Close to eight months after it reopened, Hollywood Theater-Saipan Megaplex has been doing well, due in large part to lower power rates.
Willy Santos, the company's general manager, said Hollywood Theater's current cash flow is noticeably improved than in April 2008 when it was forced to close temporarily due to exorbitant billings from the Commonwealth Utilities Corp.
“Business overall has been noticeably busier since reopening. Anytime that we’re charged a lower rate per kilowatt hour, improved revenues will be realized. What still needs to be seen is if the higher kilowatt rate that we were charged earlier this year versus what were being charged now will help us or hurt us with what we have budgeted for utility costs this year,” he said.
At the time of its over month-long hiatus, CUC's per kilowatt hour rate was 0.373. It, however, has come down considerably since then to 0.270 in November 2008 and 0.207 in December 2008. The current average per kilowatt hour rate is 0.24.
The development has been a boon not only to the lone cinema facility in the CNMI but to its customers as well.
“A week has not gone by that a person has not approached me and told me how happy they are that we have reopened,” said Santos.
Curiously though, Hollywood Theater seemed to have not been affected by the closure of Blockbuster in October last year.
Said Santos, “We had a great public response since our reopening but Blockbuster was still open then. Even though they were the largest DVD rental on island there are still several similar businesses serving the community.”
Hollywood Theater unexpectedly shut down last April 18 with Wallace Theatres citing the island’s bad economy and rising operational costs as the reasons for the company’s decision to temporarily halt operations.
It, however, reopened in May 23, 2008, after Wallace Theatres reviewed the financial viability of the theater and the Oregon-based company received a positive reaction from the public.
During its absence, video rentals on Saipan enjoyed brisk sales with one prominent outlet reporting a 20-percent spike in business since Hollywood Theater closed.
A company led by Los Angeles-based talk show host Steve Mason also showed interest in operating the cinema complex.
Mason, president of Flagship Theatres, said his company entered informal talks with Wallace Theatres to re-open the seven-theater cinema complex.
The seven-cinema Hollywood Theaters features stadium seating, giant screens and Dolby Digital Sound. Auditoriums feature high-back reclining seats that give each patron an unobstructed view, while cozying-up in “love-seat” style chairs that feature retractable cup-holder armrests.
Hollywood Theater-Saipan Megaplex, located next to Price Costco, opened with much fanfare in Sept. 8, 1999.
Home | Weather | Advertising | Classifieds | Subscription | Contact
Us | About Us | Archives
©2006 Saipan Tribune. All Rights Reserved
