Ladies and gentlemen, welcome to the Cineworld Group 2021 Interim Results Call. My name is Haley, and I will be the operator for your call this morning. If you would like to ask a question during the question and answer session on today's call, you can do so by pressing star followed by one on your telephone keypad. I will now hand you over to Mooky Greidinger, Chief Executive Officer. Please go ahead. Morning, everyone. Thank you for joining us. We'll start with the first slide, and we'll talk about the general overview of the situation, where we are now. Main operational updates. First and foremost, we are very happy to say that we are fully operational in all our territories. All our cinemas are open since June, and we are satisfied with the results that we see coming out from the various territories. Admissions are growing, and the demand for the cinemas is growing step by step. We are enjoying a huge growth in food and beverage spend, something that we did not expect. Saying this, I can really say that most of our customers are embracing back the cinemas. Some people still have their worries, probably. We don't have yet a full lineup of movies. If we look at the results subject to the movies that we have released, I think that we're in a good shape. We anticipate strong trading in the Q4 or even, actually, I can say in the last four months of the year, starting September. We have a very exciting film slate. All this I will say, and I think this will go all along the presentation, all what we are saying, of course, is subject to a certain stability in COVID-19 situation. I believe that we need, and I guess most of the governments are now in this direction, we need to learn to live with COVID and not to run away from COVID. I think that if running away from COVID means lockdowns and very extreme measures, I think now, thanks to the vaccination, we're in a way behind it, but there can be bumps on the way. Looking at the situation as it is today, going back into the exciting film slate, we have high hopes for the last four months of the year. We will go more into details into the lineup at a later stage of the presentation. Still, I would remind all of you that we have four months where we will have a new James Bond movie. We will have the new Top Gun, which we understand came out as a real blockbuster. There are four Marvel movies that will be released in the last four months of the year. There is one of the most anticipated movies, today, which is the new Matrix movie, and many more to come. Main actions that we took through the period of the last six months. We had a lot of what we call commercial initiatives, commercial discussions, the studios, the windows, many other issues that we had with the studios, but in relatively, we are in a good shape, and we go into more details at a later stage. Another important aspect in the business, of course, is our relations with landlords, reaching agreements with them on deferrals, on abatements, on the future. Also here I can say that we are in a very good shape. Operational measures. We took strong operational measures as of the start of the COVID, but these six months were no different. We worked very hard about cash preservation and permanent cost reduction. The issue here, of course, is not only reducing the reduction on time of a lockdown, on time of a closure, but also to see which savings we can keep, when we are coming back into operation without, of course, damaging in any way the experience that we give to our customers, because this is really in the essence of our strategy. Financing initiatives. We secured additional financing. Nisan will go into this in a minute. Covenant waivers, and I can say that also with the financing initiatives, and you see the numbers in the announcement, we are relatively in a good shape. As we say, we are well-positioned now to benefit from the recovery. Things might take a little bit longer here, a little bit shorter there. In general, if we look at the movies, at the relations with the studios, at the relation with the landlords and the financial situation, we can be optimistic, looking forward and really be proud of our team, of what they have achieved in the last six months or maybe even in the last 18 months. With this, I transfer this to Nisan, who will take you through the whole financial review. Thank you, Mooky. Good morning, everyone. If you move to the next slide on the H1 financial highlights. Taking into account the cinemas were closed most of the time and only opened fully in the beginning of June, we saw the 40 million admissions in the six months, most of them in the end of the first half. Revenue close to $300 million. Adjusted EBITDA based on IFRS 16, before the cash rent, was $21 million negative. If you take the cash rent of approximately $80 million that we paid in the first half, the Adjusted EBITDA is $100 million negative. Very big, I would say, achievement in the monthly average cash burn that reduced from the numbers we published before of $60 million. We managed to reduce this to $45 million on average in the first six months. If we take into account the tax receipt, which we got in the U.S. of $200 million, the accumulated