Kinoplex closes small cinemas, but still plans to open more multiplexes

In a change of strategy, Multiplex network manager, the Kinoplex group, has decided to consolidate its three subsidiaries and close seven of its l ess-profitable one-screen theaters. As late as 2004, Kinoplex will make decisions on new investments. "The majority of our traditional theaters are located in Silesia where competition is very strong. Smaller theatres have a much better chance of operating if they are run by so-called family co mpanies; therefore, such theatres are no longer attractive to us," stated Kinoplex Warszawa president, Aleksander Walczak. In 2001, Kinoplex envisaged the creation of around 10 multiplexes in cities with a population of over 100,000. Although the plans have not changed, the investments will, for the time being, be put on hold. "The situation on the market is the obstacle here. In comparison to the first half of 2002, ticket sales have dropped this year by 10%, which is the result of the poor business climate," he announced, adding that if the group decided to launch some new projects they would be carried out in the following three cities, Toruń, Lublin and Białystok. (Puls Biznesu, p. 5) A.Z.