AMC looking to block MoviePass service after price slashing – AMC Entertainment Holdings, Inc (NYSE:AMC)

The AMC theater chain — whose parent (NYSE:AMC) dropped 2.8% in the stock market today after third-party service MoviePass dropped the cost of its unlimited movie pass to $9.95/month — is examining legal options to block the subscription service.

MoviePass lowered the price to $9.95 from $50 for a month’s worth of movies. Theaters don’t miss out on revenues, as MoviePass says it pays full price for the tickets, but AMC says they’re “not welcome here” and the service isn’t in the best interest of “moviegoers, movie theatres and movie studios.”

“While AMC is not opposed to subscription programs generally, the one envisioned by MoviePass is not one AMC can embrace,” the company says in a release. “We are actively working now to determine whether it may be feasible to opt out and not participate in this shaky and unsustainable program.”

AMC is the country’s biggest theater chain.

Others in the sector today: Regal Entertainment (RGC -1.2%), Cinemark Holdings (CNK -0.7%), Marcus (MCS -1.2%), Reading International (RDI +0.4%), IMAX (IMAX -1.3%).