A six-unit operator of Alamo Drafthouse Cinemas in Texas and Minnesota closed all of its locations and filed for Chapter 7 bankruptcy protection, citing excessive losses over more than a year.
The operator, Two is One, One is None LLC, is based in Irving, Texas. The company cited assets of between $1 million and $10 million, and liabilities between $10 million and $50 million, according to court documents.
The company told employees on Thursday. Those employees shared the post widely on social media sites such as Twitter/X. Those employees said staff “can contact the court-appointed trustee to become a creditor for any wages owed.”
The franchisee has operated theaters for the past 13 years. It has five locations in North Texas, including Richardson, Las Colinas, Lake Highlands, Dallas and Denton. It also operated a location in Woodbury, Minnesota.
The company in the post said that it lost $1 million in 2023, and that ownership spent $2 million over the past eight months keeping the operation afloat.
The franchisor, Alamo Drafthouse, filed for bankruptcy itself in 2021. The pandemic wiped out traffic to movie theaters, which have been slow to recover.
Demand isn’t exactly robust so far in 2024, which has proven to be a disappointing year for the box office.
In a statement, Alamo said that it was “disappointed to learn today” that the operator shut down and noted that all other Alamo locations are still up and running.
“We are heartbroken for the franchisee’s teammates and the local film communities,” the company said. “We are working as quickly as possible to get Alamo Drafthouse Cinema back up and running in these cities.”
UPDATE: This story has been updated to include comment from Alamo.
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