A new Cinema City multiplex to be run in Romania - execution of the lease agreement
The Board of Managing Directors of Cinema City International N.V. (the "Company") informs that on 17 August 2007 Cinema City Romania S.R.L, a wholly-owned subsidiary of the Company incorporated and existing under the laws of Romania, executed the lease agreement with Retail Development Invest 1 S.R.L, a company incorporated and existing under the laws of Romania.
In accordance with the above-mentioned lease agreement Cinema City Romania S.R.L will lease area in the Gold Plaza constructed by Retail Development Invest 1 S.R.L in Baia Mare, a city of 150 thousand habitants. The area will be used by the Company to operate the multiplex cinema as specified below:
|No.||City||Leased area (ca. in sqm)||Number of screens||Number of seats||Expected opening date|
|1.||Baia Mare||2,309||approx 8||approx 1,800||4th quarter 2008|
The lease agreement has been concluded for ten years with three options of extending a lease term, each time for another five years, and contains standard provisions, typical for agreements of such kind. The Company will be required to pay a monthly rent on a market standards consisting of a fixed rent calculated on the basis of the leased area and the management fee for the benefit of the management company of each shopping mall.
The CC multiplex in Gold Plaza is the 11th project of the Company in Romania and Baia Mare is the 8th city in the country, where Cinema City plans to open its multiplex.
Legal grounds: Art. 56.1.1 of the Act of 29 July 2005 on public offering and conditions governing the introduction of financial instruments to trading in the organized trading system and on public companies.
Signatures of persons authorised to represent the Company Mr. Israel Greidinger - proxy