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I am seasonal first-run theater with hopes of becoming all the time first run by growing from 2 screens to 5 over the next year.

IMHO: I beleive that there is a good chance that the new digital wave will leave us small fish without water. I also beleive that if studios are reasonable that digital could help us grow (by allowing more access to films than now and they would not have to pay us VPFs) therefore making the decision to purchase new equipment an easier trigger to pull.

So how far out would you sign a lease? 2 more years? 3 more years? 5 more years? Lets say that for each longer lease you sign, you save 10% in rent each year.

Well Jack, IMHO it will be decades before Hollywood stops making ANY film prints and EVERY theatre is equipped with digital projectors. In your situation I wouldn't be afraid to sign a five year lease. I am working on a five year lease in a local shopping center with an option on another five. I wanted 10 but they limited me to five.

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Bob Allen
The Old Showman

get the max they will give you/ M

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Michael Hurley
Impresario

Mike,

No concern/worries about getting movies in 3 years? I know you and I both complain about not be able to get reasonably wide movies. assuming you are part of CBG, do you believe you will have access to digital equipment in the begininng? Or will you be pushed to the back of the line since you may be classified as a seasonal first run?

Thanks