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ISSUE 13 AUTUMN 2011

Redefining the cinema experience

Sony helps cinemas transition to digital

inside Sony partners with suppliers for 4K cinema Joint expertise offers better service

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Bridging the digital gap VPF deals from Sony offer an ideal way to convert to digital cinema Sony is offering cinema owners a complete solution for converting from 35mm to digital. This includes all the hardware and software necessary to run a digital operation, as well as the interest free financing to make the conversion. Sony’s new lower upfront cost program, combined with a closing window for VPF backed deployments, makes now the best time to convert to digital with Sony. At the heart of the offer is the ultra-high resolution 4K projection system, which has already shipped over 10,000 units worldwide. Converting to digital offers a wealth of opportunities for theaters, not just in higher resolution images and advanced 3D movie experiences, but with applications such as digital signage, remote monitoring, video surveillance and alternative content. “We are aggressively pursuing large and small exhibitors interested in crossing over to digital cinema,” says Patrick Leon, Senior Manager Business Development, Sony Electronics. “If you’ve already begun the process of deploying Sony or even non-Sony equipment, we can bring previously deployed equipment under VPF contracts as well. Studios – all six majors and dozens of others – are helping to pay for the conversion so that each time a Sony deployed VPF eligible projection system is used to show content, a VPF fee is paid to subsidize the equipment

cost. In effect, exhibitors who convert to digital now will get help from the studios. And that won’t last forever.” Sony provides the hardware and software to run the cinema as well as three distinct service packages to meet exhibitors’ individual needs. Sony will deliver the equipment, install it and maintain it at top performance for the life of the contract. Enter into a lease arrangement with Sony and you get complete digital cinema systems for all of your existing first run complexes for a fraction of the system’s direct sales price. Sony will finance the deployment interest free to the exhibitor subject to credit approval. Alternatively, exhibitors can go Sony through the Exhibitor Managed Finance Program. In this program, exhibitors purchase the equipment from Sony outright and for a fee have Sony manage VPF administration on their behalf. Exhibitors not interested in the available VPF programs of course have the option to purchase the equipment from Sony without the benefit of a VPF subsidy. No matter your circumstance, Sony can work with you to find a solution.

Everyman completes 4K Why leading UK chain used VPF with Sony

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FOR MORE ON SONY DIGITAL CINEMA 4K Please follow us @SonyDCinema4K The Official Global Twitter of Sony Digital Cinema.

“ Exhibitors who convert to digital now will get help from the studios” Patrick Leon, Sony Electronics

facebook.com/sonyelectronics

Deal or no deal The VPF offers from Sony are incredible deals for cinemas moving to digital. Supported by the six major studios and over 100 smaller distributors, VPF allows you to make the switch to the highest quality, most established 4K digital system on the market. It future proofs your investment. With Sony, you also get so much more than a projector. Everything from the media server to the TMS software to

manage the content, the IP infrastructure within your cinema and connecting it to the outside, 24/7 monitoring and support of systems and services, Sony is the only company that can offer such total solutions. In addition, it has fantastic digital signage and security options that take the hassle about creating, managing and distributing content. Chris Dickinson, Editor

3D concert screens in Hong Kong Japanese pop idol Ayumi Hamasaki turned up in person for the 3D screening of the latest concert movie at the MCL Cinema in Hong Kong. Ayumi Hamasaki Rock’n Roll Circus Tour FINAL – 7 Days Special 3D concert movie was shown in Japan and Hong Kong. It has also been released in Taiwan. In Hong Kong, MCL Cinema circuit exhibited the concert on its Sony 4K projector at MCL JP Cinema. Hamasaki made a special appearance at the gala premiere in September.

All-Sony 4K multiplex opens in Colombia Cinema group Cine Colombia S.A. in Colombia has completed the first allSony 4K multiplex in South America. The company has installed Sony 4K projection systems in all eight screens of its Unicentro Theater in the capital, Bogotá. Cine Colombia is the largest cinema group in the country, with 225 screens across 35 theaters.

