Cinema United urges Paramount CEO David Ellison and California AG Rob Bonta to resolve differences as Cinemark backs Paramount- WBD merger

Paramount’s antitrust fight with California officials over its proposed merger involving Warner Bros. Discovery has drawn new pressure from the exhibition industry and prompting outreach to both the company’s leadership and state regulators, according to an industry report published Tuesday. The dispute centers on Paramount’s effort to move forward with the planned combination despite challenges from state attorneys general, including California’s office, in connection with the merger’s effects on theater competition and distribution.

Cinema United, the exhibition trade organization representing movie theaters, sent a note to Paramount CEO David Ellison and California Attorney General Rob Bonta urging the parties to resolve their differences, Deadline reported. The letter reflects a push from theater operators who say they want clarity and a workable resolution for a deal that has become entangled in state-level antitrust litigation.

The report also said Cinemark, a major theater chain, has thrown its support behind the deal. Cinemark’s position, as described by Deadline, adds to the exhibition sector’s broader argument that the merger should be permitted to proceed rather than remain stalled by legal and regulatory disagreements.

The latest move comes as Paramount continues what Deadline described as a campaign of legal challenges aimed at state attorneys general, with the company framing its dispute as an effort to secure judicial resolution of antitrust claims. In California, Bonta’s office is among those seeking to block or narrow the transaction through the state’s legal process.

For theater operators, the practical stakes are not limited to corporate strategy, because film release schedules and licensing terms are closely tied to studio distribution power and the negotiating leverage of content owners. When merger timelines are disrupted, exhibitors can face added uncertainty around future film slates, marketing arrangements, and the structure of deals with major studios.

While Cinema United’s outreach seeks to reduce friction between Paramount and California regulators, it does not resolve the underlying litigation on its own. Any change in the companies’ or the state’s positions would still depend on the progress of antitrust proceedings, including how courts handle claims and whether parties reach any settlements or modifications to deal terms.

As of Tuesday, the developments highlighted by Deadline mark a new phase of industry engagement in a case that has already reached the attention of multiple state-level leaders. Cinema United’s letter and Cinemark’s endorsement underscore that theater operators are monitoring the outcome closely and are indicating to federal and state stakeholders that they view the proposed merger as important to business continuity in the exhibition market.