Cinedigm Reports on the State of Digital Cinema

MORRISTOWN, NJ — (Marketwire) — 12/17/09 — Cinedigm Digital Cinema Corp. (NASDAQ: CIDM) today issued an update on the state of digital cinema in the United States. In 2008 and 2009, the digital transition — defined as the industry’s conversion from analog to digital technology — was slowed, largely due to the lack of necessary financing. That trend shows signs of reversing; financing is now available and industry-wide momentum has returned. Hollywood movie studios have embraced digital cinema, both from a financing and a creative perspective. These factors, coupled with the growing slate of popular and successful 3D movies from all the Hollywood studios, including James Cameron’s “Avatar” on December 18, suggest that 2010 will be a watershed year for digital cinema.