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French multiplex goes digital The Majestic cinema is the largest cinema in the city of Châlons-en-Champagne, the capital of the department of Marne and the region of ChampagneArdens. The nine-screen multiplex has 260,000 admissions each year. Six of the Majestic's nine screens now have an SRX-R320 4K Sony projection system, including the cinema's two largest screens. The projectors were supplied and installed by R2D1 across two weeks in the middle of October. Gérard Tépaz, owner of the Châlons-enChampagne Majestic decided to go ahead with the installation after seeing the high quality image on the screen at Studio 28 in Paris, the first of two public cinemas in France to install 4K. The projection system at Studio 28, which was also supplied by R2D1, was recommended for its reliability as well as its sharp resolution. “The 4K Sony projectors produce a high quality image with very good definition,” says Tépaz. “It's a real trump card for our cinema and it's a point of honor for our audience that we should show films in exceptional quality.” Tépaz sees the 4K movie productions coming out of the US – such as Brad Pitt’s Moneyball, Restless and Straw Dogs – as the beginning of an expansion of 4K production and has plans to show alternative content in 4K, as well as movies.

In France, the adoption of Sony 4K is gathering momentum, with the latest installation of the world-beating technology in a French multiplex

“ It's a real trump card

for our cinema and it's a point of honor for our audience that we should show films in exceptional quality” Gérard Tépaz, Châlons-en-Champagne Majestic

Sony 4K for kids Cultural centre for children in Sweden opens its doors with Sony 4K “The Palace is a place where we will do everything in our power so that children and adolescents can do just what they dream of,” says Anders Bergh of Palatset, Stockholm's recently-opened cultural centre for children. “It's a magical building where everyone between 6 and 18 can discover stuff they didn't even know that they liked, and try out all sorts of cultural experiences, everything from music, to literature and film.” The centre contains a newly-fitted cinema using Sony's 4K digital technology. “Film is a big part of our target group's culture. Going to the cinema and seeing movies on TV is something they are already doing, so obviously that they had to do it in the Palace. Equally obvious is that the movie experience they get here has to be something beyond the ordinary,” comments Bergh. He chose 4K because it was important to have high quality technology in the project, necessary for credibility with a young audience, “Nothing in the Palace should feel old,” he explains. What do the audience think of the images? “So far we have only got amazed reactions. 'It makes cinema look blurry' being one”. When we started the project we wanted an HD projector, but after discussions with Sony, we decided to use a 4K: to put it in a house with only 80 seats, for children, and as the first 4K cinema in Sweden was a great combination.”

Its part of the ethos of the centre that children and young people take part in film-making as well as watching. “We've the ability to record TV programs and movies and have even lifted an old car into the house so that young people can record scenes with back projection,” says Bergh. “It was a bit tricky to carry up the six floors, so we had to take it apart in pieces.” The Palatset building dates from 1891 and was built as the National Archive. “At the time it was the most modern building with the latest technology and that tradition has continued. It is a Harry Potter kind of place – where we have worked hard to integrate the new technology in harmony with the old building.” Despite the technology, only one thing matters, according to Bergh. “Young people are a discerning audience. If they don't like it, they will leave the theater. Only the future will tell if we can program our cinema with good movies that the audience likes. In the end, content is the key to success.”

“ Young people

are a discerning audience. If they don't like it, they will leave the theater”

