CONDENSED CONSOLIDATING FINANCIAL INFORMATION (Tables)

Consolidating Statement of Operations

Three Months Ended September 30, 2018:


			Subsidiary		Subsidiary		Consolidating		Consolidated
(In millions)	Holdings		Guarantors		Non-Guarantors		Adjustments		Holdings
Revenues
Admissions	$	—	$	446.6	$	304.8	$	—	$	751.4
Food and beverage		—		240.5		144.3		—		384.8
Other theatre		—		49.4		35.8		—		85.2
Total revenues		—		736.5		484.9		—		1,221.4
Operating costs and expenses
Film exhibition costs		—		240.8		138.0		—		378.8
Food and beverage costs		—		37.2		26.4		—		63.6
Operating expense, excluding depreciation and amortization		—		227.3		173.2		—		400.5
Rent		—		127.9		75.8		—		203.7
General and administrative:
Merger, acquisition and transaction costs		—		9.0		9.1		—		18.1
Other, excluding depreciation and amortization		—		31.7		16.7		—		48.4
Depreciation and amortization		—		69.2		61.0		—		130.2
Operating costs and expenses		—		743.1		500.2		—		1,243.3
Operating loss		—		(6.6)		(15.3)		—		(21.9)
Other expense (income):
Equity in net (earnings) loss of subsidiaries		42.5		(10.4)		—		(32.1)		—
Other expense (income)		54.1		0.5		(0.5)		—		54.1
Interest expense:
Corporate borrowings		63.6		59.8		0.8		(59.9)		64.3
Capital and financing lease obligations		—		1.7		7.7		—		9.4
Non-cash NCM exhibitor service agreement		—		10.3		—		—		10.3
Equity in earnings of non-consolidated entities		—		(37.2)		(32.8)		—		(70.0)
Investment income		(59.8)		(0.9)		0.1		59.9		(0.7)
Total other expense (income)		100.4		23.8		(24.7)		(32.1)		67.4
Earnings (loss) before income taxes		(100.4)		(30.4)		9.4		32.1		(89.3)
Income tax provision (benefit)		—		12.1		(1.0)		—		11.1
Net earnings (loss)	$	(100.4)	$	(42.5)	$	10.4	$	32.1	$	(100.4)

Consolidating Statement of Operations

Three Months Ended September 30, 2017:


			Subsidiary		Subsidiary		Consolidating		Consolidated
(In millions)	Holdings		Guarantors		Non-Guarantors		Adjustments		Holdings
Revenues
Admissions	$	—	$	438.2	$	315.3	$	—	$	753.5
Food and beverage		—		222.0		139.4		—		361.4
Other theatre		—		36.7		27.1		—		63.8
Total revenues		—		696.9		481.8		—		1,178.7
Operating costs and expenses
Film exhibition costs		—		221.5		143.3		—		364.8
Food and beverage costs		—		33.5		27.2		—		60.7
Operating expense, excluding depreciation and amortization		—		216.5		166.7		—		383.2
Rent		—		123.0		77.7		—		200.7
General and administrative:
Merger, acquisition and transaction costs		—		3.7		1.9		—		5.6
Other, excluding depreciation and amortization		0.3		16.4		15.9		—		32.6
Depreciation and amortization		—		72.9		62.3		—		135.2
Operating costs and expenses		0.3		687.5		495.0		—		1,182.8
Operating income (loss)		(0.3)		9.4		(13.2)		—		(4.1)
Other expense (income):
Equity in net (earnings) loss of subsidiaries		38.9		20.9		—		(59.8)		—
Other expense (income)		—		(0.1)		(0.3)		—		(0.4)
Interest expense:
Corporate borrowings		60.3		57.7		0.5		(57.7)		60.8
Capital and financing lease obligations		—		1.9		8.7		—		10.6
Equity in (earnings) loss of non-consolidated entities		—		3.8		(2.0)		—		1.8
Investment income		(56.8)		(17.0)		(0.5)		57.7		(16.6)
Total other expense		42.4		67.2		6.4		(59.8)		56.2
Loss before income taxes		(42.7)		(57.8)		(19.6)		59.8		(60.3)
Income tax benefit		—		(18.9)		1.3		—		(17.6)
Net loss	$	(42.7)	$	(38.9)	$	(20.9)	$	59.8	$	(42.7)

