NEW YORK, Jul 12, 2004 (BUSINESS WIRE) -- Regal CineMedia
Corporation(SM) ("RCM"), the media subsidiary of Regal Entertainment
Group ("REG", NYSE:RGC), the largest theatre operator in the world,
and 360 Youth, the youth media and marketing unit of leading media,
marketing services, direct marketing and retail company, Alloy, Inc.
(NASDAQ:ALOY), today entered into a joint venture to establish a
multi-faceted, targeted marketing channel throughout REG's theatre
circuit. The announcement was made today by Cliff Marks, President,
Marketing and Sales, Regal CineMedia, and Matt Diamond, CEO and
Co-founder of Alloy, Inc.
Under the terms of the agreement, Alloy's 360 Youth will deploy
custom interactive kiosks, restroom media panels, and backlit poster
cases in REG theatres, comprising Regal Cinemas, United Artists
Theatres and Edwards Theatres nationwide, with a rollout beginning
immediately during the summer movie season. The custom-built
interactive kiosks with electronic 42" plasma screens connected to the
RCM Digital Content Network ("DCN") and 150 backlit advertising panels
will initially be deployed in 50 theatre lobbies in the top-25 DMAs.
An additional 550 backlit advertising panels in 150 theatres and more
than 2,600 restroom panels in 545 theatres, round out this new
national media network. In addition, the partnership allows for more
promotional marketing opportunities including event marketing and
sampling programs.
"This new, first-of-its-kind theatre-based marketing network gives
major advertisers something rare in today's cluttered media
environment: a clean, multi-faceted channel to an active, aware,
attentive and well-understood customer base," said Marks. "The
marketing environment extends from the door, throughout the lobby, the
most-trafficked areas in the theatre, and on to the big screen. We now
have the tools to provide a much more immersive and integrated product
to our marketing partners."
The companies will work closely to establish the channel,
collaborating to develop a suite of flexible and sophisticated
marketing programs that draw on REG's geographic reach and targeting
capabilities and Alloy's youth and out-of-home marketing expertise.
Alloy's 360 Youth will assume field operations and take the lead sales
and marketing role.
The venture is a partnership between industry leaders. REG
operates the largest and most geographically diverse theatre circuit
in the United States, consisting of 545 theatres reaching 6,020
screens in 39 states. 360 Youth's existing proprietary location media
assets include the nation's only in-school and on-campus advertising
network, reaching 20,000,000 students annually, with over 75,000
displays across elementary, middle school, high school and college
campuses nationwide. The recent acquisition of InSite, the largest
indoor media company, expands Alloy's reach with over 13,000 targeted
displays across 3,000 restaurants, clubs and bars nationwide. The REG
theatre network extends Alloy's reach to over 300,000,000 annual
theatergoers, and marks further expansion for Alloy from its youth
market foundation, into the young adult market.
"Alloy's 360 Youth brings a wealth of expertise in the out-of-home
arena and is a natural partner to introduce this new platform," Marks
said. "They own substantial media assets and robust research
capabilities that complement our core customer markets and existing
sales and marketing resources. After surveying the field, it became
obvious that Alloy was the best fit."
"The youth market is clearly a strong segment of the theatre going
audience," commented Diamond. "Our studies show that college students
and teens spend billions on movie tickets annually, and go to the
theatre on a regular basis. Based on that crossover, the world's
largest theatre circuit is the perfect platform for Alloy to continue
its expansion to new markets. We are thrilled and proud to be working
with Regal, an innovator and undisputed leader in its class."
About Alloy Inc.
Alloy, Inc. (Nasdaq:ALOY) is a media, marketing services, direct
marketing and retail company targeting Generation Y, a key demographic
segment comprising the more than 60 million boys and girls in the
United States between the ages of 10 and 24. Alloy's convergent media
model uses a wide range of media assets to reach more than 25 million
Generation Y consumers each month. Through Alloy's 360 Youth media and
marketing services unit, marketers can connect with the Generation Y
audience through a host of advertising and marketing programs
incorporating Alloy's media and marketing assets such as direct mail
catalogs, college and high school newspapers, Web sites, school-based
media boards, and college guides. Alloy's promotional marketing arm,
AMP Agency, is a lifestyle marketer offering creative thinking for
consumer brands through custom marketing solutions both on and
off-line, and specializing in mobile tours, events and grassroots
marketing. AMP was named 2004 "Agency of the Year" by PROMO Magazine.
Alloy generates revenue from its broad reach in the Generation Y
Community by providing marketers advertising and marketing services
through 360 Youth and AMP Agency and by selling apparel, accessories,
footwear, room furnishings and action sports equipment directly to the
youth market through catalogs, Web sites and retail stores. For
further information regarding Alloy, please visit our Web site
(www.alloyinc.com) and click on "Investor Relations". Please visit
www.360youth.com and www.ampagency.com for further information on our
media, marketing & promotional services.
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.
SOURCE: Alloy, Inc.
360 Youth, an Alloy, Inc. Co.
Jodi Smith, 212-329-8359
jodis@alloy.com
or
Regal CineMedia Corporation
Lauren Leff, 212-931-8107
lauren.leff@regalcinemedia.com
