Morristown, N.J. and Columbus, Ga.—Dec 19, 2005
Carmike Cinemas Contracts to Install 2,300 Digital Cinema Projection Systems
from Christie/AIX
Access Integrated
Technologies, Inc. (“AccessIT”) (AMEX: AIX) and Carmike Cinemas, Inc.
(“Carmike”) (NasdaqNM: CKEC) jointly announced today that Carmike, the third
largest national movie theatre circuit has executed a contract with AccessIT’s
Christie/AIX subsidiary, for the installation of up to 2,300 Digital Cinema
projection systems throughout the United States. With this agreement, Carmike
and Christie/AIX will begin installing 2K DCI-compliant DLP Cinema® projectors.
The rollout is scheduled to begin in January, 2006 and to be completed by
October 31, 2007.
“We are proud to have the opportunity to work with Carmike, not only one of the
nation’s largest theatre chains, but also one of the most forward-looking,”
commented Bud Mayo, President and Chief Executive Officer of AccessIT. “It would
be hard to exaggerate the significance of today’s development as a major
milestone for the industry and for our respective companies, and we are
privileged to be a partner in this important undertaking. Working together,
Carmike, Christie and AccessIT are committed to elevating the movie going
experience and to bringing the many benefits of digital to audiences in the
months ahead.”
Michael W. Patrick, Chairman of the Board, President and CEO of Carmike Cinemas,
Inc. added, “We are eagerly looking forward to launching this rollout with
Christie/AIX. Digital Cinema is the future of exhibition, combining eye-popping
image quality that will dazzle moviegoers with unmatched programming
flexibility. This flexibility will enable our company to capitalize on new
programming options such as 3-D, live sporting events, and other alternative
content while continuing to present traditional movies with the best picture and
sound possible for even the longest of runs.”
"The contract with Carmike is truly a tipping point for Digital Cinema. As a
progressive company with clear vision, Carmike has identified Digital Cinema as
the next growth and revenue opportunity for their business. We are very pleased
that they have chosen DLP Cinema® from Christie, a proven technology, to bring
the digital experience to the heartland of America," stated Jack Kline,
President and COO, Christie USA. "The collaborative efforts of DCI, the studios
and the exhibition community confirm that Digital Cinema is no longer just a
dream--it's real, and it's here to stay."
AccessIT's Christie/AIX unit serves as the funding vehicle and administrator for
the company's 4,000-screen digital cinema rollout plan expanded significantly
from the total originally announced in June 2005. Christie/AIX will act as the
financing intermediary between content-owners -- major studios and independent
distributors, among others -- and exhibitors who will receive turnkey,
DCI-compliant Digital Cinema systems including 2K projectors and related
hardware and software. Bear, Stearns & Co. acts as the financial advisor to
AccessIT.
A series of key developments preceded today’s announcement; notably, formal
contracts with The Walt Disney Company, Twentieth Century Fox, Universal
Pictures, Sony Pictures Entertainment and most recently DreamWorks SKG. Initial
deployments in the plan began in late October in theatres in Detroit, Michigan,
owned by Emagine Entertainment, Inc. and at multiple locations in San Diego and
Riverside County (CA) multiplexes owned by Ultrastar Theaters, Inc. Completion
on these first 150 systems is anticipated before the close of the year.
In a related development, to provide equity funding for this large-scale
deployment, AccessIT intends to move forward with the filing of a common stock
shelf registration in the very near future.
