Alamo Drafthouse Cinemas in North Texas Closed

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The first quarter of 2024 has been the worst-performing quarter in movie-going history

Film-goers were shocked and sad to learn all five Alamo Drafthouse Cinemas in North Texas have closed. The news was especially heartbreaking since the Angelika Film Center in Plano announced its closing just a few days ago. On a personal note, my husband and I have enjoyed watching classic favorites like Moulin Rouge and new releases at the Alamo Drafthouse in The Cedars area of Dallas. I especially loved the Alamo’s large, cushy, reclining seats and being able to order real food (not just popcorn) and beverages their attendants placed on my handy, built-in tray. These features helped elevate movie night into a special occasion at Alamo Drafthouse Cinemas.

The following statement was received from the Alamo Drafthouse Cinemas franchise operator for the five North Texas locations.

After more than 13 years of operation, Two is One, One is None, LLC announced today that the six franchised Alamo Drafthouse Cinemas operated by it and its affiliates have filed voluntary petitions for relief under Chapter 7 of the U.S. Bankruptcy Code and closed the five Alamo Drafthouse Cinemas in North Texas including the locations in Richardson, Las Colinas, Lake Highlands, Dallas, and Denton, and a location in Woodbury, Minnesota.

The Cinemas have provided guests with a unique movie-going experience with restaurant-in-theater servers, themed parties, menu items, and merchandise corresponding with movies, as well as offering holiday and other special movies.

Alamo Drafthouse Franchise Operator

Two is One, One is None, and its affiliates attribute the decision to seek bankruptcy protection and close the Cinemas to various factors:

Industry-wide guest counts have not rebounded even to pre-COVID levels. Coupled with the 100-plus days of the Writers’ and Actors’ strikes, industry-wide economic performance was severely down in the fourth quarter of 2023 and the first quarter of 2024. In fact, the first quarter of 2024 has been the worst-performing quarter in movie-going history.

As a franchisee, we paid franchise fees not required of other competitors; payment of these fees to our franchisor in a prolonged environment of significantly decreased revenues were not sustainable. Franchise Fees alone were nearly 10% of our sales ($3.7 million) in 2023.

Due to contractual obligations, we were forced to keep even the most unprofitable locations open, which harmed our overall business.
To offset operating losses and try to survive, our owners infused more than $3.5 million dollars in new capital into payroll and operations in 2023 and year-to-date 2024. We attempted to reduce costs, including repeatedly seeking relief from our franchisor to reduce the non-competitive fee structure and to permit the closure of the most non-profitable locations, neither of which were obtained.

Unique Movie-Going Experience

We are deeply saddened to find it necessary to take this step. We are grateful to all our employees who put in the work, day in and day out to produce a special movie-going experience. Also to our many loyal customers for whom it was a pleasure to provide such a special experience.

An attempt was made to contact all 600-plus employees prior to this press release and the closing of all theaters. We wish all employees well and much future success in their new endeavors. References will gladly be provided.

We suggest Season Pass and Victory Members and those guests with gift cards contact Alamo Drafthouse in Austin Drafthouse.com. Additional contact email addresses: Season Pass: seasonpass@drafthouse.com; and Victory Program: avp@drafthouse.com.

Updated info has been reported that the parent company may be able to reopen the DFW area locations sometime in the future, so we’re crossing our fingers.

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Jo Ann Holt
Jo Ann Holt is an award-winning journalist with 40+ years of experience as a writer and editor. She loves live performances, from country music concerts to Broadway musicals to community theatre productions. Holt also enjoys art and cultural festivals, and good food and wine. She’s toured Amsterdam, London, Puerto Rico, the Bahamas, and various cities in Mexico but looks forward to visiting even more countries. She has traveled by boat, plane, and train, but especially likes taking long road trips across the U.S. with her husband, retired history professor Durhl Caussey. They enjoy meeting friendly people, learning about different cultures, and visiting historic sites wherever they go.

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