I hate to be a spoiler here, but...
I have a small multi, and I had to go up against Regal and General Cinemas (just before they were picked up by AMC).
Admittedly, my situation regarded booking first-run as an independent against these powerhouses. However, I made my case, clearly stated my expectations regarding booking in their midst, and made sure I had the studios' agreement to provide me product before I opened my place up. In my case, I'm 7 miles from the big boys, much closer than what you're talking about.
You guys are much farther apart than I was. However, if I could do this in the first-run tier, you might consider how you'll explain to the studios why you should be protected from somebody that far away.
This issues touches on anticompetitive trade practices, which many states have laws against and which the studios are becoming increasingly reluctant to defend against.
Realbutter, I sympathise with your situation. Just make sure you've got your ducks in line on this. Distance might not be good enough to protect you if the other exhibitor has his wits about him.
[This message has been edited by rodeojack (edited August 08, 2004).]