D-BOX Association with GDC Technologies

D-BOX Technologies Inc.
(DBO.A on the TSX (Canada) Venture Exchange), a leader in motion technology
for the entertainment industry, is pleased to announce it has established
compatibility with the Digital Cinema servers manufactured by GDC Technology,
one of the largest digital cinema solution providers in the world.
This latest announcement provides D-BOX an opportunity to further expand its
business together with GDC Technology, whose software-based digital cinema
solution has garnered nearly 400 installations in North America and 2,000
internationally. GDC joins a growing number of D-BOX compatible digital
equipment manufacturers that together represent a significant market share of
the North American and international movie theatre markets.
Since its introduction, digital cinema technology has continued to grow on a
global scale offering moviegoers a crisper, clearer movie experience. With the
addition of digital cinema capabilities, movie theatres are able to feature
digital 3-D movies, live satellite screenings and alternative content such as
plays and musicals, as well as live concerts and sporting events.

"D-BOX Motion Code(TM) is currently available in seven movie theatres throughout North America and has an aggressive rollout plan for new locations and a continuous
flow of motion-enhanced movies, all for the benefit of moviegoers. Through
compatibility with industry leaders, such as GDC Technologies, D-BOX is in a
great position to ride the current digital wave within the theatrical
industry."

European Commission to consult over digital cinema

The European Commission is launching a consultation into the digital cinema sector as it warns that one in three European cinemas could face closure.

The consultation will invite film exhibitors, distributors, film agencies, advertisers and public film organisations to discuss the future of the industry.

The two-month consultation will form part of the Commission's policy on digital cinema and will also be the basis of its communication on "Opportunities and challenges for European cinema in the digital era" in 2010.

It warned that, while digital cinema can make distribution cheaper and enable more European films to be accessed abroad, unless a new business model and public support schemes are developed, a third of European cinemas could face closure.

The US leads the way in digital cinema, where it is available in 90% of all new films, whereas in France - Europe's biggest film producer - less than half of new films are available on digital.

In Europe, only 2,428 screens have been converted to digital. Worldwide, around 12,000 screens have been digitally equipped out of a total of about 110,000. By 2012, it is estimated that nearly 20% of cinemas worldwide will be converted to digital.