Arts
Alliance Media (AAM) has announced a digital cinema deal with CineStar,
Germany’s leading exhibitor, to be the chain’s exclusive digital cinema
provider, covering the rollout of digital cinema to participating CineStar
sites operated across the country by entities associated with the Greater Union
group. Greater Union is owned by Australian
public company, Amalgamated Holdings Limited (AHL).
The deal is being financed by AHL and has built
in flexibility to convert up to 450 screens over a two year period. Under AAM’s Virtual Print Fee (VPF)
agreements, AHL will see the majority of the initial cost recouped by payments
from distributors who use the digital systems. AAM will
administer the VPF agreements with distributors will also provide its theatre
and library management systems to participating Cinestar sites.
David Seargeant, Chief Executive Officer of AHL, said “Digital is so
important for the future of the cinema business. After a long search for
solutions for the German cinema market we believe Arts Alliance Media is best
placed to assist CineStar in the conversion of selected cinema sites to full
digital over the coming years.”
“We are excited to be working with AAM on our conversion to
digital,” commented Oliver Fock of the CineStar Group. “Leveraging AAM’s deals
with the Hollywood Studios, we will now jointly approach local distributors in
Germany to work with us in this transition.”
Howard Kiedaisch, Chief Executive Officer of Arts Alliance Media,
said “We’re thrilled to be entering the German market with CineStar. They’re
the most successful and innovative exhibitor in Germany and we look forward to
a long and exciting partnership with them.”
“Being selected by CineStar is another vote of confidence in our VPF
model and our service capability and we’re excited to be able to offer the same
to other exhibitors throughout Europe,” added Fiona Deans, AAM Chief Operating
Officer.
The deal with CineStar is Arts Alliance Media’s first foray into the
German digital cinema market, and adds to the company’s roster of leading
exhibitors in multiple territories throughout Europe.
