Fox to supply digital film for D Cinema

Fox has signed a deal to provide its films for Christie/AIX, the joint venture between Christie and AccessIT.

Disney was the first studio to cut a similar deal with Christie.

In its first long-term commitment to digital cinema, Twentieth Century Fox (“Fox”) has reached an agreement to supply its feature films to digital cinema projection systems deployed by Christie/AIX, a unit of Access Integrated Technologies (“AccessIT”) (AMEX:AIX). For Fox, this “first-of-a-kind” distribution arrangement to supply digital content to projection systems will include an increasing number of feature films from Twentieth Century Fox, Fox 2000 Pictures, Twentieth Century Fox Animation, and Fox Searchlight Pictures production units.

Fox’s non-exclusive agreement to supply its feature films to these Christie/AIX digital projection systems and to pay virtual print fees for movies projected on Christie/AIX-funded systems further underscores the studio’s commitment to support Digital Cinema Initiatives, LLC (“DCI”)-compliant digital systems and further advances Fox’s support of the industry’s transition to digital cinema. Christie/AIX digital system installations will be DCI-compliant -- either initially, or upgraded to full DCI compliance as components become available.

AccessIT's Christie/AIX unit serves as the funding vehicle and administrator for the company's 4,000-screen digital cinema rollout expanded from the plan originally announced in June 2005. Christie/AIX will act as the financing intermediary between content-owners -- including major studios and independent distributors -- and exhibitors, who will utilize the DCI-compliant digital cinema systems featuring Christie DLP Cinema® projectors, JPEG 2000 servers and related hardware and software including AccessIT’s unique Theatre Command Center. The raising of capital for funding of the initial 200 systems was completed on July 21, 2005 and orders for these systems have been placed. Installation of 150 systems is anticipated by December 31, 2005.

Bruce Snyder, President of Distribution at Twentieth Century Fox said: “We could not be more thrilled. We look forward to supporting our partners, Christie/AIX, in this venture and in delivering Fox movies to their systems. We believe the efficiency, image quality and, most importantly, the overall movie going experience will be greatly enhanced through these DCI-compliant digital projection systems. Christie has been developing their DLP Cinema projectors for many years and they have proven to be of the highest quality. Additionally, these systems should provide our partners in exhibition with alternative uses and benefits.”

Julian Levin, Executive Vice President Twentieth Century Fox, who spearheaded Fox’s participation in the DCI process is also the senior Fox architect for this arrangement with Christie/AIX added: “Having been involved in the digital cinema transition for almost four years, I am delighted to have concluded this arrangement with our friends at Christie/AIX for the distribution of Fox product to their digital projection systems. I have worked with all the folks at Christie/AIX throughout the ongoing transition from conventional mechanical film projectors to digital systems and Christie’s projectors have always been at the forefront of the technology.”

Chuck Goldwater, President and Chief Operating Officer of Christie/AIX, added: “Today’s announcement enables the evolution of digital cinema to take another great step forward. We are pleased to secure Fox’s early and invaluable support for our digital cinema rollout plan.”

Jack Kline, President and COO, Christie, noted: “Fox has been a visionary leader in helping to establish the critical standards for digital cinema, a key factor in assuring exhibitors of compatibility and interoperability. With Fox’s commitment to this rollout, digital cinema is no longer a dream, but a practical reality that will benefit the Hollywood community and the exhibitors, making them partners in bringing this exciting new technology to theaters. It is a win-win situation that will provide moviegoers with the highest quality visual experience today.”

Bud Mayo, Chairman and Chief Executive Officer of AccessIT, said: “We have enjoyed a long relationship with Fox, clearly one of the pioneers in the digital distribution of feature films. Its commitment to digital content distribution and exhibition is an important milestone in the broad adoption of digital cinema by the entire industry.”