Profile: Andrew McCullough

Name:

Andrew McCullough

Title:

Senior vice president of business affairs, general counsel, and

corporate secretary

Company:

Century Theaters

Company address:

150 Pelican Way, San Rafael 9490

Phone:

415-448-8400

Website:

www.centurytheaters.com

Age:

41

Residence:

San Rafael

Professional background:

Private law practice and deputy city attorney in San Francisco before joining Century

Education:

BA, Yale; JD, Hastings

SPECIAL CORRESPONDENT

SAN RAFAEL -- As senior vice president of business affairs and general counsel for San Rafael-based Century Theaters, Andrew McCullough oversees litigation, insurance programs, human resources, and business affairs for a network of more than 900 movie screens at 80 locations in 12 states. Century plans to add another 70 screens in 2004 and a total of 250 screens over the next three years.

Mr. McCullough has witnessed a number of sweeping changes during his eight years in the business, including a new role for movie theaters in an age of multimedia competition for consumers' time and pocketbooks.

"The advent of videotape and the proliferation of alternative cable and satellite channels, pay-per-view, and other media was perceived by some as threats to our industry. And today there is widespread concern over movie piracy," he says. "But I'm optimistic. Attendance is growing and, despite the number of bankruptcies and post-bankruptcy consolidations among the major theater chains, there are a lot of positive trends."

The upside includes a new generation of multiplexed theaters with bigger screens, stadium seating, all-digital sound, and an expanded range of upscale concessions. Century has implemented other innovations as well, such as allowing customers to order tickets online or by phone.

However, Century has resisted the temptation to allow other brands, such as Starbucks, to share concession space within its properties. Controlling its operations has helped differentiate Century from its peers, according to Mr. McCullough.

"We are also bullish about our Cin?rts category,? he says. ?Century Theaters has invested in older and often smaller neighborhood theaters and has upgraded them to Century's standards. We've also built new Cin?rts locations featuring state-of-the-art technology. A key challenge with any art theater is getting an adequate return on investment given the capacity constraints and refurbishing costs of vintage sites. We believe we've succeeded in meeting this challenge with our Cin?rts model."

Business outlook: Attendance held up well through this downturn. We have not only been consistently profitable, but we have doubled in size over the past five or six years in terms of locations and screens. Movies remain a good value and an exciting diversion for people of all ages. For that reason, I'm extremely positive about the future of our business.

Company vision: Being a leading-edge exhibitor offering the best movies and a first class, second-to-none experience for our customers.

Greatest challenge: Resisting the megaplex trend of the late 1990s, which led to overbuilding.

Biggest risk: Eight years ago, I thought my biggest risk was leaving a challenging government litigation practice to join a family-owned and operated business. The real challenge, as it turned out, was not so much the transition but rather the new role I was expected to play. Suddenly, I had to help my business partners accept risk, not avoid it.

Favorite tasks: Planning for the opening of a new theater.

Personal goal: To catch more movies and interact with our patrons and staff.

Most admired businessperson: Until his recent discrediting, I would have said Jack Welch for what he accomplished at GE. [H]e had the right idea about

business and markets: Be number one or number two in every market you serve.

Current reading: Nickel and Dimed: On (Not) Getting By in America by

Barbara Ehrenreich and A Heartbreaking Work of Staggering Genius by Dave Eggers.

Stress relievers: I like to play golf, but that sometimes only produces more stress. My real outlet is swimming every day.

Favorite hobbies: My hobbies revolve around the activities scheduled by my wife, Theresa, and our three daughters ages 6, 8, and 10. I want to spend as much time as possible with them, so their hobbies have become mine. The solitude of stamp or coin collecting doesn?t mesh well with family life.

Words that best describe you: Collaborative, engaged, and thoughtful.

Favorite movie: I love them all.