Lionsgate and Societe generale de financement du Quebec Announce Filmed Entertainment Financing Deal For Production In Quebec

    SGF To Contribute Up To $140 Million (U.S.) Out Of Up To $400 Million
    (U.S.) Television And Motion Picture Financing Slate Over Next Four Years

    Next Punisher Film Set For Production In Montreal In October Under New

    SANTA MONICA, Calif., VANCOUVER, British Columbia, and MONTREAL, Aug., 1
/CNW/ -- As part of the continued growth of its television and motion picture
production businesses, Lionsgate (NYSE:   LGF), the leading independent filmed
entertainment studio, today announced a four-year, $400 million filmed
entertainment slate financing agreement with Societe generale de financement
du Quebec (SGF), the provincial government's investment arm that has a $2
billion investment portfolio.  As part of its continued effort to promote
production of foreign films and television series in Quebec, SGF will finance
up to 35% of production costs of television and feature film productions shot
in Quebec for a four-year period for an aggregate investment of up to $140
million.  The transaction will encompass a broad range of future Lionsgate
television and feature film productions in the Province of Quebec, including
the planned October 2007 production of Lionsgate's next Punisher film,
starring Ray Stevenson (from HBO's hit series Rome) and directed by Oscar (R)
nominee Lexi Alexander.
    "We are delighted to partner with SGF in the financing of our growth,"
said Lionsgate Co-Chairman and Chief Executive Officer Jon Feltheimer.  "This
transaction reflects our commitment to form innovative and cost-effective
alliances to continue expanding our television and motion picture production."
    "SGF is pleased to participate with Lionsgate in this exciting venture
which will have a significant impact on Quebec's filmed entertainment
industry," said SGF's Chairman of the Board, President and General Manager,
Pierre Shedleur. "We anticipate the creation of more than 6,700 full-time
equivalent jobs, generating total wages of $270 million".
    Minister of Economic Development, Innovation and Export Trade, Raymond
Bachand, saluted this key investment. "This investment will be highly
beneficial for Quebec's filmed entertainment industry. Foreign productions are
vital for the growth of this sector and for the continued development of the
industry's workforce in Quebec."
    Lionsgate noted that the agreement maintains its historic commitment to
major production initiatives in Canada.  Under the arrangement, SGF will
finance up to 35% of the budgeted costs of television and feature film
productions shot in Quebec.  The announcement follows Lionsgate's May 2007
formation of a $400 million, 23-picture theatrical slate financing agreement
led by Goldman, Sachs & Co., JP Morgan Chase and Jefferies & Co. as well as
SGF's investment in the $212,5 million financing of Joel Silver's Dark Castle
slate in 2006.
    On the Lionsgate side, the deal was orchestrated by Lionsgate General
Counsel and EVP Corporate Operations Wayne Levin, EVP Structured Finance Mark
Manuel, and the law firms Heenan Blaikie LLP and O'Melveny & Myers LLP.  The
deal was referred to Lionsgate through John Burke of the law and lobbying firm
Akin Gump Strauss Hauer & Feld LLP.
    On the SGF side, the deal was driven by SGF's Legal Counsel Donna
Benedek, and Senior Vice-President, Investments Support and Management, Yves
Bourque. Joey Mastrogiuseppe of the law firm Fraser Milner Casgrain, LLP and
Kaye Scholer, LLP advised SGF.
    Lionsgate is the leading independent filmed entertainment studio, winning
the 2006 Best Picture Academy Award (R) for Crash, and the Company is a
premier producer and distributor of motion pictures, home entertainment,
family entertainment, television programming and video-on-demand content. Its
prestigious and prolific library of more than 11,000 motion picture titles and
television episodes is a valuable source of recurring revenue and a foundation
for the growth of the Company's core businesses. The Lionsgate brand is
synonymous with original, daring, quality entertainment in markets around the
    Societe generale de financement du Quebec (, an
industrial and financial holding company, has a mission to carry out economic
development projects, with emphasis on the industrial sector, in co-operation
with partners and on standard profitability conditions, in accordance with the
economic development policy of the Quebec government.

    For further information, please contact:

     Peter D. Wilkes
     Senior Vice President Investor Relations & Executive Communications

     Kelli Easterling
     Coordinator, Investor Relations

     Marie-Claude Lemieux
     Senior Adviser
     Communications and Media Relations
     Societe generale de financement du Quebec
     (514) 876-9368
    The matters discussed in this press release include forward-looking
statements. Such statements are subject to a number of risks and
uncertainties. Actual results in the future could differ materially and
adversely from those described in the forward-looking statements as a result
of various important factors, including risk factors as set forth in
Lionsgate's 10-K filed with the Securities and Exchange Commission on May 30,
2007. The Company undertakes no obligation to publicly release the result of
any revisions to these forward-looking statements that may be made to reflect
any future events or circumstances.

For further information:

For further information: Peter D. Wilkes, Senior Vice President Investor
 Relations & Executive Communications, +1-310-255-3726,,
 and Kelli Easterling, Coordinator, Investor Relations, +1-310-255-4929,, both of Lionsgate or Marie-Claude Lemieux, Senior 
Adviser, Communications and Media Relations of Societe generale de financement
 du Quebec, +1-514-876-9368, Web Site:        

Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890