Consolidating Statement of Operations

Nine Months Ended September 30, 2018:


			Subsidiary		Subsidiary		Consolidating		Consolidated
(In millions)	Holdings		Guarantors		Non-Guarantors		Adjustments		Holdings
Revenues
Admissions	$	—	$	1,514.8	$	1,007.9	$	—	$	2,522.7
Food and beverage		—		776.5		459.9		—		1,236.4
Other theatre		—		170.9		117.5		—		288.4
Total revenues		—		2,462.2		1,585.3		—		4,047.5
Operating costs and expenses
Film exhibition costs		—		824.0		452.7		—		1,276.7
Food and beverage costs		—		118.0		84.0		—		202.0
Operating expense, excluding depreciation and amortization		—		694.1		542.8		—		1,236.9
Rent		—		356.1		237.0		—		593.1
General and administrative:
Merger, acquisition and transaction costs		—		15.2		11.9		—		27.1
Other, excluding depreciation and amortization		—		84.7		50.9		—		135.6
Depreciation and amortization		—		211.4		187.0		—		398.4
Operating costs and expenses		—		2,303.5		1,566.3		—		3,869.8
Operating income		—		158.7		19.0		—		177.7
Other expense (income):
Equity in net earnings of subsidiaries		(5.3)		(26.6)		—		31.9		—
Other expense		55.1		1.1		1.3		—		57.5
Interest expense:
Corporate borrowings		185.7		185.4		2.8		(185.7)		188.2
Capital and financing lease obligations		—		5.2		24.3		—		29.5
Non-cash NCM exhibitor service agreement		—		31.2		—		—		31.2
Equity in earnings of non-consolidated entities		—		(40.1)		(33.9)		—		(74.0)
Investment income		(175.0)		(17.4)		(0.7)		185.7		(7.4)
Total other expense (income)		60.5		138.8		(6.2)		31.9		225.0
Earnings before income taxes		(60.5)		19.9		25.2		(31.9)		(47.3)
Income tax provision (benefit)		—		14.6		(1.4)		—		13.2
Net earnings (loss)	$	(60.5)	$	5.3	$	26.6	$	(31.9)	$	(60.5)

Consolidating Statement of Operations

Nine Months Ended September 30, 2017:


			Subsidiary		Subsidiary		Consolidating		Consolidated
(In millions)	Holdings		Guarantors		Non-Guarantors		Adjustments		Holdings
Revenues
Admissions	$	—	$	1,402.3	$	930.1	$	—	$	2,332.4
Food and beverage		—		707.4		425.7		—		1,133.1
Other theatre		—		118.8		78.1		—		196.9
Total revenues		—		2,228.5		1,433.9		—		3,662.4
Operating costs and expenses
Film exhibition costs		—		738.8		425.4		—		1,164.2
Food and beverage costs		—		100.5		82.1		—		182.6
Operating expense, excluding depreciation and amortization		—		652.7		476.1		—		1,128.8
Rent		—		370.9		220.0		—		590.9
General and administrative:
Merger, acquisition and transaction costs		—		54.3		2.9		—		57.2
Other, excluding depreciation and amortization		1.8		65.2		46.0		—		113.0
Depreciation and amortization		—		219.4		174.5		—		393.9
Operating costs and expenses		1.8		2,201.8		1,427.0		—		3,630.6
Operating income (loss)		(1.8)		26.7		6.9		—		31.8
Other expense (income):
Equity in net (earnings) loss of subsidiaries		199.8		19.0		—		(218.8)		—
Other income		—		(1.3)		(0.6)		—		(1.9)
Interest expense:
Corporate borrowings		170.1		167.1		1.5		(167.0)		171.7
Capital and financing lease obligations		—		5.8		25.9		—		31.7
Equity in (earnings) loss of non-consolidated entities		—		201.2		(2.1)		—		199.1
Investment (income) expense		(160.9)		(27.3)		(0.4)		167.0		(21.6)
Total other expense		209.0		364.5		24.3		(218.8)		379.0
Earnings (loss) before income taxes		(210.8)		(337.8)		(17.4)		218.8		(347.2)
Income tax provision (benefit)		—		(138.0)		1.6		—		(136.4)
Net earnings (loss)	$	(210.8)	$	(199.8)	$	(19.0)	$	218.8	$	(210.8)

