Exhibit 99.1
IMAGE ENTERTAINMENT
PROVIDES MERGER UPDATE; ANNOUNCES
RECEIPT OF $2 MILLION DEPOSIT FROM BTP ACQUISITION COMPANY
AND EXECUTION OF A MULTI-YEAR FEATURE FILM DISTRIBUTION
AGREEMENT WITH CT1 HOLDINGS
CHATSWORTH, Calif.
— December 10, 2007 - Image Entertainment, Inc.
(NASDAQ: DISK), a leading independent licensee, producer and
distributor of home entertainment programming in North America,
announced today that the outside closing date for the acquisition
of Image by BTP Acquisition Company, LLC, an affiliate of David
Bergstein, has been extended by Image’s Board of Directors to
January 14, 2008, although the parties continue to work to
close the transaction prior to the end of 2007.
In connection with the
extension, Image received from BTP a $2 million deposit that
will be held in a trust account and credited against the purchase
price at closing. Also in connection with the extension, Image has
entered into a multi-year feature film distribution agreement with
CT1 Holdings, LLC, an affiliate of David Bergstein and the parent
company of THINKFilm and Capitol Films. The distribution agreement
covers various new film productions and existing film libraries
controlled by CT1.
Martin W. Greenwald, Chief
Executive Officer of Image stated: “All parties continue to
work diligently to close this transaction. We take comfort in
BTP’s $2 million deposit and the execution of a
multi-year distribution agreement with CT1 Holdings. Together they
represent a significant commitment by BTP and CT1 and a very
important step forward. The distribution agreement in particular
represents a large source of potential revenue for
Image.”
Mr. Greenwald
concluded, “While it is taking longer to close this
transaction than we had anticipated, we firmly believe it is in the
best interests of our stockholders to consummate this
transaction.”
About Image
Entertainment:
Image Entertainment, Inc. is a leading independent licensee,
producer and distributor of home entertainment programming in North
America, with approximately 3,000 exclusive DVD titles and
approximately 250 exclusive CD titles in domestic release and
approximately 450 programs internationally via sublicense
agreements. For many of its titles, the Company has exclusive
aud
