At movie industry convention, leaders say blockbusters alone aren’t enough

LAS VEGAS (AP) — Movie theater owners are still feeling the high from “ Barbenheimer.” The counterprogramming of “Barbie” and “Oppenheimer” brought audiences to cinemas around with the world, ultimately earning nearly $2.5 billion in combined ticket sales. But, gathered in Las Vegas this week for the annual CinemaCon convention and trade show, they're also acutely aware that they need more than two movies to survive.

“It is not enough to rely solely on blockbusters,” said Michael O’Leary, the president and CEO of the National Association of Theater Owners. “To have a truly successful filmed entertainment industry, a variety of movies that appeal to movie goers is critical.”

That means, O’Leary said Tuesday, “a strong and vibrant market for movies with smaller or medium sized budgets."

At CinemaCon, Hollywood studios, exhibitors and tech companies come together to preview what’s next in moviegoing, from the films that they hope will get audiences to the theaters to the latest and greatest in snacks, seating and projection. On stage, the message is (by design) optimistic about the future of cinemas and the industry’s capacity for evolution. Whether it’s streaming, piracy, VHS or television, the leaders in the filmed entertainment industry are always quick to remind that their business has survived its share of existential crises: Someone is always forecasting its demise.

O’Leary made a plea to “our friends in the financial industry” to invest more capital into the system, calling it a “smart investment” that benefits “creatives, studios, exhibition, local communities and, most importantly, movie fans.”

“We know that a movie that begins its journey with theatrical exclusivity is more successful in every subsequent ancillary platform,” he added. “This should appeal to people who want as many film fans as possible to see their movies, but also to people that want to make money.”

Studios including Warner Bros., Universal Pictures, Paramount, Disney and Lionsgate will all take the big stage at Caesar’s Palace to show new trailers or footage from their biggest upcoming films, from “Furiosa” to “Deadpool & Wolverine,” sometimes with the help of movie stars, to stoke excitement in the people who will put these films in their theaters.

2023 was a rollercoaster year for movie theaters. The overall box office was up 20% from the previous year in the U.S., surpassing $9 billion. But that’s still $2 billion shy of where the business was pre-pandemic. There were hits, like “Oppenheimer” and “Barbie,” of course, and other notable successes from traditional studios, like “The Super Mario Bros. Movie,” “Spider-Man: Across the Spider-Verse,” “Wonka” and “Guardians of the Galaxy Vol. 3.” There were surprises like “Five Nights at Freddy’s” and “Cocaine Bear” and sleepers like “Anyone But You.”

There were also moments of successful innovation, including Taylor Swift and Beyoncé’s groundbreaking partnership with AMC Theaters to release their concert films, circumventing traditional studio middlemen. “ Taylor Swift: The Eras Tour ” made over $260 million worldwide, making it the highest grossing concert film of all time. Toho studios also self-distributed its first film ever, with “Godzilla Minus One,” which made over $114 million worldwide even with a limited release in the U.S.

But there were flops and disappointments too, and some of the tried-and-true genres like superhero movies proved to no longer be the industry supporting tentpoles that they once were. Streamed entertainment continues to be a formidable competitor for eyes and dollars as everyone continues to recover from the pandemic. In 2024, theater owners and studios are also having to grapple with a changed and somewhat depleted pipeline of films following the work stoppage caused by the dual Hollywood strikes.

But O’Leary said that a “great reimagination” is underway.

“Inflection points like these are moments of opportunity,” he added. “And this last year has shown me that the future of this industry—indeed, the state of this industry—is limitless.”

Charles Rivkin, the chairman and CEO of the Motion Picture Association, talked about the importance of film productions in the U.S., which he said “bolster communities” and account for 2.74 million American jobs. He also made an impassioned plea to combat piracy, which he said costs theaters more than $1 billion at the box office, and hopes to work with Congressional leaders to put for “site-blocking” legislation.

Rivkin closed by quoting best documentary winner and AP journalist Mstyslav Chernov’s Oscars speech from earlier this year, in which he said that “Cinema forms memories and memories form history” while accepting the statuette for “20 Days in Mariupol.”

Chernov's words, Rivkin said, “Reminded us of the power and impact of what we do.”

