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# 1948 RCA

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LAS VEGAS—Mar 24, 2004

American Cinema Advertising Network and UltraStar Cinemas join in to a Long Term Digital Pre-Show Advertising Agreement

ACAN teams with Vyvx, DPI and EVS; UltraStar becomes first exhibitor in North America to use Texas Instruments DLP Cinema™ Technology for Pre-Show
merican Cinema Advertising Network (ACAN) today announced it has signed UltraStar Cinemas of San Diego, CA to a long term Pre-Show Advertising and Media Asset Marketing agreement. Under the agreement ACAN will supply projectors utilizing Texas Instruments DLP Cinema™ technology for digital pre-show advertising content, alternative programming and digital theatrical trailers and feature films.

"UltraStar Cinemas will be the first exhibitor in North America to be equipped with the necessary equipment (DLP Cinema™) to show all digital programming using one projector, including movies. The quality of the theatrical presentation should be the absolute best, including the pre-show. Anything less is a dis-service to the advertiser and an insult to the audience," said Alex Gorovitz, President and CEO of ACAN.

"We've been a leader in the adoption of digital cinema and are hopeful that other exhibitors will follow our lead by making the jump to DLP Cinema™ for all applications rather than giving in to the temptation of using inferior non-DLP technology. "ACAN obviously shares our vision and commitment to superior digital presentation as evidenced by their willingness to provide this technology without any financial or technology risk" said Alan Grossberg, President and CEO of UltraStar Cinemas.

In addition, ACAN will be UltraStar's exclusive sales representative for all Media Assets including alternative content, special events, in-theatre signage, etc. "This consolidation allows advertisers to buy from UltraStar's entire selection of media assets from one source which is important to the advertising community and therefore important to UltraStar" added Grossberg.

ACAN has assembled a team of leading companies in the execution of digital cinema for this project. Texas Instruments, Digital Projection International, WilTel Communications' Vyvx division and EVS, Inc. "ACAN has selected teammates, which as individuals are experts is their respective fields, but more importantly as a team are a very power and cohesive group which will continue to successfully forge the road to digital theatres, said Fred Garroy, General Manager of the Americas for EVS.

ACAN will utilize DPI/TI DLP Cinema™ projectors in 20 screens initially which represents more DLP Cinema™ screens than any other exhibitor in North America. All 81 screens are expected to be converted within a year which will likely make UltraStar the first exhibitor in the world to be equipped for DLP Cinema™ and cinema grade servers for every screen. UltraStar currently has 6 Barco digital cinema projectors which will be replaced with DPI units. "We are so pleased that a company and an exhibitor have finally stepped up to put into place high quality projection technology for the exhibition or all digital content" said Peter Nicholas, Director of Cinema Sales and Marketing for DigitalProjection Inc.

"With the announcement of 20 DLP Cinema screens UltraStar is moving forward with a significant deployment that shows their commitment to the best presentation quality for theatrical applications," said Doug Darrow, Business Manager, and TI DLP Cinema™.

ACAN will utilize EVS for the storage, management, and playback of all digital content within the theatre, providing a single solution for UltraStar. "This is the future of digital theatres", said James Campanella, Chief Systems Engineer of EVS. "Combining pre-show, alternative, and digital cinema content into one system provides the exhibitor with the most flexibility and enables them to leave no potential revenue source untapped. Utilizing digital cinema quality equipment for all aspects of the show raises the picture quality bar of pre-show and alternative content. EVS is very excited to once again be part of another digital cinema milestone".

To deliver content - both file based and live video - to theaters across the country, ACAN will utilize WilTel Communications' Vyvx division, a market leader in providing fiber-optic and satellite transmission solutions to the media and entertainment industry for 15 years. On an annual basis, Vyvx provides broadcast transmission services for nearly 10,000 live sports events; transmits nearly 200,000 live video feeds, or the equivalent of more than 12 million video minutes; and nearly 3,000,000 national television and radio spot advertisements.
About UltraStar Cinemas: UltraStar Cinemas is headquartered in San Diego County and has operated theaters throughout Southern California and Arizona. Recognized for pioneering the digital age of cinema, UltraStar was the first theater group in the world to be fully equipped with Pure Digital Cinema® powered by DLP Cinema® technology in all of its locations. In 2009, the company also became the first to offer D-BOX motion seats, which use motion effects specifically programmed for each film to create an immersive experience for movie goers. UltraStar Cinemas Directory page About EVS Broadcast Equipment sa: EVS Broadcast Equipment designs media servers, with the associated control software and production networks, for the international television and motion picture communities. EVS Broadcast Equipment sa Directory page About American Cinema Advertising Network: ACAN, formerly Century Media Advertising, was founded in 1982 and has been a major provider or pre-show slide advertising representing exhibitors such as Loews, Mann, Village, Century, Village, and others. American Cinema Advertising Network Directory page About Vyvx: Vyvx provides video delivery solutions over fiber optics and satellite to global advertising, sports, news, and entertainment customers. Vyvx offers a wide range of dedicated and occasional services and its electronic footprint reaches nearly 11,000 online television and radio stations, networks and cable head-ends, as well as more than 100 professional sports venues and all major media centers, movie studios and production facilities. Vyvx is a division of WilTel Communications, LLC, the operating subsidiary of WilTel Communications Group, Inc., which is a wholly owned subsidiary of Leucadia National Corporation. Vyvx Directory page
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