Consolidating Statement of Comprehensive Loss

Three Months Ended September 30, 2018:


			Subsidiary		Subsidiary		Consolidating		Consolidated
(In millions)	Holdings		Guarantors		Non-Guarantors		Adjustments		Holdings
Net earnings (loss)	$	(100.4)	$	(42.5)	$	10.4	$	32.1	$	(100.4)
Other comprehensive income (loss)
Equity in other comprehensive income (loss) of subsidiaries		(8.0)		(5.3)		—		13.3		—
Unrealized foreign currency translation adjustment, net of tax		—		(0.2)		(5.5)		—		(5.7)
Pension and other benefit adjustments:
Net gain arising during the period, net of tax		—		—		0.1		—		0.1
Equity method investees’ cash flow hedge:
Realized net gain reclassified to equity in earnings of non-consolidated entities, net of tax		—		(1.9)		—		—		(1.9)
Other comprehensive loss		(8.0)		(7.4)		(5.4)		13.3		(7.5)
Total comprehensive income (loss)	$	(108.4)	$	(49.9)	$	5.0	$	45.4	$	(107.9)

Consolidating Statement of Comprehensive Income (Loss)

Three Months Ended September 30, 2017:


			Subsidiary		Subsidiary		Consolidating		Consolidated
(In millions)	Holdings		Guarantors		Non-Guarantors		Adjustments		Holdings
Net loss	$	(42.7)	$	(38.9)	$	(20.9)	$	59.8	$	(42.7)
Other comprehensive income (loss)
Equity in other comprehensive income (loss) of subsidiaries		33.7		34.6		—		(68.3)		—
Unrealized foreign currency translation adjustment, net of tax		—		(0.2)		34.6		—		34.4
Marketable securities:
Unrealized holding gain arising during the period, net of tax		—		0.2		—		—		0.2
Equity method investees’ cash flow hedge:
Unrealized net holding gain arising during the period, net of tax		—		0.1		—		—		0.1
Realized net holding gain reclassified to equity in earnings of non-consolidated entities, net of tax		—		(1.0)		—		—		(1.0)
Other comprehensive income		33.7		33.7		34.6		(68.3)		33.7
Total comprehensive income (loss)	$	(9.0)	$	(5.2)	$	13.7	$	(8.5)	$	(9.0)

Consolidating Statement of Comprehensive Loss

Nine Months Ended September 30, 2018:


			Subsidiary		Subsidiary		Consolidating		Consolidated
(In millions)	Holdings		Guarantors		Non-Guarantors		Adjustments		Holdings
Net earnings	$	(60.5)	$	5.3	$	26.6	$	(31.9)	$	(60.5)
Other comprehensive income (loss)
Equity in other comprehensive income (loss) of subsidiaries		(103.9)		(75.4)		—		179.3		—
Unrealized foreign currency translation adjustment, net of tax		—		(27.5)		(74.1)		—		(101.6)
Realized loss on foreign currency transactions, net of tax		—		1.0		—		—		1.0
Pension and other benefit adjustments:
Net loss arising during the period, net of tax		—		—		(1.3)		—		(1.3)
Equity method investees’ cash flow hedge:
Unrealized net holding (loss) gain arising during the period, net of tax		—		0.2		—		—		0.2
Realized net gain reclassified to equity in earnings of non-consolidated entities, net of tax		—		(2.2)		—		—		(2.2)
Other comprehensive loss		(103.9)		(103.9)		(75.4)		179.3		(103.9)
Total comprehensive loss	$	(164.4)	$	(98.6)	$	(48.8)	$	147.4	$	(164.4)

