Lionsgate Acquires Library of Spanish - Language Films

Lionsgate Acquires Library of Spanish - Language Films

Distribution Deal With Mach 8 Reflects Lionsgate's Continuing Commitment to Latino Marketplace

SANTA MONICA, Calif., Jan. 10 /PRNewswire-FirstCall/ -- Lionsgate (NYSE: LGF; TSX), the premier independent filmed entertainment producer and distributor, and Mach 8, an independent producer and distributor created to take Latin cinema into the future, today announced that Lionsgate has acquired the North American home video and video-on-demand (VOD) distribution rights to Mach 8's upcoming releases along with the company's entire 62 title library, continuing to build Lionsgate's initiative to serve the fast-growing Latino market niche. The two parties also noted that they are discussing follow-up deals for additional titles.

The acquisition marks the first time Lionsgate has entered into a Spanish- language title catalog deal and enhances what is already one of the most prolific and prestigious libraries in the entertainment industry. The deal was negotiated by Lionsgate Vice President of Acquisitions and Business Development, Malik Ducard and announced by Lionsgate President Steve Beeks and Mach 8 partner/CEO Robert Arevalo.

Through the deal, Lionsgate will bring to the United States theatrical, home video and VOD distribution releases that traditionally have received limited exposure beyond Mexico. Expected in spring 2006, the first titles to be released include acclaimed features VIOLENTO AMENECER, PANTERA NEGRA, CADENAS, and CONSPIRACION, among others. The titles will likely be released in a configuration of box sets and singles.

Mach 8 creates and acquires movies that are custom-tailored for the Mexican market while Lionsgate has demonstrated a strong commitment to the Latino filmed entertainment niche, boasting one of the largest Latino libraries in the industry and recently announcing a feature film initiative with the upcoming LA MUJER DE MI HERMANA. Lionsgate's recent notable Latino releases in this category include: AMORES PERROS (directed by Alejandro Gonzalez Inarritu), INTACTO (directed by Juan Carlos Fresnadillo), DAY OF THE BEAST (directed by Alex de la Iglesia), KIKA (directed by Pedro Almodovar), and MONDAYS IN THE SUN (starring Javier Bardem and Luis Tosa; directed by Fernando Leon de Aranoa). Additionally, Lionsgate has released all titles from Venevision's catalog of feature films.

"Study after study shows the growth of the buying power of the Latino community in the United States. It is by far the fastest growing segment of our population and we have always recognized the importance of putting out quality releases that reflect their tastes," said Beeks. "Mach 8 has a proven history of distributing quality movies and we are thrilled to be able to give them exposure through theatrical, home video and VOD channels to the Latino community in the United States for the first time."

Arevalo added, "Mach 8 is excited about this partnership and looks forward to working with Lionsgate to bring all things Latin into the forefront of the North American marketplace. Lionsgate has always supported Latin cinema and Mach 8 is the center of the future of 'New' Mexican Cinema, creating a perfect team."

ABOUT LIONSGATE

Lionsgate is the premier independent producer and distributor of motion picture, television, home entertainment, family entertainment and video-on- demand content. Its prestigious and prolific library is one of the largest in the entertainment industry. The Lionsgate brand name is synonymous with original, daring, quality product in markets around the globe.

ABOUT MACH 8

With a library of close to 100 films and counting) Mach 8 films have steadily become a successful acquirer of classic, contemporary, and "New" Mexican cinema. Mach 8 maintains a vast library of classic Mexican cinema and is currently producing new films targeted at Latino audiences.

www.lionsgate.com

For further information, contact:

For Lionsgate:
Sarah Greenberg/Jodie Magid
310-255-3856/212-386-6885
sgreenberg@lionsgate.com/jmagid@lionsgate.com

For Bender/Helper Impact
Adam Fenton/Lauren McCabe
212-689-6360
adam_fenton@bhimpact.com/lauren_mccabe@bhimpact.com

For Lionsgate Corporate:
Peter D. Wilkes
Lionsgate Entertainment
310-255-3726
pwilkes@lionsgate.com

For Mach 8:
Houston Hill (executive producer)
512-699-3905
Molly O brien
310 256-0959 EMG (Entertainment Marketing Group)
Molly@emg-LA.com

The matters discussed in this press release include forward-looking statements. Such statements are subject to a number of risks and uncertainties. Actual results in the future could differ materially and adversely from those described in the forward-looking statements as a result of various important factors, including risk factors set forth in Lionsgate's 8-K filed with the Securities and Exchange Commission on June 29, 2005. The Company undertakes no obligation to publicly release the result of any revisions to these forward-looking statements that may be made to reflect any future events or circumstances.

Source: Lionsgate

CONTACT: Sarah Greenberg, +1-310-255-3856, sgreenberg@lionsgate.com, or
Jodie Magid, +1-212-386-6885, jmagid@lionsgate.com, both of Lionsgate; or Adam
Fenton, adam_fenton@bhimpact.com, or Lauren McCabe,
lauren_mccabe@bhimpact.com, both of Bender/Helper Impact, +1-212-689-6360; or
Peter D. Wilkes of Lionsgate Entertainment, +1-310-255-3726,
pwilkes@lionsgate.com; or Houston Hill, Executive Producer, Mach 8,
+1-512-699-3905; or Molly O brien of EMG (Entertainment Marketing Group),
+1-310-256-0959, Molly@emg-LA.com, for Mach 8

Web site: http://www.lgf.com/

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