Anders Bergh, Palatset

Tolentino multiplex first Sony 4K for Italy Giometti multiplex looks for alternative content to boost revenues The first Italian multiplex to offer Sony 4K is the Giometti multiplex in Tolentino in central Italy, which now has 4K across all of its seven screens. Giometti installed the end-to-end Sony SRX-R320 projection system, together with 3D Real D, in time for a launch at the end of September. The first four screens were upgraded to 4K in the last year and now, with 4K in the cinema’s three further screens, the multiplex can offer an entirely 4K experience. “I’m happy because installing the new generation of Sony digital cinema technology means that our cinema becomes the benchmark for multiplexes in Italy, in advance of all others,” says owner of the Giometti multiplex John Giometti. “The largest

cinema chains in the US are installing these projectors at the same time as us. Finally, with Tolentino, Italy is at the forefront of technology for digital cinema. Going to the movies today can be a unique experience.” The installation also includes Italy’s first deployment of the Sony STM-100 Theatre Management System (TMS), which allows the multiplex to centralize the management of the projection systems and to monitor the seven screens in the complex. This simplifies management and improves efficiency, capturing and transferring content without needing to operate the projector manually.

“ Our cinema

becomes the benchmark for multiplexes in Italy”

John Giometti, Giometti Multiplex

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Working together Ushio, Philips and Envysion partner Sony to offer solutions to cinemas

“ This initiative will accelerate our ability to help the theater industry achieve demonstrable profit impact” Matt Steinfort, Envysion

Converting to digital technology offers a wealth of opportunities for theaters, not just in higher resolution images and advanced 3D movie experiences, but with crucial applications such as managed IP video surveillance. Sony can help streamline a theater's operation, from the box office to the concession while thrilling audiences with spectacular 4K imaging. But Sony also recognizes the expertise of key technology and solutions providers and partners to deliver the ultimate 4K digital cinema experience and to maximize profit for theater owners. The superior performance of the SXRD projector, for example, is powered by specialist lamps from Ushio and Philips. “The decision to upgrade to 4K is without compromise so why would you compromise on any lamp that drives the system?” asks Darek Gilczynski, Director of Sales, Digital Cinema, Ushio America. “The highest overall performance of 4K digital cinema projection can be achieved with Ushio's DXL series that were specifically developed for the Sony's SXRD system.” Philips LTI Special Lighting is a world leader in specialty discharge lighting. According to Ana Simonian, Segment Manager Entertainment: “When the digital rollout started, it gave Philips the perfect opportunity to enter the digital cinema market. We were looking for innovative partners that could work closely with us to develop the ultimate high quality Digital Xenon lamp. Sony was one of the companies

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that joined us on our journey and we were confident that, together, we could create the perfect 4K image on screen. “Technology in film is evolving at a rapid pace. Images have become stronger, faster and more superior and it's extremely important to display this on screen. With 4K technology, moving images are sharper, crisper and amazingly lifelike on screen. It's transformed a visit to the cinema into a whole new experience rather than just a trip to watch a movie.” As exhibitors make the transition from analogue to digital, they can also transition their video surveillance to IP digital solutions. This move can bring a host of business benefits including but not limited to security such as ensuring an accurate mix of regular and discount tickets, optimizing staffing levels; and maintaining brand consistency. These benefits are being realized thanks to the recent alliance between Sony's Security Systems Division and Envysion, the leading Managed Video as a Service (MVaaS) provider. The partnership sees Envysion integrate video from Sony's suite of cameras with an organization's business systems, such as point of sale. This gives theater operators the unfiltered, visual context behind every transaction and customer interaction. Armed with this information, users in every department of a cinema can identify new ways to improve marketing promotions, employee training, loss prevention investigations and other operating processes. The result transforms video surveillance from a niche security application into a strategic management tool that can contribute to improvement of a theater's bottom line. “This initiative will accelerate our ability to help the theater industry achieve demonstrable profit impact,” explains Matt Steinfort, Envysion President and CEO. “Theater managers can increase gross sales by ensuring an accurate mix of full price and discount tickets, loss prevention teams can cut down on the cost of concessions sold by reducing shrink and HR can increase productivity by identifying employees with common traits, including excessive ticket voids or above average transaction times, which indicate the need for additional training.” Steinfort is confident that Envysion's MVaaS represents a market disruption that, when fully realized, will fundamentally alter the marketplace.