net cash burn was $67 million. That leads really to be more or less in the same level of net debt of $ 4.6 billion, which is more or less the net debt that we started the year. If we move to the next slide to key liquidity actions. The first thing I will say is that we managed to secure $400 million of additional liquidity, which is $400 million converts and another $200 million of term loan, which was signed post the end of June, in July, altogether $ 400 million. We received after, I would say, a successful process, $200 million of U.S. CARES Act as a tax refund. It came in some installments, but in April we got the full amount. We managed to sustain some non-additional spending, which relate to operating expenses and also to CapEx. I will say negotiation with the landlord was successful, we managed to secure rent relief. There are some deferral, most of the deferral are long-term deferral, between three to five years. The cash burn, as I said before, reduced from $60 million monthly to $45 million monthly. This is below the $60 million we previously indicated. We closed some sites which were underperform, it also helps to the margin. We achieved, and this is, I think, very important, a material permanent cost reduction going forward, not only for the COVID time, this is really a permanent cost that will help us to compensate or help us to support liquidity and the profit post-COVID. If we move to the next slide, which is the adjusted profit and loss based on IFRS 16. I will mention a few lines. One. You can see the reduction in the G&A as time cost and the pandemic really started last year. I think month by month, we managed to reduce and to secure more liquidity. You can see it in each line, of course, here. G&A is one of them. The depreciation and amortization went down by approximately $100 million, mainly because the impairment that we took last year. On the other, the net finance cost went up by $100 million. This is a mix of increasing the debt and also the leases, which we had in some of the leases to prolong the lease, and that creates some additional finance cost. Tax charge, we are still enjoying here from some credit, some deferred tax credit, which hopefully we'll enjoy from the losses that we had in the last 1.5 years, in a time when we'll start to generate profit. That's about the P&L. If we move to the next slide, I think we can see here the strong cash flow management over the last six months. We're talking here about the last six months, but we really started this management of cash from March last year. If you look here on the outflow and the inflow, we'll start with the operating cash after the rent payment, which is very similar to the EBITDA of $116 million negative. For the net CapEx after landlord contribution of $46 million. Altogether, really the cash flow from operation after the CapEx was $160 million. To this, we need to add the interest payment, the cash interest payment of $110 million, which will summarize to $270 million free cash outflow. This is in average the $45 million we are talking about. If you are adding to this, the $204 million tax receipts, the net cash burn was $67 million. That's why the net debt was remaining more or less at the same level as we started in January 2021. Moving to the next slide, the net debt as of June 2021. We are not far from the beginning of the year. This was supported really by the cash management, the tax receipts. We raised, as we said before, approximately $400 million of convert and term loan. We talked about the cash burn of the $45 million. I think that we need to remember that the last six months, even before, since November, we were working under very tough and hard compliance and covenants. I am happy to say that the team worked very hard and comply and over-perform all the covenants of the priming facility. We got a waiver until June 2022. That will be the first time we will have a test to be below 5x net debt to EBITDA. As a part of the new deal with the lender, we have a covenant of minimum liquidity of $100 million. Moving to the next slide, cost-saving initiatives and the operational expenses. I think this is really very important. This will not affect only the pandemic time. Most of the items here also will generate some savings post the pandemic. We optimize the cinema payroll with the pandemic level. We closed cinemas that were losing money, and this supported the margin. The utilities and maintenance went down, supported by a very strong implementation of laser projectors, about close to 2,000 laser projectors. It's decreasing the utility, it's decreasing the maintenance. We got rent relief. G&A, we spoke about, was a mix of reduction in headcount and also other lines. We delay new refurbishment programs. Mooky will touch the refurbishment in a second. There are some amazing refurbishment progress which we had to finish, and they generated really strong results. We delay as much as we can new refurbishments in order to preserve cash. Many, I would say, work around the digitalization and systems in the concession, in the ticket sales stands, which supported also the operational saving. The financial outlook, I think we are still working