Fitch affirms Marquee, AMC

Fitch Ratings said it has affirmed the issuer default ratings of Marquee Holdings Inc. and its principal operating subsidiary AMC Entertainment, Inc. at B and assigned an issuer default rating of B to AMC Entertainment Holdings, Inc., parent of Marquee.

Affirmed ratings include AMC with issuer default rating at B; senior secured credit facilities BB/RR1; senior unsecured notes B/RR4 and senior subordinated notes CCC+/RR6; Marquee with issuer default rating at B and senior discount notes CCC/RR6; and AMC Holdco's issuer default rating B assigned and senior unsecured term loan CCC/RR6.

The outlook is stable.

Fitch noted that the ratings reflect the significant debt load of AMC and significant operating lease commitments related to its theatre circuit, resulting in lease-adjusted leverage of over 7.0 times and over $450 million in annual rent expense.

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