Consolidating Statement of Comprehensive Income (Loss)

Nine Months Ended September 30, 2017:


			Subsidiary		Subsidiary		Consolidating		Consolidated
(In millions)	Holdings		Guarantors		Non-Guarantors		Adjustments		Holdings
Net earnings (loss)	$	(210.8)	$	(199.8)	$	(19.0)	$	218.8	$	(210.8)
Other comprehensive income (loss)
Equity in other comprehensive income (loss) of subsidiaries		108.3		109.0		—		(217.3)		—
Unrealized foreign currency translation adjustment, net of tax		—		(0.2)		109.5		—		109.3
Pension and other benefit adjustments:
Amortization of net loss (gain) reclassified into general and administrative: other, net of tax		—		—		(0.5)		—		(0.5)
Marketable securities:
Unrealized net holding gain arising during the period, net of tax		—		0.5		—		—		0.5
Realized net gain reclassified into net investment income, net of tax		—		(0.1)		—		—		(0.1)
Equity method investees’ cash flow hedge:
Realized net loss reclassified to equity in earnings of non-consolidated entities, net of tax		—		(0.9)		—		—		(0.9)
Other comprehensive income		108.3		108.3		109.0		(217.3)		108.3
Total comprehensive income (loss)	$	(102.5)	$	(91.5)	$	90.0	$	1.5	$	(102.5)

Consolidating Balance Sheet

As of September 30, 2018:


			Subsidiary		Subsidiary		Consolidating		Consolidated
(In millions)	Holdings		Guarantors		Non-Guarantors		Adjustments		Holdings
Assets
Current assets:
Cash and cash equivalents	$	0.4	$	229.3	$	103.6	$	—	$	333.3
Restricted cash		—		—		11.0		—		11.0
Receivables, net		—		84.3		76.0		(5.1)		155.2
Assets held for sale		—		—		—		—		—
Other current assets		—		107.4		79.6		—		187.0
Total current assets		0.4		421.0		270.2		(5.1)		686.5
Investment in equity of subsidiaries		686.5		1,468.7		—		(2,155.2)		—
Property, net		—		1,557.3		1,471.3		—		3,028.6
Intangible assets, net		—		211.8		147.5		—		359.3
Intercompany advances		5,471.4		(3,569.2)		(1,902.2)		—		—
Goodwill		(2.1)		2,422.1		2,400.8		—		4,820.8
Deferred tax asset, net		—		—		98.2		(68.7)		29.5
Other long-term assets		4.6		299.8		133.9		—		438.3
Total assets	$	6,160.8	$	2,811.5	$	2,619.7	$	(2,229.0)	$	9,363.0
Liabilities and Stockholders’ Equity
Current liabilities:
Accounts payable	$	—	$	290.8	$	109.5	$	(5.2)	$	395.1
Accrued expenses and other liabilities		59.7		164.8		162.5		0.1		387.1
Deferred revenues and income		—		220.2		73.0		—		293.2
Current maturities of corporate borrowings and capital and financing lease obligations		13.8		11.3		57.9		—		83.0
Total current liabilities		73.5		687.1		402.9		(5.1)		1,158.4
Corporate borrowings		4,832.3		1.4		6.6		—		4,840.3
Capital and financing lease obligations		—		66.3		450.4		—		516.7
Exhibitor services agreement		—		567.7		—		—		567.7
Deferred tax liability, net		—		85.2		27.8		(68.7)		44.3
Other long-term liabilities		—		717.4		263.3		—		980.7
Total liabilities		4,905.8		2,125.1		1,151.0		(73.8)		8,108.1
Temporary equity		0.4		—		—		—		0.4
Stockholders’ equity		1,254.6		686.4		1,468.7		(2,155.2)		1,254.5
Total liabilities and stockholders’ equity	$	6,160.8	$	2,811.5	$	2,619.7	$	(2,229.0)	$	9,363.0