Michael O'Leary, president and CEO of the National Association of Theatre Owners (NATO), addresses the audience during CinemaCon 2024 at Caesars Palace, Tuesday, April 9, 2024, in Las Vegas, NV. The four-day NATO convention runs through Thursday. (AP Photo/Chris Pizzello)

Michael O'Leary, president and CEO of the National Association of Theatre Owners (NATO), addresses the audience during CinemaCon 2024 at Caesars Palace, Tuesday, April 9, 2024, in Las Vegas. The four-day NATO convention runs through Thursday. (AP Photo/Chris Pizzello)

Charles Rivkin, chairman and CEO of the Motion Picture Association (MPA), addresses the audience during CinemaCon 2024 at Caesars Palace, Tuesday, April 9, 2024, in Las Vegas. The four-day convention of the National Association of Theatre Owners (NATO) runs through Thursday. (AP Photo/Chris Pizzello)

Charles Rivkin, chairman and CEO of the Motion Picture Association (MPA), addresses the audience during CinemaCon 2024 at Caesars Palace, Tuesday, April 9, 2024, in Las Vegas. The four-day convention of the National Association of Theatre Owners (NATO) runs through Thursday. (AP Photo/Chris Pizzello)

Charles Rivkin, the chairman and CEO of the Motion Picture Association, addresses the audience during CinemaCon 2024 at Caesars Palace, Tuesday, April 9, 2024, in Las Vegas, NV. The four-day convention of the National Association of Theatre Owners (NATO) runs through Thursday. (AP Photo/Chris Pizzello)

An advertisement for the upcoming film "The Fall Guy" is pictured on the opening day of CinemaCon 2024 at Caesars Palace, Monday, April 8, 2024, in Las Vegas. The four-day convention of the National Association of Theatre Owners (NATO) runs through Thursday. (AP Photo/Chris Pizzello)

Attendees walk over a floor advertisement for the upcoming film "Furiosa: A Mad Max Saga" on the opening day of CinemaCon 2024 at Caesars Palace, Monday, April 8, 2024, in Las Vegas. The four-day convention of the National Association of Theatre Owners (NATO) runs through Thursday. (AP Photo/Chris Pizzello)

An attendee walks past advertisements for upcoming films including "The Garfield Movie" and "Joker: Folie a Deux" on the opening day of CinemaCon 2024 at Caesars Palace, Monday, April 8, 2024, in Las Vegas. The four-day convention of the National Association of Theatre Owners (NATO) runs through Thursday. (AP Photo/Chris Pizzello)

A visitor walks past advertisements for upcoming movies on the opening day of CinemaCon 2024 at Caesars Palace, Monday, April 8, 2024, in Las Vegas. The four-day convention of the National Association of Theatre Owners (NATO) runs through Thursday. (AP Photo/Chris Pizzello)

Jayson Werth got to Churchill Downs in the middle of Kentucky Derby week and was overcome by a familiar feeling.

“It has some fragrance of the World Series,” he said. “Things are totally different now. We’re at the barns, roads are blocked off, there’s security everywhere. It’s definitely heightened, and you get the sense, ‘This is it, this is the highest level of the sport.’”

Werth won the World Series with Philadelphia and played 63 playoff games during his major league career with the Toronto Blue Jays, Los Angeles Dodgers, Phillies and Nationals, and still nothing compares with the adrenaline rush of his new favorite sport. The retired outfielder has shares of more than a dozen thoroughbreds, and on Saturday has the chance to become a Kentucky Derby-winning owner with Dornoch running in the 150th running of the famous race.

“It’s surreal: We kind of got into this as a hobby, and it’s turned into a passion," Werth told The Associated Press by phone. “I’ve got a passion for the sport like I would’ve never thought, and I want to share it with the world."

Werth has used horse racing to fill the competitive void baseball once did, a few years after learning about the sport from golfing buddy Rich Averill, who has been involved in the industry for decades.

Having a prominent athlete espousing his love for horse racing certainly doesn't hurt as work is ongoing to bring in new fans.

“The connection between racing and professional sports has always been strong, going all the way back to Babe Ruth, who loved to bet the horses,” said NBC Sports analyst Randy Moss, who is working his 44th Derby this weekend. “Especially when an athlete like Jayson Werth buys into a few horses and actually makes it into the Derby.”

Werth thinks regular people owning racehorses — even micro shares like 2023 Derby winner Mage, a full brother of Dornoch — is a way into the sport that has historically had a high barrier of entry because of costs. He describes watching a race now like being in the dugout with a teammate trying to round the bases to score and win a game.

Werth, whose stable Two Eight Racing is a nod to his jersey No. 28 with the Dodgers, Phillies and Nationals, is looking into starting an ownership collective to “do something on a much larger scale in horse racing.” Werth has 10% of Dornoch and similar percentages of other horses.

