Cinedigm Digital Cinema Corp. (NASDAQ: CIDM) today announced it has signed more than 12,200 digital cinema screens with 273 exhibitor partners in its digital cinema deployment. In total, Cinedigm has deployed over 70% of all North American exhibitors and approximately 40% of all digital cinema screens in North America.
The company breaks down deployment numbers as follows:
- Phase One (3,724 screens): Cinedigm is the servicer and earns services fees on the total VPF revenues and also owns all residual cash flows and asset value;
- Phase Two (8,519 screens), Cinedigm is the servicer only and earns upfront license fees and recurring revenue from on-going maintenance fees for our software division.
In the last 18 months alone, Cinedigm has signed 4,697 screens, representing 55% of its Phase 2 screen deployment (8,519), with over 175 exhibitors in that time period, representing 65% of its Phase 2 exhibitor base. Additionally, the company has the distinction of screen representation in all 50 states. Outside of the US, Cinedigm has screen representation in Canada, the Caribbean, American Samoa and Saipan and has made significant inroads in the last months on the international front, including selection as the digital cinema integrator of independent cinemas in Australia and New Zealand (ICAA), as well as providing negotiation and technical services for a consortium of Brazilian theatres.
“The momentum behind digital cinema deployments has been incredible. When we conceptualized the digital cinema rollout our goal was to deploy approximately 11,000 screens, so we are thrilled to have significantly surpassed our expectations with a remarkable 273 exhibitor partners representing over 12,000 screens entrusting Cinedigm with their digital cinema program,” said Chris McGurk, Chairman and CEO, Cinedigm. “Importantly, this domestic deployment merely lays the worldwide foundation for Cinedigm’s other core businesses, including digital cinema servicing, digital cinema software and alternative content distribution. This is truly just the beginning of our international expansion in all our core businesses.”
In the combined Phase One and Phase Two digital cinema deployment program, Cinedigm has:
- Signed 12,243 screens overall
- Installed 10,875 digital screens (as of 10/5)
- Signed digital screens deals with 273 exhibitors
“These numbers mark a huge milestone for both Cinedigm and the entire exhibition industry and illustrate very clearly that Cinedigm is actively helping all exhibitors -- from large chains to the independent exhibition community -- make the critical transition to digital cinema,” said Gary Loffredo, Cinedigm’s President of Digital Cinema. “The digital cinema transformation will have long-lasting ramifications on all aspects of the theatrical industry, from the types of content shown in theatres to overall management efficiencies and effective collecting and evaluating of critical data analytics.”