NCM AND AMC REACH AGREEMENT ON CARMIKE MERGER

>> National CineMedia and American Multi-Cinema (AMC) have reached an agreement that enables AMC to comply with the Department of Justice's (DOJ) Final Order on its acquisition of Carmike Cinemas, Inc. while reaffirming the companies' commitment to their continued partnership. The DOJ Final Order required AMC to transfer cinema advertising rights to 17 theaters from NCM to another cinema advertising provider. It also required the sale of additional theaters (many of which were previously Carmike theaters), which may be sold to any exhibitor including those that are currently part of the NCM advertising network (thus the impact on NCM of these sales is yet to be determined, but at most represents approximately 1 percent of NCM's total network). However, as per AMC's long-term Exhibitor Services Agreement (ESA) running through 2037, NCM will continue to automatically welcome any new or acquired theaters of the now larger AMC chain into its network in the future.