US: Movie theaters are mad with Disney over Avengers-related demands

The Wall Stree Journal reports a new fight because of the new “Avengers: Age of Ultron,” a fight has been brewing between Walt Disney Co. and movie-theater operators.

The head of the trade group representing the theaters told Walt Disney Studios he had received “an avalanche of complaints, concerns and fears’ from members after the movie studio imposed new conditions on theaters that wanted to show the “Avengers” sequel, according to a copy of the letter reviewed by The Wall Street Journal.

Among the changes: when cinemas can offer matinee discounts or alternate showings of “Avengers” with other movies on the same screen; and new payment rules that the National Association of Theatre Owners said could over the long term raise prices for everyone.

Following the outcry from theaters, the studio is altering its approach on some issues, including the matinee cutoff and suggested payment limitations.

A Disney spokesman said, “Historically we’ve had strong and mutually beneficial relationships with our exhibitor partners and as issues have arisen from time to time we have worked together to resolve them and we plan on continuing that same approach going forward.”

Theater executives said they fear that other studios could follow Disney’s lead as they focus on highly anticipated sequels to major franchises like “Fast and Furious” and “X-Men” whose popularity gives them increased leverage.

Full content: The Wall Street Journal

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.