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# 1939 Baird

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Paris - Europa Cinemas Conference 2008—Nov 14, 2008

ZON Lusomundo and XDC Sign exclusive agreement to deploy 180 Digital Screens in Portugal

XDC, the leading Pan-European digital cinema service company, and ZON Lusomundo, the largest cinema chain in Portugal have signed an exclusive agreement for the deployment of digital cinema systems in 180 of ZON Lusomundo's cinema screens in Portugal.

The agreement signed between ZON Lusomundo and XDC includes the roll out of DCI-compliant projection systems co-financed by the Virtual Print Fee (VPF) model. Rollout is scheduled to begin in January 2009 with an initial commitment of 100 screens throughout the rest of the year.

Tomás Gonçalves, CEO of ZON Lusomundo stated "with this investment, we will be among the most innovative cinema operators in the world, and a landmark in the development of European exhibition standards. Not only will we be offering our spectators outstanding picture and sound quality, we will also be able to extend our programming to alternative content at all of our theatres with more recorded and live 3D shows, live satellite events such as opera, concerts, and sports. In addition, going digital will allow us to become a more efficient company, lowering our operating costs whilst at the same time generating significant improvements in customer service".

Serge Plasch, XDC's Chief Executive Officer said: "We are very proud to announce our second VPF deal with ZON Lusomundo the most important exhibitor in Portugal. This demonstrates that the XDC's business proposal meets the requirements of European exhibitors. We expect to announce additional deployment deals in other countries soonin order to reach 1000 installed digital screens across Europe before the end of 2009".

Elisabeth Berradouan, Senior Sales Manager Southern Europe with XDC added: "This agreement is the results of a very professional selection process. We are pleased to start this long term partnership with this leading exhibitor.ZON Lusomundo will be the first digital cinema network in the southern part of Europe".

Under the terms of the agreement, XDC will exclusively install DCI-compliant digital projection systems: Barco 2K Cinema projectors and XDC's CineStore® Solo G3 D-Cinema servers. XDC will also implement a fully integrated and networked solution in each complex, thanks to its advanced Theatre Management System and Central Library, the XDC's CineStore® Plaza.

About CinemaNext:
CinemaNext is the Ymagis Group’s business unit dedicated to exhibitor services. Founded in 2007 and managed by professionals from the motion picture and high-tech industries, Ymagis Group is a European leader in advanced digital technology services for the cinema industry. Through CinemaNext and Eclair, the Group provides smart, comprehensive solutions to movie exhibitors, distributors (feature films & event cinema), producers, rights holders, cinema/TV advertising networks, broadcasters, OTT channels and video publishers. Over the years, Ymagis Group has significantly expanded its portfolio of solutions & services and further developed its geographic footprint in Europe with permanent offices in 26 countries. The company’s core business is structured around three main units: CinemaNext (exhibitor services: sales and field services, software solutions, customer service/NOC and consulting), Eclair (content services: post-production, theatrical delivery, digital distribution, versioning and accessibility, restoration and preservation) and Ymagis (VPF & financial services). A publicly-traded company listed on Euronext, Ymagis Group is headquartered in Paris (France) and has close to 750 employees.
CinemaNext Directory page About ZON Lusomundo Cinemas S.A.: ZON Multimedia is the leading Pay TV operator in Portugal with over 1.5 million subscribers and 100% geographical Pay TV coverage with over 2.7 million homes passed. Using the ZON NetCabo brand, ZON is the second largest Internet provider with the fastest Internet speeds in Portugal of up to 30 Mbps. With the launch of Voice and Mobile services (ZON Phone and ZON Mobile), ZON is now a Quadruple Play operator offering more comprehensive and attractive choices to its customers, meeting all their telecommunications and entertainment needs. ZON has an audiovisuals distribution and cinema exhibition business, ZON Lusomundo Audiovisuais and ZON Lusomundo Cinemas. These businesses negotiate exclusive rights to distribute DVDs and cinema exhibition of films, holding the largest cinema network in the country with over 200 screens. ZON is also a partner in two content joint-ventures - Sport TV, the leading premium sports channel in Portugal and Lisboa TV, which produces SIC Notícias - the leading Pay TV news channel. ZON Lusomundo Cinemas S.A. Directory page

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