hard to preserve cash and to save as much as we can. The cinemas are now open. It's different than the time cinemas were closed. We definitely see better cash burn since June, since we opened, better than the $45 million cash burn. Our goal is, of course, to start generate cash. We believe that with the big movies that will come in 2022, is really to generate cash and to deleverage the balance sheet. That's my part. Mooky, back to you for the business update. Thank you, Nisan. We go back to the key operating highlights. Some of them we already touched. Just a reminder, of course, all the cinemas, all the territories are open since June. Some of them have been opened a bit earlier. Majority of capacity restrictions were lifted. We start to see here and there now, places where you need to show a vaccination or a recovery form from COVID or a test in order to enter a cinema, a restaurant, and other facilities. We have the gradual recovery in admissions. Of course, we are very encouraged with the growth on the food and beverage sales growth. Anticipating strong lineup that will support Q4. We are all the time in a continued dialogue with the studios on a weekly basis, I would say. In general, we are in a good position there as well. We are continuing progress with landlord negotiations. Some deals are done, some deals are in process. We don't see any major issues with regards to landlords, and we are getting support from them, which is really appreciated. We are continuing collaboration with the premium formats. As you know, very strong part of our strategy is based on technology, and our special formats as IMAX, 4DX, ScreenX, are doing very well. They are really creating a big difference between entertainment at home and entertainment in the cinema. Being part of our strategy, we continue to develop them. If we look at the current trading, we see an improvement. You see here on the slide, May 2021, that started relatively slow, where not all the cinemas were open through all of May. In June, we saw an improvement, followed by improvement in July. I think that we are in a good place there. We need to remember that when we compare July 2019 to July 2021, we are not only comparing a period which was free of COVID to a period which still has COVID around, but also in July 2019, we had two huge blockbusters, The Lion King and Spider-Man: Far From Home. Toy Story that opened in June contributed to this result. We are competing here, if we can call it, or we have competed to a very strong month on a regular basis. Admission level of 57% already we had in July 2021 versus 2019. I think this is a very encouraging result. Looking forward to the last four months of the year, we hope to continue to keep the spend per person on the food, which is contributing significant amounts to our P&L. I will also say, Nisan said it, that the cash flow burn in June and July is substantially less than the average that we had in the first six months, and this is, of course, in view of the fact that all the cinemas are operating, so we can be satisfied like this. If we move to the next slide and go back into the strategy for the long term. Our general catch line is always to be the best place to watch a movie. It is really very meaningful these days, and we are competing, as we always said, not only with home entertainment, but we are also competing with other cinemas and other venues. This still leads our strategy. We continue to provide the best cinema experience. We are going and looking at ourselves as innovative operators. The 4DX, the ScreenX are proved success, and of course, our long-term relations with IMAX. We continue to expand the estate, opening new cinemas, refurbishing cinemas. Of course, there is a slowdown in the original plan. In view of the cash situation, we need to be careful with this. I think that the decision we took through the time of the pandemic not to stop projects that were on the way was a good decision. It is paying off now. We have renovated cinemas, we have new cinemas that were opened that are contributing, of course, to the performance. For sure, not forgetting in our strategy that one of the main points is to drive value for our shareholders, and we hope to see it soon going there. If we move to the next slide. Now we talk about the refurbishment. 14 cinemas have been completed in the U.S. so far. This is a significant amount. Some of the most important cinemas went through this renovation. The reaction from our customers is really beyond expectation. The situation of the general cinemas in the United States is really having many cinemas with great locations, but a lot of them are 20 or 25 years old that did not get any investment, and this is really making a difference. It is taking time for such cinemas to mature, but we are sure and that we will benefit a lot in the coming 12 months from this amazing refurbishment. Six completed in H1 of 2020, the other three will be completed in H2 of 2021. We are also introducing an enhanced food offering, including bars, alcohol bars, which are doing very well. Lavazza Coffee is a new thing for us, and so B- Fresh, which is like health drinks with fruits, et cetera. These are really just