for the same period a year ago. 

·

Adjusted Free Cash Flow(1) for the quarter ended June 30, 2016 was $40.8 million compared to $68.8 million for the quarter ended June 30, 2015.

·

AMC set all-time high records for the six months ended June 30th period for all revenue segments:  total revenues, admissions revenues, food and beverage revenues and other revenues.

·

Total revenues increased 3.8% to $1,530.0 million compared to total revenues of $1,474.2 million for the six months ended June 30, 2015.

·

Admissions revenues grew 1.2% to $963.8 million compared to $952.1 million for the six months ended June 30, 2015.  Average ticket price was $9.52 compared to $9.66 for the six months ended June 30, 2015 and attendance grew 2.7% to more than 101 million guests.

·

Food and beverage revenues increased 8.1% to $487.7 million, compared to $451.0 million for the six months ended June 30, 2015.  Food and beverage revenues per patron increased 5.2% to a new six month record of $4.82.

·

Net earnings increased 4.4% to $52.3 million and diluted earnings per share grew 3.9% to $0.53 compared to $50.1 million and $0.51, respectively, for the six months ended June 30, 2015.

·

Adjusted diluted earnings per share (1) increased 18.6% to $0.51 compared to the six months ended June 30, 2015.  Included in adjusted diluted earnings per share for the six months ended June 30, 2016 was approximately $10.2 million of merger and acquisition costs.

·

Adjusted EBITDA(1) grew 0.9% to $276.0 million compared to $273.5 million and Adjusted EBITDA Margin(1) was 18.0%, compared to 18.5% for the six months ended June 30, 2015.

·

Adjusted EBITDA(1) for the six months ended June 30, 2015, benefited from an $18.1 million gain related to the termination of a post-retirement health benefit plan which caused our net periodic benefit costs to be much lower than normal in the prior year. The gain was recorded as a reduction of general and administrative: other expense.  Excluding this gain in the prior year period,  Adjusted EBITDA growth, year-over-year for the six months ended June 30, 2016, would have shown an improvement of approximately 8.1%, and Adjusted EBITDA Margin improvement of 70 basis points from 17.3% to 18.0%.

·

Adjusted Free Cash Flow(1) for the six months ended June 30, 2016 increased approximately $25.0 million, or 28.4%, to $112.9 million compared to $87.9 million for the six months ended June 30, 2015.

(1)

(Reconciliations and definitions of non-GAAP financial measures are provided in the financial schedules accompanying this press release.)

3 Months Ended

6 Months Ended

June 30,

June 30,

2016

2015

2016

2015

Revenues

 Admissions

$

$

$

$

 Food and beverage

 Other theatre

   Total revenues

Operating costs and expenses

 Film exhibition costs

 Food and beverage costs

 Operating expense

 Rent

 General and administrative:

   Merger, acquisition and transaction costs

   Other

 Depreciation and amortization

   Operating costs and expenses

   Operating income

   Other expense (income):

     Other expense

     Interest expense:

       Corporate borrowings

       Capital and financing lease obligations

     Equity in earnings of non-consolidated entities

     Investment (income) loss

       Total other expense

Earnings before income taxes

Income tax provision

Net Earnings

$

$

$

$

 Diluted earnings per share

$

$

$

$

 Adjusted diluted earnings per share (1)

$

$

$

$

Average shares outstanding diluted

As of

As of

June 30,

December 31,

2016

2015

Cash and equivalents

$

$

Corporate borrowings

Other long-term liabilities

Capital and financing lease obligations

Stockholders' equity

Total assets

3 Months Ended

6 Months Ended

June 30,

June 30,

2016

2015

2016

2015

Net cash provided by operating activities

$

$

$

$

Capital expenditures

$

$

$

$

Screen additions

 —

Screen acquisitions

Screen dispositions

 —

 —

 —

Construction openings (closures), net

Average screens-continuing operations

Number of screens operated

Number of theatres operated

Screens per theatre

Attendance (in thousands)

3 Months Ended

6 Months Ended

June 30,

June 30,

2016

2015

2016

2015

Net Earnings:

$

$

$

$

    Net periodic benefit credit related to the termination

        of post-retirement plan

 —

 —

    Loss on redemption of 9.75% Senior

       Subordinated Notes due 2020

 —

    Gain on sale Real D

 —

 —

    Discrete tax benefit recorded in income tax provision

 —

 —

    Income tax effects of pre-tax adjustments above

 —

Net Earnings, excluding benefit related to termination

 of post-retirement plan, loss on redemption of Notes due

 2020 and gain on sale of Real D, discrete tax benefit,

  and related tax effects of adjustments

$

$

$

$

Average shares outstanding, diluted

Adjusted diluted earnings per share (1)

$

$

$

$

Diluted Earnings per share

$

$

$

$

3 Months Ended

6 Months Ended

June 30,

June 30,

2016

2015

2016

2015

Net Earnings

$

$

$

$

Plus:

Income tax provision

Interest expense

Depreciation and amortization

Certain operating expenses (3)

Equity in earnings of non-consolidated entities

Cash distributions from non-consolidated entities

Investment (income) loss

Other expense (4)

General and administrative expense-unallocated:

 Merger, acquisition and transaction costs

 Stock-based compensation expense (5)

Adjusted EBITDA (2)

$

$

$

$

Adjusted EBITDA Margin (6)

3 Months Ended

6 Months Ended

June 30,

June 30,

2016

2015

2016

2015

Net Earnings

$

$

$

$

Plus:

