LAUREN: HAVE A BEAUTIFUL LONG
WEEKEND.
>> YOU TOO, THANKS SOME.
CHERYL: ALL RIGHT, WELL, MOVIE
PASS, SUBSCRIPTION SERVICE THAT
BECAME BREAK-OUT HIT WITH
CUSTOMERS THIS YEAR NOW FACING
TROUBLED WATERS, YESTERDAY,
BOARD MEMBER CALLED RESIGNED
FROM MOVIEPASS COMPANY CITING
CONCERNS WITH MANAGEMENT.
TED JOINS US THIS MORNING, TED,
THANKS FOR JOINING US, GOOD TO
HAVE YOU, SIR.
>> GOOD MORNING, THANKS FOR
HAVING ME.
CHERYL: LET'S TALK ABOUT
AND HE BASICALLY WAS NOT
CONSULTED AS MEMBER OF THE
BOARD, HOW DO YOU RESPOND TO
GOOD FRIEND, IF YOU LOOK AT OUR
RESPONSE TO THAT IT WAS PRETTY,
PRETTY EVEN KILLED -- KEELED
WHERE HE'S ATTENDED BOARD CALLS
THIS YEAR, IF YOU LOOK AT THAT,
THAT'S ON A WEEKLY BASIS, TO SAY
THAT YOU'RE UNINFORMED TO ME
IT'S A SPRECH IF YOU'RE ON BOARD
CALLS, YOU'LL SEE IN OUR THAT WE
FILED YESTERDAY A RESPONSE AS
WELL.
CHERYL: WHAT ABOUT EMERGENCY
LOAN THAT YOU TOOK OUT, THE
WHERE ARE YOU RIGHT NOW WITH
CASH FLOW?
IN A WHILE WHERE WE'VE TAKEN,
YOU KNOW, WITH MOVIE PASS AND
WENT TO PLAN WHERE YOU'RE DOING
THE 3 MOVIES A MONTH AND WE HAVE
DONE THAT IN THE LAST 30 DAYS,
RIGHT NOW WE ARE WITH THE
SUBSCRIPTIONS, WE ARE AT BREAK
EVEN NOW.
IN CASH FLOW.
WERE GROWING THAT WE COULD JUST
FLIP THE SWITCH AND BECOME
PROFITABLE AND THAT'S WHAT WE
ARE WORKING ON NOW, WORKING ON
THE PROFITABILITY.
CHERYL: I DON'T THINK THE MIAMI
IS GETTING ON WALL STREET, HOW
OPTIMISTIC ARE YOU THAT YOU CAN
REVERSE COURSE?
>> I THINK WE ALREADY HAVE
REVERSED COURSE, IT'S NOT EVEN
ABOUT THAT.
I THINK ANY TIME THAT YOU
IN LESS THAN A YEAR, PEOPLE HAVE
TO REMEMBER THAT IT'S REALLY
AUGUST 15TH OF LAST YEAR THAT WE
TOOK OVER MOVIEPASS SO REALLY
WHAT'S GOING ON WITH THAT WE'VE
CREATED ABSOLUTELY, YOU KNOW,
PHENOMENA OF MILLIONS OF
SUBSCRIBERS ALL OVER THE COUNTRY
AND A LOT OF OUR SUBSCRIBERS ARE
STILL THERE.
WE ARE NOT SEEING IT, PEOPLE ARE
THINKING THAT THE MILLIONS OF
PEOPLE ARE QUITTING, IT'S THE
OPPOSITE.
YOUR ATTENTION, THE SURVEY CAME
OUT, BASICALLY 47% ARE
CONSIDERING CANCELING
MEMBERSHIP, ONLY 37% PLAN TO
STAY WITH YOU AND A LOT OF THE
CANCELLATIONS, 50% OF
CANCELLATIONS HAVE BEEN OVER THE
LAST MONTH, IS THIS A PERCEPTION
PROBLEM IN YOUR MIND?
IS THIS --
>> NO.
GAVE US SURVEY BEFORE THAT WHICH
WAS GLOWING COUPLE OF MONTHS
AND MOVIEPASS IS A BIG STORY.
CHERYL: IT IS, YOU CAME ON LIKE
THEATERS LIKE THEY USED TO BUT
AT THE SAME TIME THE COMPETITION
IS REALLY ON YOUR HEELS RIGHT
NOW, NOW AMC HAS THE SAME GREAT
IDEA AND THEY ARE ACTUALLY --
THEIR SUBSCRIPTIONS HAVE
ACTUALLY JUMPED IN AMAZING FORM
HOW DO YOU COMPETE WITH THEM AND
ALSO A COMPANY THAT SAYS, HEY,
AMC IS STILL 23% OF MARKET SHARE
OUT THERE SO PEOPLE ARE LIMIT
TODAY JUST GOING TO AMC, THEY
CAN GO TO ANY THEATER OUT THERE,
92% OF THEM.
WHERE WE ARE RIGHT NOW AND
SHOWING WALL STREET THAT YOU CAN
BE PROFITABLE IN SUBSCRIBER
PLANS OF GIVING CONSUMERS BETTER
OPTIONS OUT THERE.
CHERYL: TED, WE APPRECIATE YOU