Lionsgate Bolsters Library

SANTA MONICA, July 13: A day after acquiring the independent
distributor Debmar-Mercury, Lionsgate has further strengthened its library with
the acquisition of the U.S. television, DVD and some VOD rights to some 2,000
English- and French-language titles from Studio Canal.

The Studio Canal library acquisition adds to Lionsgate's
current library of more than 5,500 titles. “The Lionsgate library is the jewel
in our crown and, as we move into the digital world, we are capitalizing on
opportunities to leverage our stockpile of content into new and incremental
revenue streams," said Lionsgate’s president, Steve Beeks. "This deal
continues our game plan of increasing the asset value of our library by
building its content and continuing to aggregate key rights."

The multiyear agreement covers the television, DVD and a
“large proportion” of VOD rights to titles such as Tender Mercies, Crimes Of
The Heart, Frances, Evil Dead II, Jean Renoir's The
Grand Illusion and Luis Bunuel's Obscure
Object Of Desire and The Discreet
Charm Of The Bourgeoisie.