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Executive Board Minutes EXECUTIVE BOARD MINUTES Tuesday, 29 September 2020 1:30 pm - 2:30 pm Eastern DRAFT Via Conference Call Board Member Participants: Other Participants: Chairman Ellis Jacob Mike Bowers Vice Chairman Rolando Rodriguez Steve Zuehlke Treasurer Joe Masher Secretary Jeff Logan Staff Participants: Adam Aron Esther Baruh Robert Bagby Jackie Brenneman, General Counsel Bo Chambliss Kathy Conroy Eddy Duquenne Patrick Corcoran Don Fox John Fithian Mooky Greidinger Mitch Neuhauser Dan Harkins Matt Pollock Chris Johnson J.D. Loeks Ron Krueger Joe Paletta John Vincent David Wright Mark Zoradi Chairman Ellis called the meeting to order to discuss the film release slate, opening/closing of theater markets, current state of federal programs and legislation, public messaging, the short and long term outlook, and the annual meetings of NATO. Ms. Brenneman provided a brief overview of the antitrust statement. Chairman Ellis and Mr. Fithian welcomed Don Fox on his election to the NATO Executive Board. Public Messaging: The Board agreed to reduce the CinemaSafe national campaign remaining $1.2 Million to $500,000 concentrating on the New York and Los Angeles markets instead. The remaining $700,000 will be used in late November as needed. Chairman Ellis noted there was no new business and the next meeting will be via Zoom on Wednesday, 7 October 2020 at 1:30 pm Eastern. It was moved and seconded to adjourn the meeting. A vote was taken and the meeting was adjourned. Page 1 EXECUTIVE BOARD MINUTES Tuesday, 22 September 2020 DRAFT 1:30 pm - 2:30 pm Eastern Via Conference Call Board Member Participants: Other Participants: Chairman Ellis Jacob Mike Bowers Vice Chairman Rolando Rodriguez Steve Zuehlke Treasurer Joe Masher Secretary Jeff Logan Staff Participants: Adam Aron Esther Baruh Robert Bagby Jackie Brenneman, General Counsel Bo Chambliss Kathy Conroy Eddy Duquenne Patrick Corcoran Mooky Greidinger John Fithian Dan Harkins Mitch Neuhauser Chris Johnson Matt Pollock J.D. Loeks Ron Krueger Joe Paletta John Vincent David Wright Mark Zoradi Chairman Ellis called the meeting to order to discuss NATO’s outreach to financial community, NRG Study on Consumer Awareness, health & safety messaging, film release slate, opening/closing of theater markets and federal programs & legislation. Ms. Brenneman provided a brief overview of the antitrust statement. NATO Outreach to Financial Community and Banks: Mr. Corcoran reported he is communicating with investors and analysts on Wall Street by online conferences and 1:1 meetings discussing windows, streaming and where the industry will be when it is fully back in business. Their outreach also extends to the banking sector. NRG Study on Consumer Awareness: Mr. Corcoran reported on the recent NRG study on consumer awareness and attitudes during COVID about safety protocols and movie theaters. The new data suggests awareness rises when there is film product. NATO’s messaging to press and studios continue to be more film product and also helps market awareness of safety protocols and movie theaters openings. 2 Page 2 EXECUTIVE BOARD MINUTES Health and Safety Messaging: Mr. Fithian continues his media tour discussing CinemaSafe and theater openings. The messaging and spending priorities have shifted to open markets. The new Aerosol Study on CDC website has been withdrawn. Ms. Brenneman discussed utilizing NATO’s epidemiologists on videos supporting CinemaSafe in addition to developing testimonial videos. Mr. Fithian noted Dr. Fauci’s email communication will only be used for lobbying purposes to get markets open. Film Release Slate: Mr. Fithian stated there is no change from last week. The Board discussed the importance of New York movie theaters re-opening worldwide. More discussion on possible film slate delays due to rising COVID numbers in Europe Opening and Closing of Theater Markets: Mr. Masher reported the theater tour with New York’s Health Department went well and believes there is a clear understanding of the protocols and the distinction between dining out and eating at movie theaters. There will be continued discussion on the HVAC system. Mr. Zoradi stated there were additional county openings and NATO of CA continues to lobby for California. Mr. Fithian reported the Governor offices for Michigan, North Carolina and New Mexico reported positive signs for reopening. NATO is utilizing epidimologists for lobbying in these states. Federal Policy Update: Ms. Baruh reported on the 14-16 September Virtual Capitol Hill “Fly-in” meetings with the House & Senate offices for Congress to discuss struggling industries, pass legislation on relief funding and make the Main Street Lending program more accessible. NATO will continue to support the RESTART program and focus on making PPP programs available to more mid-size theaters. Ms. Brenneman reported the Feds and Treasury released changes to the Main Street Loan programs. NATO will host a webinar on these changes and discuss bankruptcy tools. Chairman Ellis noted there was no new business and the next conference call will be held Tuesday, 29 September 2020 at 1:30 pm Eastern. It was moved and seconded to adjourn the meeting. A vote was taken and the meeting was adjourned. 