Michael Campbell is chairman and chief executive officer of Regal
Cinemas Inc., the sixth largest theatre circuit in the United
States. Campbell founded the Knoxville, Tennessee.-based chain in 1989
with the purchase of a twin screen theatre in Titusville, Florida
Over the past five and a half years, Regal has come to encompass
1417 screens in 20 states; 900 more are planned for the next 24-36
months.
Campbell got his start in the exhibition business in August 1982
when he and partner Neal Melton purchased a single-screen theatre
in New Tazwell, Tenn.. a town with a population of 5,000. The
old downtown theatre had been closed by its owner when they purchased
it. 'It was a quasi-hobby for me at the time," says Campbell,
who was a manager for the 61- store supermarket chain White Stores.
"The first film we showed was 'ET.' The lines were around the
block. We thought, 'This is a great business to be in!' Of course,
we soon found out that not every movie is 'E.T.' But I thought
[the exhibition industry] was intriguing, and a lot more exciting
than operating a supermarket."
Four months later, Campbell left his management-level job with
the supermarket chain, after spending 11 years working his way
up the ranks. "It was a bit frightening, because at first we only
had one theatre, and we had to support two families. But we were
willing to take the plungeówe had enough faith in what we were
doing. And once we had a flavor for the business, there was no
looking back. By December Campbell's Premiere Cinemas was in the
process of building a second theatre: a four-screen complex at
a regional mall in Middlesboro, Ky. In June 1983, the four-plex
opened its doors to the public.
With no available capital for loans, Campbell first borrowed money
to finance the theatres, primarily through a small, hometown bank
in New Tazewell. By the end of 1986. the Premiere Cinemas chain
had grown to 45 screens in 13 small-town locations in Kentucky,
Tennessee and North Carolina.
To continue operating at this level. the Premiere partners decided
to seek venture capital so they could continue to build the chain.
In October 1987, they finalized a deal lo sell a portion of Premiere
Cinemas to a group of venture capital companies in the southeast
for $2 million. With that financing and an additional loan from
a larger bank. they were able to expand Premiere to 135 screens.
Two years later, in 1989, the Texas-based Cinemark Theatres chain
approached Campbell with an offer to buy out Premiere. Negotiations
began in April. An agreement was signed in October of that year,
which generated a substantial profit for Premiere's management
and shareholders. At the time of the sale, Premiere Cinemas encompassed
143 screens in the states of Kentucky, Tennessee, Georgia Ohio
and North Carolina.
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Three weeks after selling Premiere, Campbell returned to the theatre
business. founding Regal Cinemas Inc. for the purpose of acquiring
and constructing movie theatres while he remains chairman, chief
executive officer and president. His goal was to step up the market
size for the new theatre circuit from small to midsize markets.
With Melton along as Regal's vice president of construction, Campbell
made Regal's first acquisition, a two-screen movie house in Titusville.
Fla
From November 1989 to June 1993, Regal Cinemas grew to 315 screens.
In June 1993. Regal conducted an initial public offering selling
its stock for $8.62 a share. By June 1995. its ticker was up to
at $32 a share, an increase of almost 300 percent.

Regal Cinemas' first FunScape entertainment center, located in
Chesapeake, Va.
Regal now operates throughout the eastern United States with 1417
screens. Campbell predicts that in the next 24-36 months, it will
add 900 more screens. The recent announcement that Regal will acquire Cobb Cinemas will add an
additional 671 screens positioning Regal as the third largest theatre exhibitor in the United States. With
the opening of FunScape, Regal's new, 95,000-square foot
entertainment complex in Chesapeake, VA, in 1995 the company had additionally
diversified its operations. The all-indoor entertainment park
features a state-of-the-art 13-screen multiplex theatre, a 36-hole,
tri-level miniature golf course, a Victorian-era cityscape of
shops. food courts, children's play areas, arcades motion simulation
theatres and virtual-reality games. Three other FunScape locations
are currently in operation in Rochester, N.Y., Syracuse, N.Y., and Brandywine Delaware;
two others are scheduled to open in 1997, both in Ft. Lauderdale, Florida.
Surrounded by a young but energetic group of managers, Regal Cinemas
continues to expand its hold in the exhibition business.
Forbes Magazine has profiled Campbell and has twice named Regal in its top 100
growth companies in the United States.
Campbell attributes its success to building expensive-looking
theatres while keeping a close eye on the bottom-line. Others
say he has the golden touch.
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