Cinedigm Digital Cinema Corp. Announces Fiscal 2009 Third Quarter Results

Access Integrated Technologies, now doing business as Cinedigm Digital Cinema Corp. ("Cinedigm" or the "Company") (NASDAQ: CIDM), reported a 10% increase in year-to-date revenue to $65.1 million, and a 6% increase in revenues, to $22.7 million for the fiscal 2009 third quarter ended December 31, 2008, versus the year-ago periods. The Company posted an Adjusted EBITDA(1) (defined below) of $11.0 million or $0.40 per share, an improvement from the fiscal 2008 third quarter of $8.4 million. The net loss for the fiscal 2009 third quarter of $17.4 million includes non-cash expenses for depreciation, amortization of intangible assets, non-cash interest, stock-based expenses, stock-based compensation, impairment of goodwill and change in the fair value of interest rate swap aggregating $22.3 million or $0.81 per share compared to $11.1 million or $0.43 per share in the fiscal 2008 third quarter.

Third Quarter and Year-to-Date Highlights

--  Year-to-date revenues increased by 10% to $65 million compared to the
    prior year's $59 million, and for the third quarter increased by 6%, to
    $22.7 million from $21.5 million in the comparable year-ago-period.  The
    quarterly improvement from last year was driven largely by a 7% increase in
    the media services segment, including Virtual Print Fees ("VPFs") and
    higher media delivery fees in our satellite unit, and a 4% increase in our
    content and entertainment segment.  Quarter-over-quarter, revenues
    increased by 4%, from $21.8 million mainly due to increases in VPF,
    satellite delivery and content distribution revenue.

--  Loss From Operations for the fiscal 2009 third quarter increased to
    $5.0 million, from a loss of $1.0 million in the comparable year-ago-
    period, due to the non-recurring $6.5 million goodwill impairment charge,
    offset by increased revenues and reduced SG&A expenses.  Year-to-date, loss
    from operations improved to $2.9 million from a loss of $3.5 million in the
    prior year, also due to increased revenues and reduced SG&A, but offset by
    the impairment charge and also by increased depreciation.

--  Gross Profit (revenue less direct operating expenses) Margin for the
    year to date was 70%, an increase from last year's 66% for the same period,
    and for the third quarter was 69%, consistent with last year's third
    quarter of 69%.

--  Adjusted EBITDA(1) margins improved to 48% in the December 2008
    quarter from 39% in the comparable year ago period and 49% year-to-date
    from 36% last year.

Bud Mayo, Chief Executive Officer of Cinedigm, stated, "2009 will be a challenging year for most companies, due to the continuing uncertainty in the credit markets and other factors; however, we continue to be confident, and even optimistic, about our ability to operate our business more effectively and more efficiently even if we are unable to secure additional Phase 2 funding. Our recurring revenues from our investment in a large digital cinema asset base during a far more robust market is paying off today from long-term contracted VPF and other revenue streams. These revenues have proven to be reliable and predictable in an industry that thrives despite the recession and they have become the life blood of our business. We continue to expand the uses of this asset base with new and exciting revenue producing programs and services. Our goal is to position ourselves to benefit incrementally from a Phase 2 deployment while exploiting the 3,800 screens and satellite network we already have in place."

CONFERENCE CALL NOTIFICATION

Cinedigm will host a conference call to discuss its financial results at 10:30 a.m. EST on Thursday, February 5, 2009. The conference can be accessed by dialing 719.325.4764, at least five minutes before the start of the call. No passcode is required. The conference call will also be webcast simultaneously and will be accessible via the web on Cinedigm's Web site, www.cinedigmcorp.com . A replay of the call will be available after 1:30 p.m. Eastern at 719.457.0820 or 888.203.1112, passcode 4672831. The replay will be accessible through Thursday, February 12th.

About Cinedigm

Cinedigm Digital Cinema Corp. is the global leader in fulfilling the promise of digital cinema. Its ground-breaking technology platform helps exhibitors, distributors, studios and content providers transform the consumer movie experience -- by expanding theatrical features to include not only movies but also live 2-D and 3-D performances such as major sporting events, concerts and gaming. The Company also enables theatres to create exhibitions and advertising opportunities targeted to specific audience groups and locations thereby offering new revenue opportunities for these venues. Cinedigm's leading digital cinema platform and one-of-a-kind satellite delivery operations support more than 3,700 theatre screens equipped with DLP Cinema® projection systems across the United States with over nine million digital showings of Hollywood features to date. www.Cinedigm.com [CIDM-E]