starting because we did not have it before, but we also believe that this will give more choice to our public and will also continue to increase our food and beverage income. If we move to the next slide. We are also continuing the rollout across the U.S. and Europe of new cinemas. Again here, we slowed down, but a lot of the projects, the timetable is not in our hand, as you know. It is in the hands of the developers. Also, the investment in most of the new cinemas is not this significant. Big part of the investment is done by the landlords, and still you can see here the numbers. We look at the film slate. I mentioned already most of the big attractions which are coming, but I'm sure you will agree with me that what was left for 2021 is really a very, very impressive lineup. We'll just mention briefly again, the new "Bond," "Top Gun," which we hear so many great things about it. One of the most anticipated movies is, of course, "Matrix 4," and four Marvel movies, which is a record number, I think, including "Shang-Chi," "Venom," then "Eternals" with Angelina Jolie, and finally, "Spider-Man." Anyone who looks at the lineup here is impressed of the quality of the product that we have. All is subject to COVID, but we hope it will stay and will be in place. If we look to 2022, just really a short look. We don't need to go further. As usual, there are also, I'm sure, a big number of original movies that are coming in that nobody can really today can identify. I would say it's big movies, but we always know that in every year, we have some original new titles. Here mainly, you see, of course, the bunch of the sequels of the movies or remakes, and it's really amazing. Having a new "Indiana Jones," additional Marvel movies, additional "Fast & Furious," "Mission: Impossible," which is already, I think, almost completed. That is going to go in May, and many, many more. Not to mention, of course, "Avatar," which is by far the most anticipated movie, I think, in the history. We've waited more than 10 years to see the new "Avatar." Finally, all goes well, it's coming in December 2022. I think that with this, we are summarizing the presentation. We would be very happy to answer any questions that you have. If you wish to ask a question, please press star followed by one on your telephone keypad. If you change your mind and wish to remove your question, please press star followed by two. When preparing to ask your question, please ensure that your phone is unmuted locally. To confirm, that's star followed by one to ask a question. Your first telephone question is from the line of Alastair Reid of Investec. Please go ahead. Morning, thanks very much. Firstly, you gave a base case scenario for the outlook in your statement this morning. Can you just confirm that that's around admissions? And given trends in retail spend per person, do you think revenues could get back to 2019 levels next year? I guess related to that, AMC recently put up their prices. Are you considering doing something similar at some point in the near future? Lastly, could you just perhaps give us a sense of the quantum in terms of the sort of ongoing reduction that you see in your rental costs versus before the crisis? Many thanks. Thanks, Alastair. I will start first with the base case. As you know, we need to make some model and estimation. In 2022, when we refer to the base case, we refer to admission. I agree with you that from revenue point of view, there is a good base to assume the revenue, of course, all goes well with the COVID, will not be far from 2019 level because we are doing better in the food and beverage. There is, like you said, and I will give to Mooky to answer, there is a potential also to see some prices increase because we didn't do it in the last two years. It can also impact the revenue line. The base case scenario is talking about admission and not about revenue. About the cost saving, you mentioning the rent, but I think it's more broader than the rent. We save not only in the rent. It will be some saving in the rent, but this is only one part of the saving out of a really range of material saving we did in all the line of the expenses. I can really not think about one line in our P&L which we didn't manage to touch and to save. I suggest that we'll estimate it more close to the year-end and not now when the cinemas will be really a few months in a full operation. Ticket price increase, I will give to Mooky. It's true that AMC increased the prices, and Mooky will comment. We took the- First, we need to be back on ground, and not to touch ticket pricing, to really give our customers a very simple and clear way back. We believe that our Unlimited, which is also gaining now more and more partners on a weekly basis, is a great offer also for our customers. We will look at the pricing strategy and the pricing of the tickets later in the year. Currently, we believe that first of all, we need to bring our customers back, stabilize the business. There is a potential there, like Nisan said, two years we did not increase. We will look at it when everything will be more settled in the coming two, three months. Okay. Thank you. The next question is the line