BURBANK, Calif., April 19 /PRNewswire-FirstCall/ -- Point.360 (Nasdaq: PTSX), a leading provider of integrated media management services, today announced that its first Movie>Q store location grand opening occurred on April 10, 2010. This is the first store of the previously announced project to evaluate the Company's entry into the distribution of Blu-ray and other DVDs and video games directly to consumers.
Haig S. Bagerdjian, the Company's Chairman, President and Chief Executive Officer said: "The Movie>Q concept was conceived to test the viability of the market being created by the closure of thousands of Blockbuster and Hollywood Video stores. Six months ago, we committed up to $2 million to the project.
"On April 10, 2010, the grand opening of our first store in Westminster, CA was held a week after we opened the doors. The number of transactions and revenues have exceeded our expectations for this stage of the store's development. The next two stores are expected to open within 30 days in Costa Mesa and La Mirada, CA."
Mr. Bagerdjian continued: "The Movie>Q store is managed by our proprietary automated inventory management system ("AIM") which accepts orders, retrieves and dispenses inventory to the customer. Each 50 to 55-foot long system will house up to 15,000 units and is accessible through eight customer interface centers (terminals). The AIM system can support up to 15,000 individual DVDs, games and CDs. The 1,000-1,500 square foot stores provide the same rental or purchasing experience found in Blockbuster and Hollywood Video stores at a fraction of the personnel and space costs. The AIM system is fully integrated to our www.movieq.com website that allows the customer to browse and reserve inventory for later pick-up at a specified Movie>Q store."Mr. Bagerdjian concluded: "We will update the project status at our May 13, 2010 quarterly shareholders conference call." About Point.360 Point.360 (PTSX) is a value add service organization specializing in content creation, manipulation and distribution processes integrating complex technologies to solve problems in the life cycle of Rich Media. With seven locations in greater Los Angeles and New York, Point.360 performs high and standard definition audio and video post production, creates virtual effects and archives and distributes physical and electronic Rich Media content worldwide, serving studios, independent producers, advertising agencies, corporations, non-profit organizations and governmental agencies. Point.360 provides the services necessary to edit, master, reformat and archive clients' audio and video content, including television programming, feature films and movie trailers. Point.360's interconnected facilities provide service coverage to all major U.S. media centers. Forward-looking Statements Certain statements in Point.360 press releases may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements include, without limitation (i) statements concerning the Company's projected revenues, earnings, cash flow and EBITDA; (ii) statements of the Company's management relating to the planned focus on internal growth and acquisitions; (iii) statements concerning reduction of facilities and actions to streamline operations; (iv) statements on actions being taken to reduce costs and improve customer service and (v) statements regarding new businesses such as Movie>Q and new acquisitions. Please also refer to the risk factors described in the Company's SEC filings, including its annual reports on Form 10-K. Such statements are inherently subject to known and unknown risks, uncertainties and other factors that may cause actual results, performance or achievements of the Company to be materially different from those expected or anticipated in the forward-looking statements. In addition to the factors described in the Company's SEC filings, the following factors, among others, could cause actual results to differ materially from those expressed herein: (a) lower than expected net sales, operating income and earnings; (b) less than expected growth; (c) actions of competitors including business combinations, technological breakthroughs, new product offerings and marketing promotional successes; (d) the risk that anticipated new business may not occur or be delayed; (e) the risk of inefficiencies that could arise due to top level management changes and (f) general economic and political conditions that adversely impact the Company's customers' willingness or ability to purchase or pay for services from the Company. The Company has no responsibility to update forward-looking statements contained herein to reflect events or circumstances occurring after the date of this release. SOURCE Point.360