IMPAIRMENT OF LONG-LIVED AND OTHER ASSETS

12 Months Ended

Dec. 31, 2024

Impairment or Disposal of Tangible Assets Disclosure [Abstract]

IMPAIRMENT OF LONG-LIVED AND OTHER ASSETS

11.IMPAIRMENT OF LONG-LIVED AND OTHER ASSETS

The Company reviews its long-lived assets for impairment indicators on a quarterly basis and goodwill on an annual basis or whenever events or changes in circumstances indicate the carrying amount of those assets may not be fully recoverable. The Company performed a quantitative impairment analysis on its long-lived assets and qualitative

assessments on its goodwill and tradename intangible assets as of December 31, 2024. The valuation multiples used in the Company’s quantitative assessment of long-lived assets as of December 31, 2024 ranged from 2.2 to 6 times. See Note 1 for a discussion of the Company’s impairment policy and a description of qualitative and quantitative impairment assessments.

Below is a summary of impairment charges for the periods indicated:

	Year Ended
	December 31,
	2022	2023	2024
U.S. segment
Theater properties	$19.7	$6.6	$—
Theater operating lease right-of-use assets	34.0	7.1	—
Investment in NCM (1)	113.2	0.7	—
Other	3.9	—	—
U.S. total	170.8	14.4	—
International segment
Theater properties	2.2	0.7	0.9
Theater operating lease right-of-use assets	1.1	1.5	0.6
International total	3.3	2.2	1.5
Total impairment	$174.1	$16.6	$1.5

(1)See discussion at Investment in National CineMedia in Note 8.

The impairment charges for the year ended December 31, 2024 were related to a theater in one of our international locations that was not showing sufficient recovery since reopening after the temporary COVID-19 related theater closures when compared with the rest of our theater circuit. For the years ended December 31, 2022 and 2023, impairment charges were primarily due to the impact of the COVID-19 pandemic on the theatrical exhibition industry and its ongoing recovery, as discussed in Note 1.