of Harry Gowers of JP Morgan. Please go ahead. Morning, guys. It's Harry here from JP Morgan. Thanks for taking the time. I've got a few. First, two on cash burn. What's driving the delta between the $45 million per month over the first six months and the $60 million you originally indicated? Also, if you could give some color on the cash burn figure for the months of June and July as well, that'd be super helpful. Just on the costs, what's the kind of margin upside we can think about in terms of the operating cost cutting measures over the long term? What kind of upside is there on a normalized basis versus your 2019 margins? Thanks. Okay. I think the questions belong to me. The bridge between the $45 million to the $60 million. Look, when we had to close the cinema last year on March, April, it was a close after a very strong period. January, February 2020 were strong months. When we had to close the door, we had to deal also with some negative working capital element, which month by month we managed to reduce. That's part of the reason. That we managed to reduce the $60 million we indicated in the first few months of the pandemic compared to the last six months. On top of this, are some elements also, we opened the cinemas in June, we enjoyed from some positive working capital. We all the time say, in one hand, you get hurt when you close the cinema. You enjoy from positive working capital when you open the cinemas. This is really the two main factors explaining the reduction from $60 million to $45 million. About the cash burn in June, July, we definitely see a reduction in the cash burn. Almost, I would say by half. It's very encouraging. It's only the beginning. It's only June, July. We enjoy from some big blockbuster in those two months. We are encouraging by this. Of course, we want to see it keep going. As we said in the presentation, we think that Q4 will be the turning point, and we'll start to generate positive cash flow. I said positive cash flow is really after interest, CapEx and all the other costs. About the cost saving and margin, I mentioned before, it's very, very difficult to make right now the right figure. I can say it's not $10 million, but it's not $200 million. It's somewhere between. We need to wait a bit, and we need to analyze it probably in the year-end, when we left some few full months of operation, will be more, I would say, smarter to indicate the right number of saving. That's great. If I can very quickly ask a quick follow-up. Just on slide 12, super helpful, you have the current trading in terms of admissions over the last few months versus the 2019 level. 45% in July versus 2019. What was the U.S. figure for July in particular, if you can give it? It's approximately 45%-50%. Okay. Thank you very much. The next question is the line of Ed Young of Morgan Stanley. Please go ahead. Thanks very much for taking my questions. The first one's on debt. You've given net debt as $ 4.6 billion, so it's, I guess $ 4.9 billion including the payout to the Regal Cinemas. Can you update on the timing of that payment? Taking a step back, if you get all the way back to 2019 profitability, that would be about 4.7x net debt to EBITDA. Are you comfortable with that level of leverage on the business, or do you think at some point it would make sense to raise equity to bring it down to a more manageable level? The second question is on market share. It looks like you lost a bit of market share in H1. Do you think that's a competitive issue around level of site investment or a client mix, or do you think it's other factors like opening timings or pricing? Sort of part B, if it's okay, do you think you can raise your prices until the estate is better invested? Obviously, your CapEx program was disrupted to an extent by COVID. I appreciate you carried on some of them. Can you talk about your expectations for CapEx investment in general? Where do you expect to have the headroom to resume the pre-COVID program if you are going to? Thanks. Okay. I will leave the market share and the prices to Mooky. I will answer your first two questions about the net debt. About the shareholder litigation, we are negotiating. In our going concern, we took a full payment in the next 12 months. This is really under the forecast, and it's within our model just for the next 12 months. The net debt will be done, we are saying all the time, also we did the acquisition of Regal two and a half, three years ago. We said that our goal, and we believe that the right level of net debt will be done, should be approximately 3x-3.5x. I think that 4.7x is a relatively high number. Not dramatic number, but high number. We need to find a way, in the right time, in the right moment, to reduce it. This is about the debt. About the market share, Mooky? The reason for our little bit slower recovery with regards to market share, there are a few reasons for this. First of all, we need to remember that we were closed for something like six to seven months, while our competitors were open. Naturally, some of our customers moved into other cinemas. I think today when we see the results of the cash burn, compared also to our peers, it is clear that the decision to