Bell Theatre Service is converting Showcase sites

“ It is the combination of 4K, 3D and

the new economic operational models provided by the switch to digital partnered with Sony which is proving so powerful” Max Bell, Bell Theatre Services

Installers drive 4K rollout in UK Sound Associates and Bell Theatre Service help cinemas convert to Sony 4K

Of the 3,500 cinema screens in the UK, by the end of next year over one thousand of them will be equipped with Sony 4K digital cinema projectors. Driving this momentum are two key theatrical systems integrators who made the decision to work with Sony based on the unique technical capability to project 4K and deliver on demand 3D. Sound Associates, for example, has worked with Sony on the installation of its digital cinema projectors since October 2009. Its installations includes 79 projectors for Apollo Cinemas – 50 per cent of which are 3D enabled; 11 for the Everyman Cinema group; one to a hotel cinema in central London and over 200 screens so far for Vue Cinemas, including 17 for the brand new flagship Vue site at the 2012 Olympic venue.

“From an integrator’s point of view, working with Sony gives a one stop solution, whereas with other digital cinema solutions we have to integrate a projector from one company with a server from another,” Graham Lodge, Managing Director. “Whilst that is ‘what we do’ as integrators, the Sony solution is less complex. Having a manufacturer that supports the product to such a high level makes life much easier for us.” Fellow integrator Bell Theatre Services is busy completing the transition of National Amusement’s Showcase UK chain to Sony 4K. “Showcase are one of our oldest customers who found the Virtual Print Fee (VPF) and the concept of 4K imaging extremely attractive,” explains Max Bell, Managing Director, Bell Theatre Services. “With 4K we get the equivalent quality of 70mm imaging which is what everybody hoped for when the 70mm print format was introduced thirty years ago.” “Ultimately it is the combination of 4K, 3D and the new economic operational models provided by the switch to digital partnered with Sony which is proving so powerful.”

Content management solutions Sony offers a whole range of service and support for 4K projection, digital signage and more

“ We take something very difficult and make it easy to install and maintain” Bryan Allen, Convergent

The move to digital cinema offers many advantages, from improved quality to new revenue streams. It also opens the door to a whole range of services that allow cinemas to integrate all aspects of the multiplex into a faster, better-run operation. Sony is working with thousands of cinemas across the world to manage the move to new technologies, backed by the Sony quality assurance and a range of integrated services centred around Sony 4K. Alongside the projection technology, Sony also offers on-site security and digital signage solutions, integrating all aspects of the cinema’s business in a secure, managed network. Sony subsidiary Convergent Media Systems is at the forefront of this business, building digital networks that allow cinemas to manage all aspects of content delivery on their sites.

“We take something very difficult and make it easy to install and maintain,” says Bryan Allen, Convergent CEO. “Our software solutions allow the cinema owner to create and update all the digital signage remotely. We also monitor and control the Sony 4K projection systems. Everything is IP connected all the time so we can spot issues and fix things before there’s a problem.” A key part of the system is establishing a working IP infrastructure that is robust and secure enough to enable these activities and allow digital content to be sent and received. As part of this, Sony can provide a highly effective, consistent, reliable and secure solution tailored to individual cinema needs. This includes network design engineering, provision and installation, field service and maintenance, backed by 24/7 monitoring and support. sony.com/dcinemaworldwide 5

Sony 4K in Dutch multiplex In the Netherlands, the Royal Servicebioscoop Echt in the city of Echt is the first theater in the country to have Sony 4K projectors installed for all of its screens. There have been a number of single screen 4K installations, but the Royal now has four Sony SRX R320 4K projection systems, together with RealD 3D. The Royal’s owner Bas Haldermans decided that 4K was the way forward when he first saw films presented using the technology. “The image of 3D from 4K is more stable, it’s more perfect.“The Royal hosted a 4K open day soon after the installation for people that had never seen the technology and they were astounded by the quality.”

