Cambridge Picturehouse/Cineworld under threat

[bugshaw]

If you're interested in Cambridge cinema you might like to know about this - following the takeover of Picturehouse by Cineworld, the Competition Commission have decided that this is a Substantial Lessening of Competition in Cambridge (and Aberdeen, and Bury St Edmunds) and have suggested the sale of either a Cineworld cinema or a Picturehouse cinema. Decision to be taken in late Sep/early Oct.

I'd be unhappy with this, they are great complementary cinemas with well differentiated programmes.

Comment at Take One (and subsequent posts including "Why not run it as a Co-op?")
and analysis at Movie Evangelist (and subsequent posts)

Comments

[sphyg.livejournal.com]

Yes, this sucks. Though I'm lacking the brain to compose an eloquent support/complaint email.

[unwholesome-fen.livejournal.com]

So long as it is sold as a going concern, would it actually be an issue if it is owned by someone other than Cineworld? How did the Cineworld takeover of the Picturehouse chain affect things, by the way (I haven't been for a long while)?

I wonder if a management buy out is a possibility (if it makes a profit, it ought to be possible for them to get finance)?

The co-op idea is interesting - I think it could be registered as an asset of community value under the Localism Act, which would give a right to buy to any suitably constituted community group.

[ewx.livejournal.com]

AIUI the effect would be to break up the Picturehouse chain (or the Cineworld chain). I don't know the industry well but presumably there are economies of scale within cinema chains (e.g. in acquisition of films to show, catering supply contracts, etc), which would be undermined by that.
Cineworld is a relatively recent addition to Cambridge, so (TTBOMK) the merger was arguably a reversion to the situation before it existed, i.e. 2 cinema owners in the area rather than 3.

[bugshaw.livejournal.com]

The situations were
Vue + Picturehouse
2003 Vue + Picturehouse + Cineworld
2012 Vue + {Picturehouse + Cineworld}
and if they have to sell one it likely won't be the moneymaker Cineworld so we may end up with
Vue + Cineworld so the same number of cinemas but massive reduction in choice

[unwholesome-fen.livejournal.com]

Going back a bit further (to when I arrived in Cambridge), we had
Victoria, ABC/Canon/MGM/etc., Arts Cinema
ABC/Canon/MGM/etc., Arts Cinema
Vue, ABC/Canon/MGM/etc., Arts Cinema
Vue, Arts Cinema
Vue, Arts Picturehouse
Cineworld, Vue, Arts Picturehouse

So three would appear to be the stable number of cinemas since 1986 (when the Kinema closed), with brief periods reduced to two. In particular, the Arts Picturehouse opened (sharing the old Regal Cinema building with the Wetherspoons) within a few weeks of the Arts CInema closing. There is no suggestion that an arthouse cinema isn't viable in Cambridge - quite the contrary. I would assume the Picturehouse would be sold as a going concern, either to another chain or independent ownership. Obviously the uncertainty is troubling, but I can't see closure being an option anyone wants.

[bugshaw.livejournal.com]

Cool, thanks for the history :-)

[unwholesome-fen.livejournal.com]

It's a pretty small chain, however (around 20 locations), and I would suspect that Cambridge is among the more profitable on the list.

[surliminal.livejournal.com]

Christ I hope they dont do thst in Edinburgh - theyre both excellent here and quite different.

[unwholesome-fen.livejournal.com]

Cambridge, Aberdeen and Bury St Edmunds are the locations affected by the OFT ruling - they can keep the rest of the chain.