No. 41

Cinamerica Theatres Sold

Cinamerica Theatres LP, owner of the Los Angeles-based Mann Theatres chain, was bought in November by WestStar Holdings Inc., a partnership of Pittsburgh executive Jeff Lewine and New York-based investment house Warburg, Pincus Ventures LP.

The $165 million deal marked a parting of the ways for Viacom Inc. and Time Warner Inc., which jointly owned Cinamerica but decided to sell it after chronically feuding over various issues related to the joint venture.

WestStar didn’t waste any time announcing it would provide the megaplex theaters with the high-tech sound and projection equipment that movie-goers now demand.

The previously scheduled renovations and expansions of existing Mann theaters will proceed on schedule, with WestStar planning to spend $10 million over the next three years to redevelop cineplexes in California and Colorado.

The exhibition business has shown steady growth in recent years, with the box office for 1997 coming in at a record $6 billion-plus, surpassing 1996’s record of $5.75 billion.