In a filing late yesterday with the SEC, IMAX Corporation issued the following statement:
“In connection with the Company’s previously-announced strategic review of its virtual reality pilot initiative, the Company has decided to close its remaining VR locations and write-off certain VR content investments. Furthermore, as part of the Company’s ongoing efforts to decrease costs and increase operating leverage, the Company is reducing certain functions and realigning resources in certain areas. The Company anticipates recognizing one-time impairment charges of $6.9 million in the fourth quarter of 2018 as a result of these strategic decisions.
“In addition to the foregoing, the Company will also recognize one-time charges of $3.3 million and $4.2 million in the fourth quarter, associated with the transition of the Company’s CEO, IMAX Entertainment, and with legal fees awarded in the Company’s previously disclosed arbitration, respectively.”
More on IMAX VR from InPark Magazine: