Record Revenues for Lionsgate

SANTA MONICA/VANCOUVER,
June 3: Fiscal 2008 revenues at independent studio Lionsgate rose to a record
$1.36 billion from $976.7 million, reflecting a 39-percent increase.

Despite the full-year
revenue gain, however, the studio posted a $74 million loss versus last year’s
profit of $27.5 million, primarily as a result of increased theatrical
distribution and marketing expenses in association with the planned growth of
the company's motion-picture slate. For the fourth quarter, revenues were
$511.5 million, marking its best quarterly revenue performance.

"Every division of the
company made contributions to our tremendous revenue growth, and they have
positioned us for continued double-digit revenue growth in fiscal 2009,"
said Jon Feltheimer, Lionsgate’s
co-chairman and CEO. "We continue to leverage our vast array of content
for large niche audiences into a fast-growing channel business, digital
distribution platforms and emerging international opportunities that, in
addition to the continued successful operation of our existing core businesses,
all set the foundation for long-term profitability and enhanced global
recognition of the Lionsgate brand."

Overall motion-picture
revenue for the year was a record $1.15 billion, an increase of 34.1 percent
from fiscal 2007. Within the motion-picture segment, theatrical revenue was
$191.7 million, an increase of 78 percent. Home-entertainment revenue was a
record $623.5 million in the fiscal year, an 18-percent increase. And catalogue
revenues were $263.7 million. Television revenue included in the motion-picture
segment was $115.9 million in the fiscal year, a 6-percent increase, led by
titles such as Crank, Daddy's
Little Girls, Employee of The
Month, Saw III and The Descent. Lionsgate also had the strongest international
revenue performance in its history, reporting $158.7 million in international
revenue. Lionsgate U.K. contributed $64.6 million in revenue in the fiscal
year.

Television production
revenue was $210.1 million, a 77-percent increase, led by deliveries of
episodes of in-house productions such as Mad Men (AMC), Weeds (Showtime), Wildfire
(ABC Family) and the Dead Zone
(USA Network), and domestic series licensing of Tyler Perry's House of
Payne, South Park and Family
Feud from Debmar-Mercury.

—By Mansha Daswani