close was the right one. We opened about 10 cinemas early April, but all our estate in the U.S. was completely open on the last week of May. This also impacted the market share. The third reason is that we closed about 12 cinemas that were losing money, but we still lose market share. Even if a cinema is doing 100,000 or 80,000 admissions, when you close it, you lose market share, but you gain money. The last point, and definitely not least, is that Regal, and by the way, also AMC, but compared to all the others, are very, very strong in New York, and the recovery in New York is very, very slow, especially in Manhattan. If Manhattan, we have cinemas that are selling tickets for something like $18- $20, and they are still way behind. They will come back, Manhattan is not going to disappear. Manhattan is one of the still most lucrative places in the world. It's also impacted with a few, zero point something percentage in our market share. These are the four reasons that we see, so we are not worried for this. We will gain back our market share, and we will improve our market share, in the coming time. The second point that I need to address is when we are back to full CapEx expenditure. This will only have to do with going back into numbers. The minute we will be on 2019 numbers, and hopefully even higher, we will go back to our original plan. We feel that the welcome for our refurbished cinemas, for our new cinemas is amazing. First and foremost, we need to take care of the cash, and once we will feel confident that we get, again, the cash generation, we will increase our CapEx expenditure accordingly. Thanks very much. That's very useful. Thanks for the answers. The next question is from the line of Richard Taylor of Barclays. Please go ahead. Yeah. Morning, all. Three questions, please. Firstly, very keen to hear hang on at the moment, and especially do you think day and date will happen for any of the bigger movies, in Q4 and beyond? Secondly, I think you had a $ 350 million rent deferral at the full year results presentation in March. Can you give us an update on that number, please? How much has been paid, or how much is still due, and over what time period? Finally, could you just give us the EBITDA breakeven and cash flow breakeven percentages, please, for admissions? Thank you very much. I will take the window question and just say that we are in agreement, on the various stages and for various terms. I will for sure not get into the details with all the studios and also, smaller suppliers. I think that we are in a good place. I believe that one of the main things that no one expected from shortening of the window as a result was the big impact and increase in piracy, and this gave a lot of people a second thought. I think it is relatively, I think anticipated now that there will be a window. It will be for sure shorter than the window we had before. According to the size of the movie, smaller movies might be in the windows of anywhere between 20- 30 days. As we said in our announcement, we expect the windows in general to be between 20-60 days. I believe that the bigger movies will be somewhere around 45 days, according to the agreement we have with Warner, with others, and I think this is where it's going to be, which will be a relatively comfortable number for us to operate and to generate the income we used to do. Yes. About the rent deferral, you are right. I I think end of last year, the rent deferral was approximately $350 million. Cinemas will remain closed, let's say, till end of April. This was adding approximately additional $75 million-$80 million to this number. Most of the leases, I would say, we have already a closed deal. Some of them are still under negotiation. This number might change. Down, by the way, because I think the negotiation, usually, we manage to get some discount. Most of the deals are for long-term. We're talking really between three to five years monthly installments. We are estimating about $7 million-$8 million a month, an additional rent cost in the next three to five years. About the cashflow breaking even, I would divide it into two. We need to take really into account the saving and the results in the food and beverage. This is really helping us to achieve an EBITDA breaking even in admission level of about 50%-55%. In order to be in a cash burn after interest, CapEx, and some other elements, we need more or less a number of 60%-65%. This number was higher last year, in the year we were operated, because there were no saving, and we managed really to implement some good and material saving level, which helping us to lead maybe with lower admission in order to achieve a breaking even in the EBITDA in the cash burn. Thank you very much. Just to clarify on the rent, have you actually started to make those payments yet, or you're only going to start paying those, say, from Q4 onwards when you hope that the business will generate cash? Most of them will start in the beginning of next year. Great. Thank you very much. Thanks. The next question is from the line of Owen Shirley of Berenberg. Please go ahead. Morning, guys. Thanks for taking the questions. The first couple were just