Suprema helps Polish cinema go digital The Rialto Cinema in the Polish city of Poznan installed a new digital projection system in early October, making it one of the first Sony 4K installations in the country. The Rialto’s single screen now has Sony 4K and RealD 3D. The funding for the 4K digital system was supported by a programme run by the Polish Film Institute. It was installed by Warsaw-based distribution company Suprema, working together with a Sony specialist. Director of Marketing for Suprema Poland is Zbigniew Komorowski. He says that there is increasing interest in Poland in the high quality that 4K can deliver; the company is working on four or five installations, which are being planned before the end of the year. “We and our customers believe in 4K technology,” he says.

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CinemaxX in Denmark

4K film festival CinemaxX in Denmark holds week-long classic film festival Following successful screenings of 4K classics for CinemaxX in Denmark, the cinema chain held a weeklong festival of 4K classics in September, featuring in its theaters in Copenhagen, Odense and Aarhus. CinemaxX chose to show nine 4K movies, with a mix of restored movie classics and newer 4K releases, as well as a range of films across the different genres. David Lean's Bridge on the River Kwai, which came out in 1957 and Gentlemen Prefer Blondes were shown, along with Alfred Hitchcock's thriller, North by Northwest. For family audiences, the festival screened the all-time favorite, The Sound of Music. The festival billing also included the first ever black and white 4K restoration, the 1960s satire Dr Strangelove or: how I learned to stop worrying and love the bomb. It also selected one of the most recently restored classics – Martin Scorsese's Taxi Driver – which was re-released as a 4K restoration in 2011. Alongside these legendary movies, the cinema chain also ran the Summer blockbuster True Grit, which was shot in 4K and Inception, starring Leonardo di Caprio. Head of Film for CinemaxX in Denmark Rikart Olander Kobke says there was great interest from the audiences and the press, with multimedia coverage of the event. “When people see restorations of films that they know and have seen before, they see the brilliant quality right away and understand how this is a step forward from what we have seen before,” says Kobke. “Instead of showing a new action movie with Angelina Jolie, where they are looking at something other than the picture quality, we have found that showing great movies from the past has got people interested in 4K.” The CinemaxX chain in Denmark has three cinemas, with 25 screens in all. The cinemas have been adopting Sony 4K since 2009 and seven of these now have Sony 4K projection systems.

“ Showing great

movies from the past has got people interested in 4K” Rikart Olander Kobke, CinemaxX

Everyman Cinemas completes Sony 4K install Leading independent UK chain takes advantage of VPF deal with Sony

“ Sony is a

brand that customers can relate to and that gives them what we think is a sense of high quality”

Andrew Myers, Everyman Cinemas

After signing a deal this summer to install Sony Digital 4K projection systems throughout its entire chain, Everyman Cinemas has already completed its rollout and is enjoying the benefits of its new partnership with Sony. Everyman Cinemas became the first independent cinema chain in Europe to sign a Virtual Print Fee (VPF) agreement, in a deal which has seen 13 screens across its eight UK sites equipped with state-of-the-art Sony 4K projection. “While the end of the UK Film Council digital arrangements was the catalyst for our decision to replace our six existing digital projectors, it was the opportunity of working with Sony that allowed us to commit to converting our entire portfolio to digital technology,” explains Everyman Cinemas CEO Andrew Myers. “We completed installation, working with Sound Associates, in just six weeks after the contract was signed. He adds: “We approach the cinema business very much from a hospitality and leisure perspective and by delivering the highest standards possible in entertainment. We believe in creating a truly unique and memorable cinema experience that revolves around not just the film itself but the whole experience we give our customer. “With Sony we are looking at ways we can build on that lifestyle relationship. Sony is a brand that customers can relate to and that gives them what we think is a sense of high quality. We want our boutique chain to match that brand expectation so that movies-goers truly come to the cinema for a

