Cineworld Files for Bankruptcy. AMC in ‘Very Different Situation,’ Says Its CEO.

$AMC Entertainment(AMC.US)$ $CINEWORLD GROUP(CNNWF.US)$ has filed for Chapter 11 bankruptcy in the U.S., the Regal Cinemas parent company said on Wednesday.

Cineworld filed for bankruptcy in the U.S. Bankruptcy Court for the Southern District of Texas. The company has more than $5 billion in debt. The bankruptcy proceedings will allow the company to reorganize its business, strengthen its balance sheet, and undergo a de-leveraging transaction to reduce the group’s debt, the company said in a press release.