follow-ups, really. The first was on the cost savings. Would you be able to give some examples of the bigger buckets that you think could prove permanent, the type of things they are? The second was on CapEx. On your base case assumptions for admissions next year, how much would you spend on CapEx, and would an equity raise change what that figure might be? The third question was, what do you think is driving the increase in F&B spend? I'm not sure what the rules are in the U.S., but could it be related to things like people not having to wear a mask if they're eating? Yeah, what do you think is driving the F&B spend, and do you think it's sustainable? Thanks. About the cost saving, I think like I said before, I can really not think about a line of cost which we didn't manage to touch and to reduce. It's not really a one line. It's either in maintenance, either in payroll, either in utilities, either in G&A. It's really a mix of elements, which by the end of the day, if you accumulate it's becoming a material number. Again, I think to measure it right now will be wrong. Like I said before, it's not a $10 million, but it will not be $200 million. We need to wait a bit and to give more accurate number in the year-end. About the CapEx, we definitely managed to reduce the CapEx in the last year and a half. I'm not sure this will be the CapEx when cinemas will be open and we'll have what we call post-pandemic. I remind you that we used to invest in the last two years an average of $350 million-$400 million of net CapEx. I don't think this will be the level in 2022. Maybe in 2023, if all goes well. It a lot depend really how the business will perform. CapEx is something that we have some control. I think we'll analyze it very carefully month by month, and we'll take the decision accordingly. About the SPP, I will say that we see it all across the board. It's not really in one territory we see increase or in the other we don't see increase. It's really all across the board. By the way, also the other peers in our group see the same trends. It's encouraging. It's true at the beginning. We are two months after the opening. We need to analyze it very carefully. The numbers are encouraging. Also here, I will say we need to move on a bit. The numbers are accurate. We'll come with a stabilized number in a few months from now. Okay, thank you. The next question is from the line of Ali Naqvi of HSBC. Please go ahead. Hi. Good morning. Just to follow up on the exclusivity and the royalty rates. Do these start to go down structurally with the shortening of the window and, this whole dual release to cinema and PVOD? Would that impact the bigger budget films where, pre-pandemic, you were paying an even higher royalty rate than sort of the average? Maybe a second question is, in terms of your cinema estate, what does that look like in the sort of new world, I guess, with the fullness of time? Would you choose to close down sites and sort of rationalize it a little bit more? Are you seeing any rationalization within the independents? We'll start with the royalty thing with the studios. We have a lot of aspects in our commercial relations with the studios. Naturally, we cannot go into these details. There are all the aspects of the business that we do with the studios are on the table when we negotiate the windows. These are the royalties, this is marketing spend, these are all kind of other aspects that we have with them with regards to special formats and others. All is being discussed. I believe that at the end of the day, if we keep a good size of window, I would say, again according to the movies and all this, and we'll take the other aspects into account, we will be in a similar position where we were prior to the crisis. Of course, when we are analyzing the cinemas and their P&Ls, we are putting an effort in trying to be relieved of some of the cinemas that for a few years constantly were losing money. We try to reach an agreement with the landlord under the general discussion. It's not that simple because some of the contracts are long-term, and naturally, if the cinema is not working good for us, there is no demand in the market for somebody else to come and take the cinema. We have some cinemas that are not generating big amounts of money, but we keep them, for other reasons. We want to protect a more successful cinema, which is close by. There are, again, many aspects into this point. Every cinema which is losing money and do not have an impact on the business, and we can reach an agreement with the landlord, a reasonable agreement with the landlord. We, of course, not looking into the number of the cinemas that we operate, but we are looking at the profitability and the value that we give our shareholders by holding these cinemas. We are trying naturally to get rid of cinemas that are just bringing us loss, and we did it relatively successfully in the last year and a half. Thanks. Just a final question. You mentioned, obviously, you're looking at a U.S. listing. What's the sort of logic and timeframe for any decision to be made? We mentioned this option because we were advised by our consultant, and that this is a big topic, and we are looking at many