Woodland Hills, CA, January 17, 2012 Cinedigm Digital Cinema Corp. (NASDAQ: CIDM) and ICAA, the Independent Cinemas Association of Australia, jointly announced today an agreement for Cinedigm to become the digital cinema integrator for independent cinemas in Australia and New Zealand.
ICAA signed a Memorandum of Understanding with Cinedigm to provide Virtual Print Fee (“VPF”) Contracts, VPF Administration, Theatre Management Systems (TMS) and other support resources, as well as assist ICAA and its members with the deployment of digital systems and service and compliance support services. ICAA will take on a number of local functions as regards the coordination of deployment and service, working with local installers and technical personnel. The arrangement is subject to the negotiation and execution of a definitive agreement between Cinedigm and ICAA and its members.
By signing the agreement, the exhibitors have made a significant commitment towards advancing digital rollout in Australia and New Zealand and will benefit from the incentive provided by the studios through VPF payments; VPF deals remain the main driving force behind digital conversions worldwide.
“We are thrilled to put our experience and expertise to work with ICAA in Australia and New Zealand,” said Chris McGurk, Chairman and CEO of Cinedigm. “We look forward to helping the ICAA member exhibitors bring the many benefits of digital cinema, including 3D programming, live sporting and music events and alternative content programming to their current movie-going consumers.”