For Immediate Release: August 12, 2009
Oakbrook Terrace, Ill. – Redbox Automated Retail, LLC, filed suit in Delaware Federal Court against 20th Century Fox on Tuesday, August 11, 2009, to protect consumers’ rights to access new release DVDs. Redbox filed the action in response to new distribution terms proposed by 20th Century Fox that would prohibit redbox from providing consumers access to 20th Century Fox DVDs until at least 30 days after public release.
“Redbox’s cornerstone principles include providing customers with a convenient way to rent new release DVDs at an affordable price,” said Mitch Lowe, president, redbox. “At the expense of consumers, 20th Century Fox is attempting to prohibit timely consumer access to its new release DVDs at redbox retail locations nationwide. Despite this attempt, redbox will continue to provide our consumers access to all major new releases including 20th Century Fox titles at our more than 15,000 redbox DVD rental locations.”
The lawsuit follows yesterday’s announcement by redbox that the Company has signed a multi-year distribution agreement with Lionsgate® expanding the depth and breadth of Lionsgate titles available at all redbox DVD rental locations nationwide including popular new release titles. Redbox signed a similar distribution agreement with Sony Pictures Home Entertainment (SPHE) in July, expanding the quantity of SPHE new release, direct-to-video and catalog titles available at all redbox locations. The agreements are a win for the studios, redbox and consumers providing consumers timely, convenient and affordable access to new release DVDs.
Redbox Automated Retail, LLC, a wholly-owned subsidiary of Coinstar, Inc. (NASDAQ: CSTR), offers new release DVD through its network of conveniently located, self-service kiosks. Redbox is available at more than 15,000 locations nationwide, including select McDonald’s restaurants, leading grocery and convenience stores, and Wal-Mart and Walgreens locations in select markets. For more information, visit www.redbox.com.