options with regards to it. It should be good to share this with our shareholders and with the public. This is the reason it is there. It's not even a plan yet. It's not going to happen, not next week and not next month. We wanted to put this on the table because this is one of the alternatives, and there are many other alternatives, of going forward with our capital structure. We will need to see. We will need to see how will be the performance, what level will be the cash flow, what will be the appetite, what will be in our talks with our shareholders. There are many aspects. I think it should be taken as a general direction or a general remark. There is still a long way before us, before we take a decision to any direction that we are taking, if we will do anything at all. Okay. Thank you very much. As a reminder, if you wish to ask a question, please press star followed by one on your telephone keypad. The next question is from the line of Kiranjot Grewal of Bank of America. Please go ahead. Hey, good morning, guys. Just two questions from me. Firstly, there's been a bunch of studio contract changes. Are these already considered in your going concern? Also, further risk of day-and-date releases, is that part of your going concern model? So far at -10% 2019, it seems fairly minimal impact. Then just second question, is there a risk of customer behavior changing towards cinemas in terms of thinking about it much more as a special night out, hence higher expenditure? In that case, if you reduce your CapEx plans or change them, slow it out, your CapEx rollout, could that risk cinema? Thank you. I will answer the first question on the going concern and the window. We didn't take into account any impact because we don't think it will be a major impact. If it will be an impact, there are other ways to compensate this impact, and it's not part of the going concern model. As for the risk to the cinema in general, I think that if we look at the history of our industry for the last 120 years, or even more, slightly more, this industry passed everything, and even a pandemic in 1918 and still survived. We are all aware to the huge technology threats that came through the years, from the black and white TV, to the color TV, going onwards to DVD, video, VOD, streaming, et cetera. The cinema do not compete with home entertainment. We believe that people want to go out. People do not want to sit at home seven days a week. It is true that if you can see the same movie at the same time at home, this is something that we need to look at. Still, you will see it in the big movies like "Fast & Furious" or "Black Widow," there are many people that will tell you they don't want to see it at home. At least not for the first time. They want to see it on the big screen. We are emphasizing because of this, our new technologies, the IMAX and the 4DX and the ScreenX. This is part of our answer to this. In general, the cinema is also a social event. People want to go together to see a movie. It's fascinating in a way that you sit with 200 people that you don't know anyone in the hall, but still you laugh together, you cry together, you're being frightened together. This is part of the experience. Saying that, as I said before, the studios are acknowledging that there is a need for a window. There is no need for a long window as it was before. We believe that this will stabilize in a good way, and the cinemas will continue to contribute money. We need to remember, it was only two years ago that in 2019, the cinemas around the world have generated an income of $43 billion, which was the biggest year ever. This was only a year and a half ago. The share of the movie makers out of this was around $20 billion. It's not something that you throw away just like this. Things will stabilize. COVID will stabilize in one way or another, with more vaccinations or less vaccinations. People will want to go out. People will continue to go to restaurants, they will continue to go to cinemas, and they will continue to go to other events. Being one of the most affordable or the most affordable entertainment method outside of home, gave us a big advantage as an industry. Thank you. Thank you very much. This concludes the question- and- answer session. I would like to turn the conference back over to Mooky Greidinger for any closing comments. I think we've touched for the presentation and for the Q&A, all the issues. We are, of course, available for additional information if anyone forgot something or want to ask additional questions. We are great believer in the theatrical business. We believe that most of the industries like this, it's not we are all the time mentioning the studios and mentioning the exhibition side, but there are also the talents. If you will ask Chris Nolan or you will ask Tom Cruise, or you will ask anyone else from the talents, whether movie stars or directors, they all want to see their movies on the big screen. I think with this positive note, we can close the session. Thank you very much for participating. Ladies and gentlemen, the conference is now concluded, and you may disconnect your telephone. Thank you for joining, and have a pleasant day. Goodbye