Consolidating Balance Sheet

As of December 31, 2017:


			Subsidiary		Subsidiary		Consolidating		Consolidated
(In millions)	Holdings		Guarantors		Non-Guarantors		Adjustments		Holdings
Assets
Current assets:
Cash and cash equivalents	$	1.1	$	85.0	$	223.9	$	—	$	310.0
Restricted cash		—		—		8.3		—		8.3
Receivables, net		0.4		186.4		84.7		—		271.5
Assets held for sale		—		80.0		—		—		80.0
Other current assets		—		118.0		84.6		—		202.6
Total current assets		1.5		469.4		401.5		—		872.4
Investment in equity of subsidiaries		2,450.6		1,513.4		—		(3,964.0)		—
Property, net		—		1,591.1		1,525.4		—		3,116.5
Intangible assets, net		—		218.9		161.6		—		380.5
Intercompany advances		3,914.1		(1,893.3)		(2,020.8)		—		—
Goodwill		(2.1)		2,422.1		2,511.7		—		4,931.7
Deferred tax asset, net		—		—		97.6		(68.7)		28.9
Other long-term assets		5.8		326.5		143.6		—		475.9
Total assets	$	6,369.9	$	4,648.1	$	2,820.6	$	(4,032.7)	$	9,805.9
Liabilities and Stockholders’ Equity
Current liabilities:
Accounts payable	$	—	$	373.7	$	195.9	$	—	$	569.6
Accrued expenses and other liabilities		24.2		165.3		161.6		—		351.1
Deferred revenues and income		—		270.8		130.2		—		401.0
Current maturities of corporate borrowings and capital and financing lease obligations		13.8		11.8		62.1		—		87.7
Total current liabilities		38.0		821.6		549.8		—		1,409.4
Corporate borrowings		4,218.7		1.4		—		—		4,220.1
Capital and financing lease obligations		—		73.5		505.4		—		578.9
Exhibitor services agreement		—		530.9		—		—		530.9
Deferred tax liability, net		—		85.3		33.0		(68.7)		49.6
Other long-term liabilities		—		684.8		219.0		—		903.8
Total liabilities		4,256.7		2,197.5		1,307.2		(68.7)		7,692.7
Temporary equity		0.8		—		—		—		0.8
Stockholders’ equity		2,112.4		2,450.6		1,513.4		(3,964.0)		2,112.4
Total liabilities and stockholders’ equity	$	6,369.9	$	4,648.1	$	2,820.6	$	(4,032.7)	$	9,805.9

Consolidating Statement of Cash Flows

Nine Months Ended September 30, 2018:


			Subsidiary		Subsidiary		Consolidating		Consolidated
(In millions)	Holdings		Guarantors		Non-Guarantors		Adjustments		Holdings
Cash flows from operating activities:
Net cash provided by operating activities	$	44.0	$	141.7	$	113.1	$	—	$	298.8
Cash flows from investing activities:
Capital expenditures		—		(194.2)		(180.7)		—		(374.9)
Proceeds from sale leaseback transactions		—		50.1		—		—		50.1
Proceeds from Screenvision merger		—		—		45.8		—		45.8
Proceeds from disposition of NCM		—		162.5		—		—		162.5
Proceeds from disposition of long-term assets		—		4.5		9.4		—		13.9
Investments in non-consolidated entities, net		—		(11.0)		—		—		(11.0)
Other, net		—		(2.4)		1.7		—		(0.7)
Net cash provided by (used in) investing activities		—		9.5		(123.8)		—		(114.3)
Cash flows from financing activities:
Proceeds from issuance of Senior Unsecured Convertible Notes due 2024		600.0		—		—		—		600.0
Net borrowings under Revolving Credit Facility		—		—		6.6		—		6.6
Principal payments under Term Loan		(10.3)		—		—		—		(10.3)
Principal payments under capital and financing lease obligations		—		(7.8)		(45.7)		—		(53.5)
Cash used to pay deferred financing costs		(14.3)		—		—		—		(14.3)
Cash used to pay dividends		(237.4)		—		—		—		(237.4)
Taxes paid for restricted unit withholdings		(1.7)		—		—		—		(1.7)
Retirement of Class B common stock		(422.9)		—		—		—		(422.9)
Purchase of treasury stock		(21.8)		—		—		—		(21.8)
Change in intercompany advances		87.2		(23.5)		(63.7)		—		—
Net cash used in financing activities		(21.2)		(31.3)		(102.8)		—		(155.3)
Effect of exchange rate changes on cash and cash equivalents and restricted cash		(23.4)		24.3		(4.1)		—		(3.2)
Net increase (decrease) in cash and cash equivalents and restricted cash		(0.6)		144.2		(117.6)		—		26.0
Cash and cash equivalents and restricted cash at beginning of period		1.1		85.0		232.2		—		318.3
Cash and cash equivalents and restricted cash at end of period	$	0.5	$	229.2	$	114.6	$	—	$	344.3

