Cineplex Announces Credit Facility Update

TORONTO, Sept. 25, 2017 /CNW/ - (TSX: CGX), Cineplex Inc. ("Cineplex") today announced an increase of $75 million in the revolving facility under the terms of its existing credit facilities, entered into during the second quarter of 2016.  The existing credit facilities allowed for an increase in the revolving facility by an additional $150 million with the consent of the lenders.  The credit facilities now include: (a) a $475 million, senior, secured, revolving facility; and (b) a $150 million, senior, secured, non-revolving, credit facility.  The credit facilities bear interest at a floating rate based on the Canadian dollar prime rate, or bankers' acceptances rates plus, in each case, an applicable margin to those rates.  The facilities mature in April 2021 and are payable in full at maturity, with no scheduled repayment of principal required prior to maturity. 

The purpose of the increase in the revolving facility will be to support the Company's ongoing diversification initiatives, its recently announced normal course issuer bid and the potential future cash settlement of its' convertible unsecured subordinated debentures which mature on December 31, 2018.

Forward Looking Statements
This press release contains "forward-looking statements" within the meaning of applicable securities laws, such as statements concerning anticipated future events, results, circumstances, performance or expectations that are not historical facts.  These statements are not guarantees of future performance and are subject to numerous risks and uncertainties, including those described in the Cineplex Inc. Annual Information Form ("AIF"). Those risks and uncertainties include: adverse factors generally encountered in the film exhibition industry such as poor film product and unauthorized copying; risks associated with national and world events, including war, terrorism and international conflicts; natural disasters or extreme weather conditions; infectious diseases; changes in income tax legislation; and general economic conditions. In addition, these risks and uncertainties include: the ability to achieve the expected synergies and the timing of same; the effectiveness of integration efforts and risks related to the satisfaction of the conditions to closing the transaction; and the related financing arrangements, including future general economic and market conditions and the associated debt and equity capital markets. Many of these risks and uncertainties can affect our actual results and could cause our actual results to differ materially from those expressed or implied in any forward-looking statement made by us or on our behalf. All forward-looking statements in this press release are qualified by these cautionary statements. These statements are made as of the date of this press release and, except as required by applicable law, we undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. Additionally, we undertake no obligation to comment on analyses, expectations or statements made by third parties in respect of Cineplex, its financial or operating results or its securities. Additional information, including Cineplex's AIF, can be found on SEDAR at www.sedar.com.

About Cineplex
A leading entertainment and media company, Cineplex (TSX:CGX) is a top-tier Canadian brand that operates in the Film Entertainment and Content, Amusement and Leisure, and Media sectors. As Canada's largest and most innovative film exhibitor, Cineplex welcomes 75 million guests annually through its circuit of 163 theatres across the country. Cineplex also operates successful businesses in digital commerce (CineplexStore.com), food service, alternative programming (Cineplex Events), cinema media (Cineplex Media), digital place-based media (Cineplex Digital Media), amusement solutions (Player One Amusement Group) and an online eSports platform for competitive and passionate gamers (WorldGaming.com).  It also operates a location based entertainment business through Canada's newest destination for 'Eats & Entertainment' (The Rec Room), and will also be opening new sports and entertainment complexes in communities across the country (Topgolf). Additionally, Cineplex is a joint venture partner in SCENE, Canada's largest entertainment loyalty program.

Proudly recognized as having one of the country's Most Admired Corporate Cultures, Cineplex employs over 13,000 people in its offices across Canada and the United States.  To learn more visit Cineplex.com or download the Cineplex App.

SOURCE Cineplex