unique and memorable experience, from excellent customer service to stylish lounge areas.” Everyman Cinemas is one of the UK's oldest independent cinema circuits, having opened its first theater in Hampstead in London in 1933. Its other luxury lifestyle venues include Baker Street, Belsize Park, Islington's Screen on the Green, Winchester, Oxted, Reigate and Walton, with Maida Vale opening in November and its first north English cinema, in Leeds, launching in spring 2013. “4K allows us to be in a position we are looking toward the future,” says Myers. “It gives us longevity in equipment and a chance to save on upgrades or having additional developments costs in the move to new platforms. We have given ourselves a futureproofed investment.” Everyman was one of the first exhibitors to screen content from New York's Met Opera and London's National Theatre, and continues to programme a wide range of alternative content, including sport, comedy and major special events such as the 2011 British Royal Wedding. “Sony is always looking at innovative ways of showing alternative content,” says Myers. “The switch to digital heralds a new era for boutique cinemas, as we can now offer an ever greater choice. From our perspective, if it has quality and it fits with audience expectations then we will show it. We believe that the customer trusts us to show them the film of their choice at the best possible quality that it can be experienced and that is what our partnership with Sony delivers.”

Everyman Cinema in Hampstead, London

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Alternative content in Sony 4K AKB48 concert shown across Asia, including at Thailand's SF Cinema City The Thai digital cinema chain SF has launched a new alternative content strand, to take unusual events to their audiences. The latest screening, shown live from Japan, was AKB48 – The 24th Single Janken Tournament, which was shown at the SF World Cinema in Bangkok, broadcasting simultaneously with four other Asian countries.The live content from Japan was distributed by Sony “Livespire”, the alternative content distribution label managed by Sony PCL Inc. in Tokyo. Janken is the Japanese name for the children's elimination game 'rock, paper, scissors', which is taken much more seriously and played far more often than in the west. AKB48 are the Japanese girl band with more than 60 members, and the top 16 winners of the tournament will be performing on their new single, with the overall winner taking centre stage. “The show was a real success and received positive feedback from a large number of customers,” comments SF Cinema City Managing Director Suvit Thongrompo, “With the power of seamless projection and audio quality, movie-goers enjoyed the full flavor of excitement as if they were there themselves.”

The cinema group also hosted the recent Smurfs 3D Thai premiere. ”At SF Cinema Group, our business focuses on delivering the best entertainment experience to customers,” adds Thongrompo. “We never stop searching for new innovations to thrill movie-goers. The 4K technology is today's sharpest digital projection system that gives everyone a truly different cinema experience. SF is the first cinema in Thailand to bring this innovation to Thai movie-goers.” The implementation of Sony's 4K digital cinema solutions at SF Cinema City adds to the 10,000 Sony 4K systems installed worldwide.

“ The 4K technology is today's sharpest digital projection system that gives everyone a truly different cinema experience” Suvit Thongrompo, SF Cinema City

For more on Sony Digital Cinema 4K UNITED STATES EUROPE

Sony Digital Cinema is now on Twitter Please follow us @SonyDCinema4K – The Official Global Twitter of Sony Digital Cinema. Followed by exhibition partners, industry professionals, and movie enthusiasts alike, @SonyDCinema4K is the definitive resource on Sony’s immersive digital projection technology, new and upcoming 4K releases, as well as industry news and events.

Also on Facebook Sony is engaging movie-goers directly through social media. The Sony Digital Cinema Facebook page already has about 650,000 friends plus the latest information on Sony 4K.

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Published by Small World Publishing Limited for Sony Corporation. Contents copyright 2011 Sony Corporation. Reproduction in whole or part is strictly prohibited. Permission may be granted by application to Sony Corporation. No responsibility for loss occasioned to any person acting or refraining from action as a result of the material in this publication can be accepted by the authors or publishers. Whilst information given is true at the time of printing, small production changes in the course of our company’s policy of improvement through research and design might not be indicated in any specifications. Please check with Sony to ensure that current specification and features match your requirements. Sony Digital Cinema and Sony Digital Cinema 4K names and logos are trademarks of Sony Corporation. All other trademarks are the property of their respective owners.