Regal Entertainment Group Completes Acquisition of Signature Theatres in California and
Knoxville, Tennessee - October 1, 2004 -- Regal Entertainment Group (NYSE: RGC), a leading motion picture exhibitor owning and operating the largest theatre circuit in the world under the Regal Cinemas, United Artists Theatres and Edwards Theatres brands, today announced that it has completed the acquisition of Signature Theatres in California and Hawaii.
Regal acquired a total of 30 Signature theatres representing 309 screens in exchange for approximately $200 million in cash. The acquisition enhances Regal's presence in California and provides Regal with representation in Hawaii. The Company expects to complete the integration of Signature by the end of the fiscal fourth quarter of 2004.
"We expect the acquired Signature theatres will be accretive to cash flows and earnings and are pleased to announce an acquisition of high quality assets that further demonstrates our ability to execute Regal's business strategy," stated Mike Campbell, CEO of Regal Entertainment Group's theatre operations and Co-CEO of Regal Entertainment Group.
This press release includes "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements included herein, other than statements of historical fact, may constitute forward-looking statements. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to be correct. Important factors that could cause actual results to differ materially from the Company's expectations are disclosed in the risk factors contained in the Company's 2003 Annual Report on Form 10-K filed with the Securities and Exchange Commission on March 16, 2004. All forward-looking statements are expressly qualified in their entirety by such factors.
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 6,053 screens in 544 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. We believe that the size, reach and quality of the Company's theatre circuit not only provide its 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.
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 live sports and entertainment events, as well as the sale of group tickets and gift certificates.
Additional information is available on the Company's Web site at www.REGmovies.com or www.regalcinemedia.com
Don De Laria
Regal Entertainment Group
Vice President - Investor Relations
Regal Entertainment Group
Senior Vice President - Marketing