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Top managers of Muvico Theaters have abruptly left to start their own rival chain in what's being described as a mutual parting of the ways at the struggling Fort Lauderdale company that operates four high-profile theaters in the Tampa Bay area.
Gone to form Paragon Entertainment LLC are chief executive officer Michael Whalen and two key lieutenants, Michael Wilson and Hank Lightstone.
Hired as the new CEO is Hal Cleveland, who ran Crown Theaters, a Connecticut chain about the same size as Muvico, which has a total of nine theaters.
The breakup "was amicable," said Joseph Amaturo, who acquired Muvico for about $9.2 million last spring. "They are still friends of the company."
He said the company, which is operating on a break-even basis, plans to "honor its promises" for upgrades to BayWalk 20 in St. Petersburg, including adding a separate reserved seat section in some theaters with liquor by the drink.
The news of the breakup surprised St. Petersburg city officials and Muvico's management partners at BayWalk, the troubled entertainment center in downtown St. Petersburg trying to restock its empty storefronts. Whalen played a prominent role in the recent political flap over the city's agreement to hand over a public sidewalk at the front entrance to BayWalk's owners for crowd control.
"This is the first I'm aware of any management change," said Tom McGeachy, who manages BayWalk for Ciminelli Real Estate Services. "But I'm looking forward to working with Hal to bring new life to BayWalk."
As part of the split, Muvico ceded Whalen the rights to take over three new theater projects that Muvico has in development. The others are a joint venture with bowling center operator Splitsville in Fredericksburg, Va., and Block 37, a stalled $200 million entertainment center in Chicago's downtown Loop whose developers are fighting a Bank of America foreclosure.
Mark Albright can be reached at albright@sptimes.com or (727) 893-8252.
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