Income tax provision

Interest expense

Depreciation and amortization

Certain operating expenses (3)

Equity in earnings of non-consolidated entities

Cash distributions from non-consolidated entities

Investment (income) loss

Other expense (4)

General and administrative expense-unallocated:

 Merger, acquisition and transaction costs

 Stock-based compensation expense (5)

Minus:

Cash distributions from non-consolidated entities

Income taxes paid, net of refunds

Cash interest expense

Capital expenditures (excluding change in

   construction payables)

Landlord contributions

Principal payments under Term Loan

Principal payments under capital and financing

   lease obligations

Adjusted Free Cash Flow (7)

$

$

$

$

(1)

Adjusted diluted earnings per share is diluted earnings per share excluding a non-recurring postretirement net periodic benefit credit in the prior year, a loss on redemption of our 9.75% Senior Subordinated Notes due 2020 in the prior year quarter and year, a gain on sale of our investments in Real D during the current year, a discrete tax benefit recorded in income tax provision during the prior year quarter and year and the related tax effects of those adjustments. We have included adjusted diluted earnings per share because we believe it provides investors with additional useful information on our performance and is used by management to assess our performance.  We have calculated the tax effects of the pre-tax adjustments described above using our effective Federal and State income tax rate for current and deferred income taxes which is reflective of our estimated annual GAAP income tax rate forecast adjusted to account for items excluded from GAAP income. Adjusted diluted earnings per share is a non-GAAP financial measure and should not be used as an alternative to diluted earnings per share, and may not be comparable to similarly titled measures reported by other companies.

(2)

We present Adjusted EBITDA as a supplemental measure of our performance.  We define Adjusted EBITDA as net earnings plus (i) income tax provision, (ii) interest expense and (iii) depreciation and amortization, as further adjusted to eliminate the impact of certain items that we do not consider indicative of our ongoing operating performance and to include any cash distributions of earnings from our equity method investees. These further adjustments are itemized above. You are encouraged to evaluate these adjustments and the reasons we consider them appropriate for supplemental analysis. In evaluating Adjusted EBITDA, you should be aware that in the future

we may incur expenses that are the same as or similar to some of the adjustments in this presentation. Our presentation of Adjusted EBITDA should not be construed as an inference that our future results will be unaffected by unusual or non-recurring items.  Adjusted EBITDA is a non-GAAP financial measure and should not be construed as an alternative to net earnings as an indicator of operating performance or as an alternative to cash flow provided by operating activities as a measure of liquidity (as determined in accordance with U.S. GAAP). Adjusted EBITDA may not be comparable to similarly titled measures reported by other companies. We have included Adjusted EBITDA because we believe it provides management and investors with additional information to measure our performance, estimate our value and evaluate our ability to service debt.

·

does not reflect our capital expenditures, future requirements for capital expenditures or contractual commitments;

·

does not reflect changes in, or cash requirements for, our working capital needs;

·

does not reflect the significant interest expenses, or the cash requirements necessary to service interest or principal payments, on our debt;

·

excludes income tax payments that represent a reduction in cash available to us;  and

·

does not reflect any cash requirements for the assets being depreciated and amortized that may have to be replaced in the future.

(3)

Amounts represent preopening expense related to temporarily closed screens under renovation, theatre and other closure expense for the permanent closure of screens including the related accretion of interest, non-cash deferred digital equipment rent expense, and disposition of assets and other non-operating gains or losses included in operating expenses. We have excluded these items as they are non-cash in nature, include components of interest cost for the time value of money or are non-operating in nature.

(4)

Other expense for the prior year quarter and prior year related to the cash tender offer and redemption of the 9.75% Senior Subordinated Notes due 2020.  We exclude other expense and income related to financing activities as the amounts are similar to interest expense or income and are non-operating in nature. 

(5)

Non-cash expense included in General and Administrative: Other

(6)

We define Adjusted EBITDA Margin as Adjusted EBITDA divided by Total Revenues.

(7)

We use Adjusted Free Cash Flow as a performance measure in our internal evaluation of operating effectiveness and in making decisions regarding the allocation of resources. Adjusted Free Cash Flow is a non-GAAP financial measure and should not be construed as an alternative to net earnings as an indicator of operating performance or as an alternative to cash flow provided by operating activities as a measure of liquidity (as determined in accordance with U.S. GAAP). We define Adjusted Free Cash Flow as Adjusted EBITDA minus the sum of cash distributions from non-consolidated entities, cash taxes, cash interest, capital expenditures (excluding change in construction payables) net of landlord contributions, mandatory payments of principal under any credit facility and payments under capital lease obligations and financing lease obligations as further described in the table below.  We make adjustments to Adjusted EBITDA for certain cash requirements to determine amounts available for general capital purposes from our operations. Adjusted Free Cash Flow may not be comparable to similarly titled measures reported by other companies or other similar measures of cash flow. We have included Adjusted Free Cash Flow as we believe it provides a useful measure of funds available for general capital purposes from our operations, and because it is used by management to evaluate the performance of our Company.

3 Months Ended

6 Months Ended

June 30,

June 30,

2016

2015

2016

2015

Adjusted EBITDA

$

$

$

$

Minus:

Cash distributions from non-consolidated

  entities

Income taxes paid, net of refunds

Cash interest expense

Capital expenditures (excluding change in

   construction payables)

Landlord contributions

Principal payments under Term Loan

Principal payments under capital and financing

   lease obligations

Adjusted Free Cash Flow

$

$

$

$