3 Page 3 EXECUTIVE BOARD MINUTES Tuesday, 15 September 2020 DRAFT 1:30 pm - 2:30 pm Eastern Via Conference Call Board Member Participants: Board Member Not Present: Vice Chairman Rolando Rodriguez Chairman Ellis Jacob Treasurer Joe Masher Secretary Jeff Logan Other Participants: Adam Aron Mike Bowers Robert Bagby Steve Zuehlke Bo Chambliss Eddy Duquenne Staff Participants: Mooky Greidinger Esther Baruh Dan Harkins Jackie Brenneman, General Counsel Chris Johnson Kathy Conroy J.D. Loeks Patrick Corcoran Ron Krueger John Fithian Mike Spaeth (for Joe Paletta) Mitch Neuhauser John Vincent Matt Pollock David Wright Mark Zoradi Vice Chairman Rodriguez called the meeting to order to discuss the Executive Board election results, film weekend results, film release slate, CinemaSafe Continuing roll- out, opening/closing of theater markets, federal policy and NATO outreach to financial community. Ms. Brenneman provided a brief overview of the antitrust statement. Organizational Matters: Ms. Brenneman reported on the Executive Board election results. Mr. Chambliss, Mr. Loeks, Mr. Masher were re-elected from mid-size circuit category. Mr. Vincent was re-elected and Mr. Don Fox will join as a first-term member from the independent seat category. Attachment 1 reflects the composition of NATO Executive Board, 2020-2021 term. Mr. Fithian and Mr. Ellis will convene a Nominations Committee meeting to discuss officer nominations. Nominations will be considered at the end of the 7 October meeting. Ms. Conroy discussed the importance of Board members attending both the Advisory Board and Executive Board meetings on 7 October. 4 Page 4 EXECUTIVE BOARD MINUTES Weekend Results: Mr. Corcoran provided worldwide weekend results for Tenet film at $37.3M with domestic at 6.7M. The overall worldwide numbers to date is $177M. Film Release Slate: Mr. Fithian reported on various films removed from the September-October calendar noting the films remain theatrical releases for later dates. Disney is analyzing numbers and reviewing their film release dates. The Tenet release raised consumer awareness about the safety protocols and that theaters were open. There was discussion many independent theaters may close due to loss of product. The Board discussed remaining positive in the messaging and suggested cinema operators write to Governor Cuomo about the worldwide impact of theaters closed in New York. The Opening of Theater Markets: Mr. Masher reported NY Dept. of Health has scheduled a theater tour to see how the protocols work. A safety protocol video was sent to NY Governor’s office and Dept. of Health. Mr. Fithian reported Michigan remains a problem and a local epidemiologist was hired to communicate with their Governor’s office. Mr. Zoradi noted California has made progress and the PR agency has been helpful to NATO of CA. Federal Policy Update: Ms. Baruh reported the Virtual Capitol Hill “Fly-in” was in process with other trade associations to meet with House & Senate offices for Congress not to abandon struggling industries, pass legislation on relief funding and make the Main Street Lending program more accessible. She noted there is no movement on passing a bill and will probably not happen before the upcoming election. CinemaSafe Roll-out: Mr. Corcoran reported 385 members to date signed up for CinemaSafe voluntary protocols. There are 6 and 15 second cut down videos available for ad campaigns and social media. There will be a 1 minute safety video available on Trailer mix for trailers. Consumer testimonials on cinema safety will be packaged for exhibitor use. There continues to be ongoing media outreach. NATO Outreach to Financial Community: Mr. Corcoran reported NATO continues outreach to Wall Street Analysts. NATO will expand discussion on the message of NATOs long term health to the banking community. Vice Chairman Rodriguez noted there was no new business and the next conference call will be held Tuesday, 22 September 2020 at 1:30 pm Eastern. It was moved and seconded to adjourn the meeting. A vote was taken and the meeting was adjourned. 5 Page 5 EXECUTIVE BOARD MINUTES Attachment 1 Composition of NATO Executive Board, 2020-2021 Term: Eight Automatic Seats (listed by company’s domestic screen count): 1. Adam Aron, AMC Entertainment Inc. 2. Moshe Greidinger, Regal Entertainment Group 3. Mark Zoradi, Cinemark USA, Inc. 4. Ellis Jacob, Cineplex Entertainment LP 5. Rolando Rodriguez, Marcus Theatres Corp. 6. Dan Harkins, Harkins Theatres 7. Eddy Duquenne, Kinepolis/Landmark/MJR 8. Robert Bagby, B&B Theatres Four Regional/Mid-Sized Circuit Seats (listed alphabetically by last name): 1. Bo Chambliss, Georgia Theatre Company 2. Ron Krueger, Southern Theatres, LLC 3. J.D. Loeks, Studio C 4. Joe Masher, Bow Tie Cinemas Four Independent Seats (listed alphabetically by last name): 1. Donald Fox, Fox Theatres 2. Joe Paletta, Spotlight Theatres, Inc.
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