Alamo Drafthouse Files Chapter 11; Maintains Covid Protocols Despite Texas Governor Lifting RestrictionsThe Austin-based movie theater chain announces it's entered bankruptcy proceedings mere hours after defiant tweet concerning public-health measures.

ByKenny Herzog

Amy Brothers | Getty Images

Austin-based dine-in movie theater chain Alamo Drafthouse has had averybusy 12 hours. Last night, in response to Texas GovernorGreg Abbott announcingthat "EVERYTHING" in his state is "OPEN 100%"Alamo tweetedthat it would still be enforcing social distancing, mask requirements and other mitigation measures at all its locations. The declaration went viral, which is good news for Alamo, who have suffered a tremendous hit to their business amid pandemic-related closures and endured some bad PR afteremployees went publicwith frustrations over furloughs.

To that end,Varietyreportedjust this morning that Alamo has filed for Chapter 11 bankruptcy protection as part of a larger asset-reshuffling with various investment partners and backers. PerVariety, Alamo "will close down a few underperforming locations and restructure its lease obligations," but otherwise operations will proceed as normal, allowing for variance in state-reopening directives.

Related:Alamo Drafthouse Strikes Gold by Redefining the Cinema Experience

As for that viral tweet, it didn't refer directly to Abbott or his missive, but the choice to literally underscore that they are "only" following CDC and medical experts' guidance and stress that "the health of our teams and guests remains our company's top priority" effectively punctuated their position vis a vis the governor.

We will keep you posted if there's an escalation in their virtual war of words.

Wavy Line
Kenny Herzog

Entrepreneur Staff

Digital Content Director

Kenny Herzog is currently Digital Content Director at Entrepreneur Media. Previously, he has served as Editor in Chief or Managing Editor for several online and print publications, and contributed his byline to outlets including Rolling Stone, New York Magazine/Vulture, Esquire, The Ringer, Men's Health, TimeOut New York, A.V. Club, Men's Journal, Mic, Mel, Nylon and many more.

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