Alamo Drafthouse has been hit with layoffs as 15 employees, or 9% of its workforce, at the corporate level were let go.
The popular movie theater chain had 165 workers prior to the cutbacks. Alamo Drafthouse declined to comment. However, sources say the roles were eliminated as part of a business reorganization to prioritize efficiency and added that no further layoffs are anticipated on the cooperate side.
Like all cinema circuits, Alamo Drafthouse has spent the past four years grappling with the residual effects of COVID, only to face additional setbacks from 2023’s twin labor strikes. Domestic box office revenues in 2024 fell to $8.75 billion, down 3.3% from last year and 23.5% from 2019, marking first time post-pandemic that yearly revenues didn’t improve upon the last. Hollywood is hoping that admissions will finally rebound to pre-COVID levels in 2025. After a slow start, moviegoing is expected to pick up with Marvel’s “Captain America: Brave New World” on Feb 14 followed by blockbuster-hopefuls including “Superman,” “Jurassic World Rebirth,” “Mission Impossible – The Final Reckoning,” “Fantastic Four: First Steps” and “Wicked: For Good” over the next 12 months.
Alamo Drafthouse also let go of an unspecified number of venue staff at its theater chains, though sources say those cuts were part of the yearly post-holiday slowdown. Most of those people were part-time employees who were hired around the busy Christmas season and will be eligible for rehire in the spring when the box office is expected to regain steam.
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Alamo Drafthouse currently operates 44 locations nationwide after opening two new venues in San Francisco in December. The chain was acquired last year by Sony Pictures Entertainment. These layoffs were the decision of Alamo leadership, not a mandate from Sony, insiders stress.
Alamo’s corporate ownership had filed for Chapter 11 bankruptcy in 2021 as theater chains were struggling to rebound from prolonged COVID-related closures and a lack of new releases. It emerged a few months later after completing a sale to Altamont Capital Partners, with funds managed by affiliates of Fortress Investment Group LLC and Alamo Drafthouse founder Tim League. The circuit, a favorite among cinephiles, is known for in-theater dining options, themed events tied to new and classic movies, as well as its strict “no talking, no texting” policy.