A special meeting of Cineplex Odeon Corporation shareholders was held in late March in Toronto, where the shareholders voted overwhelmingly to approve a merger with Sony/ Loews Theatres of the u.s.

Cineplex Odeon president and ceo Allen Karp noted the merger would increase expansion plans, earnings and cash flow for the merged entity through access to a $1-billion line of credit, expected to be finalized early this month.

Cineplex shareholders, who will face a 10 for 1 stock swap for shares in the new company, Loews Cineplex Entertainment, voted approximately 99% in favor of the merger. The deal still faces approval by u.s. anti-trust authorities and state attorney generals. Karp is confident the deal will be approved by the end of April.

Karp also announced company plans to revamp the existing Eaton Centre multiplex in downtown Toronto with a new ‘flagship facility with 20 screens and 5,000 seats.’ At an April 2 ribbon cut with Robert Duvall, Cineplex launched North America’s first private screening rooms – four vip auditoriums at its downtown Toronto Varsity Cinemas – with a screening of The Apostle.

As to the Industry Canada ordered sale of controlling interest of the company’s Canadian distribution arm, Cineplex Odeon Films, Karp confirmed Alliance Communications is among parties in discussions on a deal. He also noted the sale of cof is being brokered with care and that the continuation of support for smaller, less established Canadian films and directors as well as job security for the company’s employees are key issues.