But first, there's the Derby, with Dornoch trained by Danny Gargan and ridden by Luis Saez, breaking from the rail. Werth was upset about Dornoch getting the No. 1 spot inside before recalling the horse likes to sprint out to the lead. The horse is a long shot that opened at 20-1.

“I really do think this could be a perfect storm of us,” Werth said. “If Dornoch can skid out in front and stay on the lead and keep the dirt off his face, I think we’ve got a real shot.”

A filly has dropped out of the Kentucky Oaks ahead of Friday's $1.5 million race at Churchill Downs.

Tapit Jenallie was withdrawn Thursday because of a slight injury to her back end, trainer Eddie Milligan Jr. said. She was 30-1 on the morning line.

“We felt like she’s just too nice of a filly to do anything detrimental to her health,” Milligan said. "It’s very disappointing, very disheartening, but that’s how this game is.”

He said Tapit Jenallie will get an extended break from racing and be re-evaluated.

Our Pretty Woman moves into the Oaks from the also-eligible list. She's trained by Hall of Famer Steve Asmussen and will be ridden by Joel Rosario, who was just elected to racing's Hall of Fame.

Whit Beckman is back at his Churchill Downs barn and overseeing Derby preparations for Honor Marie after getting out of the hospital.

The 42-year-old trainer from Louisville was diagnosed with rhabdomyolyis, a potentially serious condition in which damaged muscle tissue releases its proteins into the blood, which can damage the heart and kidneys, according to the Daily Racing Form. He was hospitalized for five days.

Beckman said his legs were numb and he couldn't walk last Friday. He said he had a blood infection and received fluids in the hospital.

AP Racing Writer Beth Harris and AP Sports Writer Gary B. Graves in Louisville, Kentucky, contributed to this report.

AP horse racing: https://apnews.com/hub/horse-racing

Kentucky Derby hopefuls Dornoch, front, and Endlessly work out at Churchill Downs Tuesday, April 30, 2024, in Louisville, Ky. The 150th running of the Kentucky Derby is scheduled for Saturday, May 4. (AP Photo/Charlie Riedel)

Kentucky Derby hopeful Dornoch, front, works out at Churchill Downs Tuesday, April 30, 2024, in Louisville, Ky. The 150th running of the Kentucky Derby is scheduled for Saturday, May 4. (AP Photo/Charlie Riedel)

Kentucky Derby hopefuls Dornoch, front, and Endlessly work out at Churchill Downs Tuesday, April 30, 2024, in Louisville, Ky. The 150th running of the Kentucky Derby is scheduled for Saturday, May 4. (AP Photo/Charlie Riedel)

FILE - Philadelphia Phillies' Jayson Werth celebrates after Game 5 of the baseball World Series in Philadelphia, Wednesday, Oct. 29, 2008. The Phillies defeated the Tampa Bay Rays 4-3 to win the series. Werth won the World Series with Philadelphia and played 63 playoff games during his major league career with the Toronto Blue Jays, Los Angeles Dodgers, Phillies and Nationals, and still nothing compares with the adrenaline rush of his new favorite sport, horse racing. Werth owns over two dozen thoroughbreds, including Dornoch, who will run in the Kentucky Derby on Saturday, May 4, 2024. (AP Photo/Chris O'Meara, File)

FILE - Former Washington Nationals baseball player Jayson Werth stands near the House floor on Capitol Hill in Washington, Wednesday, Jan. 16, 2019. Werth won the World Series with Philadelphia and played 63 playoff games during his major league career with the Toronto Blue Jays, Los Angeles Dodgers, Phillies and Nationals, and still nothing compares with the adrenaline rush of his new favorite sport, horse racing. Werth owns over two dozen thoroughbreds, including Dornoch, who will run in the Kentucky Derby on Saturday, May 4, 2024. (AP Photo/Andrew Harnik, File)

FILE - Washington Nationals right fielder Jayson Werth celebrates after scoring the winning run in a baseball game against the Pittsburgh Pirates, Sunday, Aug. 17, 2014, in Washington. The Nationals won 6-5 in 11 innings. Werth won the World Series with Philadelphia and played 63 playoff games during his major league career with the Toronto Blue Jays, Los Angeles Dodgers, Phillies and Nationals, and still nothing compares with the adrenaline rush of his new favorite sport, horse racing. Werth owns over two dozen thoroughbreds, including Dornoch, who will run in the Kentucky Derby on Saturday, May 4, 2024. (AP Photo/Alex Brandon, File)