The Independent Cinema Alliance (ICA), representing independent movie theatre owners throughout the United States and Canada, today issued the following statement regarding the proposed Paramount acquisition of Warner Bros. Discovery:
The proposed acquisition has entered a new and increasingly significant phase. Following approval by the European Commission and 64 other competition authorities worldwide, the remaining challenge now centers on the litigation brought by a coalition of state attorneys general in the United States. With closing now postponed until June 1, 2027, the acquisition has moved well beyond a traditional regulatory review. The ultimate outcome may depend not only on the courts, but also on the business realities that come with a prolonged delay.
This is more than a procedural delay. It creates an opportunity to reexamine how the industry approaches theatrical distribution and whether today’s business practices reflect the realities of exhibitors of all sizes.
For independent exhibitors, however, the broader issue extends well beyond a single transaction. Theatrical distribution is already a highly concentrated industry. As competition narrows, exhibitors generally face fewer film choices and fewer competitive incentives for distributors to negotiate.
“Independent theatres don’t need special treatment,” said Frank Rash, Executive Director of the Independent Cinema Alliance. “They need industry business practices that recognize they are different businesses serving different communities—not one-size-fits-all policies that treat every theatre as if it were the same.”
The European Commission’s review is particularly noteworthy because it distinguished between film production and theatrical distribution. While concluding that sufficient competition among major film producers would remain, the Commission nevertheless required structural changes to theatrical distribution in Europe before approving the transaction. That distinction reinforces an important principle: a healthy theatrical marketplace depends not only on the production of great films, but also on competitive distribution practices that provide exhibitors of all sizes meaningful access to those films.
The ICA notes Paramount’s previously announced commitments to maintain a robust theatrical slate and meaningful exclusive theatrical windows. Those commitments are constructive. Ultimately, independent exhibitors will judge the success of this transaction not by the commitments made during the approval process, but by the business practices that exist years after the acquisition is complete.
The delay in closing has created an opportunity to reexamine how today’s theatrical distribution system serves exhibitors of all sizes. The ICA intends to be an active voice in that conversation, advocating for licensing, booking, and distribution practices that recognize the unique role independent theatres play in communities across North America. Independent theatres are not simply smaller versions of larger circuits. They are different businesses with different operating realities, and the industry’s business practices should continue evolving to recognize those differences.
About ICA
ICA is a not-for-profit, alliance of independent cinemas operating in communities throughout the United States and Canada. Theatres operated by alliance members range in size from single-screen venues in small towns to multiplexes in larger cities. Today a growing 180-member companies representing approximately 5,000 screens and generating $1 billion in boxoffice revenue share one common goal: to provide a public voice that promotes the importance of independent cinemas as a vital and necessary part of a healthy and vibrant motion picture industry. For more information, visit www.cinemaalliance.org.
View source version on businesswire.com: https://www.businesswire.com/news/home/20260728074565/en/
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