Regal CineMedia and the Convex Group Announce 3-Year Partnership to Distribute Exclusive LidRock Programs in Movie Theatres Nationwide, Reaching over 250 Million People a Year

June 10, 2004
"remix by E. Smoove from the artist's recent release, Damita Jo, the"
NEW YORK & ATLANTA--(BUSINESS WIRE)--June 10, 2004--Regal CineMedia ("REG" NYSE: RGC)

-- LidRock Exclusive Music, Movies and Games Delivered in the Lids of Fountain Beverages Allowing Consumers to Take the Entertainment Experience Home Will be Offered in Regal Entertainment Group Theatres

-- Initial 2004 LidRock Programs Include Music from Superstars such as Janet Jackson, Special Offers from LidRock Partners NetZero and Included

Regal CineMedia, the media subsidiary of Regal Entertainment Group ("REG" NYSE: RGC), the world's largest movie exhibitor, and The Convex Group, the company behind the patented technology found in LidRock, today announced a new, multi-year integrated marketing partnership to distribute exclusive entertainment content in REG movie theatres throughout the U.S. The partnership creates an opportunity for corporate sponsors to integrate their brands contextually into entertainment programming featured on LidRock discs distributed to the desirable movie theatre audience in a new, high-impact way.

The partnership encompasses multiple consumer touch points within REG's theatre environments, including a variety of exclusive in-lobby promotional opportunities for LidRock in the company's 545 theatres in 39 states, reaching more than 250 million moviegoers annually. LidRock content will be promoted on the 42" plasma screens in REG lobbies, as well as in concession areas. REG will be able to offer customers additional, exclusive entertainment and provide advertisers with a product that creates one-to-one relationships with the moviegoer. LidRock will also be integrated into the movie chain's affinity program, the Regal Crown Club.

Beginning this summer, a series of limited edition LidRock discs featuring the hottest popular music will be distributed at select Regal Cinemas, United Artists Theatres and Edwards Theatres nationally. Initial programs include a Janet Jackson LidRock featuring an exclusive "I Want You" remix by E. Smoove from the artist's recent release, Damita Jo, the "I Want You" video and never-before-seen interviews with Janet.

As LidRock represents a tangible form of media providing valuable touch points to millions of consumers, several national brands are working with LidRock to design and execute programs to connect with their targeted demographics. For example, upcoming LidRock programs distributed in REG Theatres will feature a special offer from NetZero, encouraging consumers to sign up for the company's value-priced NetZero HiSpeed accelerated dial-up internet service. Additionally, LidRock is partnering with, an on-line and off-line discount travel agency, to promote's services by giving consumers access to its exclusive travel and leisure related offers. Throughout the remainder of 2004, multiple LidRock discs will be offered to theatre attendees, blending today's most popular music with special consumer offers to create valuable and interactive consumer experiences.

"LidRock has that unique combination of properties we look for in our strategic partnerships," said Cliff Marks, Regal CineMedia's President, Marketing and Sales. "We now have an opportunity to provide our patrons with extra entertainment value at the concession stand in addition to the entertainment on the big screen. At the same time, we can offer the marketing community a new and effective way to connect with the highly desirable moviegoing audience."

"Businesses are always looking for innovative ways to communicate more effectively with their target markets. This innovation has become more critical as consumers continue to find new ways to avoid exposure to advertising and become increasingly immune to traditional forms of marketing and advertising due to oversaturation," stated William A. Goldstein, Chairman of Farequest Holdings, Inc. and owner of "We strongly believe that partnering with LidRock and integrating's services into LidRock's exclusive entertainment medium creates an exciting and effective vehicle for reaching our target audience with value-added offerings that build our brand awareness among travel consumers. This is especially true with the exposure will receive in the powerful theatre environment."

"Providing exclusive branded content and exclusive music, movies and games on LidRock for moviegoers creates a winning proposition for the content providers as they significantly extend their reach, for sponsors as they tie their brand to contextual, relevant entertainment and most importantly, for the consumer who takes this special entertainment home," said Dawn Whaley, Executive Vice President, The Convex Group.

About Regal CineMedia

Regal CineMedia is a wholly owned subsidiary of Regal Entertainment Group focusing on the expansion and development of advertising and new uses for Regal's theatre assets, while at the same time enhancing the movie-going experience. Regal CineMedia operates other divisions that focus on meetings and special productions in a theatre environment, including the presentation of entertainment, sports and educational events, as well as the sale of group tickets and gift certificates.

About Regal Entertainment Group

Regal Entertainment Group (NYSE:RGC) is the largest motion picture exhibitor in the world. The Company's theatre circuit, comprising Regal Cinemas, United Artists Theatres, and Edwards Theatres, operates 6,020 screens in 545 locations in 39 states. Regal operates approximately 17% of all screens in the United States including theatres in 46 of the top 50 U.S. markets and growing suburban areas. The size, reach and quality of the Company's theatre circuit not only provides patrons with a convenient and enjoyable movie-going experience, but is also an exceptional platform to realize economies of scale in theatre operations and, through Regal CineMedia, develop new sources of revenue and cash flow by utilizing Regal's existing asset base.

Additional information is available on the Company's Web site at or at

About LidRock

LidRock is a breakthrough entertainment distribution platform that enables CDs, CD-ROMs, DVDs and other entertainment assets to be delivered to consumers on fountain drink lids. LidRock's patented and FDA-approved packaging enables movies, music, video games and other multimedia content to be distributed to consumers anywhere fountain drinks are served. LidRock is a division of Atlanta-based The Convex Group, Inc.

About The Convex Group, Inc.

The Convex Group, Inc. is a media and entertainment company that acquires and integrates unique assets to create new media networks. The Atlanta-based company owns or controls proprietary distribution and content platforms including the "HowStuffWorks" franchise and the exclusive rights to "in-lid" CD-ROM distribution, which it operates through the LidRock division.

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements in this press release regarding Regal Entertainment Group's business which are not historical facts are "forward-looking statements" that involve risks and uncertainties. For a discussion of such risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see "Risk Factors" in the Company's Annual Report or Form 10-K for the most recently ended fiscal year.


Regal CineMedia
Lauren Leff, 212-931-8107
The Convex Group
Kate Solley, 404-760-4346