Consolidating Statement of Cash Flows

Nine Months Ended September 30, 2017:


			Subsidiary		Subsidiary		Consolidating		Consolidated
(In millions)	Holdings		Guarantors		Non-Guarantors		Adjustments		Holdings
Cash flows from operating activities:
Net cash provided by operating activities	$	42.0	$	64.0	$	123.6	$	—	$	229.6
Cash flows from investing activities:
Capital expenditures		—		(320.5)		(147.2)		—		(467.7)
Acquisition of Nordic, net of cash and restricted cash acquired		—		(654.9)		77.3		—		(577.6)
Acquisition of Carmike Cinemas, Inc., net of cash and restricted cash acquired		—		0.1		—		—		0.1
Proceeds from sale leaseback transaction		—		128.4		—		—		128.4
Proceeds from disposition of NCM, Inc. shares		—		89.4		—		—		89.4
Proceeds from disposition of Open Road				9.2						9.2
Proceeds from disposition of long-term assets		—		9.1		13.4		—		22.5
Investments in non-consolidated entities, net		—		(11.6)		1.6		—		(10.0)
Other, net		—		(3.4)		(0.2)		—		(3.6)
Net cash used in investing activities		—		(754.2)		(55.1)		—		(809.3)
Cash flows from financing activities:
Proceeds from the issuance of Senior Subordinated Sterling Notes due 2024		327.8		—		—		—		327.8
Proceeds from the issuance of Senior Subordinated Notes due 2027		475.0		—		—		—		475.0
Payment of Nordic SEK Term Loan		(144.4)		—		—		—		(144.4)
Payment of Nordic EUR Term Loan		(169.5)		—		—		—		(169.5)
Net proceeds from equity offering		616.8		—		—		—		616.8
Net borrowings under Revolving Credit Facility		60.0								60.0
Principal payment of Bridge Loan due 2017		(350.0)		—		—		—		(350.0)
Principal payments under Term Loan		(9.1)		—		—		—		(9.1)
Principal payments under capital and financing lease obligations		—		(6.9)		(47.2)		—		(54.1)
Cash used to pay deferred financing costs		(29.8)		—		—		—		(29.8)
Cash used to pay dividends		(78.7)		—		—		—		(78.7)
Taxes paid for restricted unit withholdings		(6.5)								(6.5)
Purchase of treasury stock		(16.5)								(16.5)
Change in intercompany advances		(771.4)		773.7		(2.3)		—		—
Net cash provided by (used in) financing activities		(96.3)		766.8		(49.5)		—		621.0
Effect of exchange rate changes on cash and cash equivalents and restricted cash		51.4		(44.5)		13.0		—		19.9
Net decrease in cash and cash equivalents and restricted cash		(2.9)		32.1		32.0		—		61.2
Cash and cash equivalents and restricted cash at beginning of period		3.0		94.7		132.5		—		230.2
Cash and cash equivalents and restricted cash at end of period	$	0.1	$	126.8	$	164.5	$	—	$	291.4