Lions Gate Entertainment Announces That It Does Not Intend to Make an Offer for HIT Entertainment PLC

Lions Gate Entertainment Announces That It Does Not Intend to Make an Offer for HIT Entertainment PLC

SANTA MONICA, Calif. and NORTH VANCOUVER, British Columbia, May 5 /PRNewswire-FirstCall/ -- Lions Gate Entertainment (NYSE:LGF) Toronto announced today that, after completing its review of due diligence materials requested from HIT Entertainment PLC on April 4, 2005, it does not intend to make an offer for the company.

"After our review of due diligence materials, we have determined that although HIT would be a potentially strong strategic fit, a Lions Gate/HIT transaction does not create the level of additional shareholder value that would be a prerequisite for moving forward," said Lions Gate Chief Executive Officer Jon Feltheimer.

Lions Gate senior management reaffirmed the Company's commitment to continued organic growth of its core businesses, accretive and strategic acquisitions, and expansion into complementary businesses that leverage its key strengths.

Lions Gate is the premier independent producer and distributor of motion picture, television, home entertainment, family entertainment and video-on- demand content. Its prestigious and prolific library of approximately 8000 titles is one of the largest in the entertainment industry. The Lions Gate brand name is synonymous with original, daring, quality product in markets around the globe.

www.lgf.com

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 relating to possible acquisitions and other matters as set forth in Lions Gate's 8-K filed with the Securities and Exchange Commission on March 8, 2005. 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, please contact:

In The U.S.

Peter D. Wilkes George Sard or Stephanie Pillersdorf Lions Gate Entertainment Citigate Sard Verbinnen 310-255-3726 212-687-8080 pwilkes@lgf.comgsard@sardverb.com or sp@sardverb.com

In The U.K.

Anthony Carlisle 44 207 282 2884 anthony.carlisle@citigatedr.co.uk or Laure Lagrange 44 207 282 8001 laure.lagrange@citigatedr.co.uk Citigate Dewe Rogerson

Source: Lions Gate Entertainment

CONTACT: U.S., Peter D. Wilkes of Lions Gate Entertainment, +1-310-255-3726, pwilkes@lgf.com; or George Sard, gsard@sardverb.com, or Stephanie Pillersdorf, sp@sardverb.com, both of Citigate Sard Verbinnen, +1-212-687-8080, for Lions Gate Entertainment; or U.K., Anthony Carlisle, +44 207 282 2884, anthony.carlisle@citigatedr.co.uk, or Laure Lagrange, +44 207 282 8001, laure.lagrange@citigatedr.co.uk, both of Citigate Dewe Rogerson, for Lions Gate Entertainment

Web site: http://www.lgf.com/

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