Hollywood Software Inks License Agreement For TDS2000 With Lions Gate at ShoWest.

Entertainment Editors

ShoWest 2000, Booth No. 6013, Pacific Room

LAS VEGAS--(ENTERTAINMENT WIRE)--March 8, 2000

Lions Gate Joins Growing List of Theatrical Distributors, Including

Artisan Entertainment, Overseas Film Group, Paramount Pictures,

Trimark Pictures, 20th Century Fox and Universal Studios,

Already Using Hollywood Software's Theatrical Distribution System

Hollywood Software Inc. today announced that Lions Gate Entertainment Corp. (AMEX:LGF) (TSE:LGF) will license Hollywood Software's theatrical distribution system, TDS2000.

Under the agreement, Hollywood Software will install TDS2000 in Lions Gate's Los Angeles distribution headquarters. All Lions Gate's North American sales offices will also utilize TDS2000, via remote access.

TDS2000 will be used by Lions Gate's entire North American theatrical distribution operation, and will provide a foundation for the studio to manage the distribution process during a period of planned aggressive growth.

"I'm looking forward to our relationship with Hollywood Software," said Tom Ortenberg, co-president of Lions Gate Film Releasing. "We expect our film-release schedule to expand greatly, with as many as 15 films scheduled for release before the end of this year.

"TDS2000 will definitely be an asset in helping us manage the increased release schedule and expanded activity associated with high-profile movies such as `American Psycho' and `The Big Kahuna,' which are scheduled for release in April. It's good to know that we'll be able to scale TDS2000 up as our distribution needs grow."

Tiy Bowton, vice president, theatrical distribution systems, for Hollywood Software, said: "Lions Gate is experiencing rapid growth and needs systems to manage the activity related to that growth. Lions Gate's perspective as an innovative, independent studio will be valuable to us in our efforts to maintain TDS' position as the industry standard for theatrical distribution."

"The system's scalable platform and the fact that it operates in a distributed environment were significant factors that contributed to Lions Gate's decision to use TDS2000," offered Octavian Mitrea, director of information technology for Lions Gate. "I have great expectations from Hollywood Software in assisting us with the implementation process, another crucial factor for the success of deploying a system like TDS2000 at Lions Gate."

David Gajda, chief executive officer of Hollywood Software, indicated: "This new license agreement further strengthens our company's position as the market leader in theatrical distribution systems. We're very pleased to welcome Lions Gate to our family of TDS2000 users, and we're looking forward to announcing additional new users in the near future."

Gajda continued: "We expect to announce two new contracts for an ASP (application service provider) version of TDS2000 within the next several weeks. Additionally, we are expecting to launch an international version of the product within the year."

About Lions Gate

Lions Gate Entertainment develops, produces and distributes a targeted range of film and television content. Via four operating divisions -- Motion Pictures, Television, Animation, and Studio Facilities -- the distinctive Lions Gate brand is recognized as a symbol of quality entertainment throughout North America and around the world.

About Hollywood Software

Hollywood Software specializes in business and strategic applications for the entertainment industry. The company's management team has extensive experience in management consulting, systems development and strategic planning for the entertainment industry.

The company's premier product, TDS2000, is the only vendor- supported fully integrated client-server theatrical distribution system containing all key elements to manage film distribution. Early adopters of TDS included such luminaries as 20th Century Fox, Paramount Pictures, Universal Studios, Artisan Entertainment, Trimark Pictures and First Look Pictures.

In addition to booking, TDS2000 includes features that manage print counts and shipping, billing, settlements, cash receipts, box office, statements and reporting. TDS2000 is fully scalable from single user to several hundred users to meet the needs of both major and independent content producers. The system interfaces with internal systems and external entities, such as Technicolor and ETS for print distribution, and EDI for theater gross information.

Hollywood Software showcased its second product, RightsMart.com, at AFM in February. RightsMart.com is a powerful, proactive tool that facilitates the acquisition and distribution of global medial rights over the Internet. Operating seven days a week, 24 hours a day, in five languages, RightsMart.com is positioned to become the leading global Virtual Film Market.

RightsMart.com provides buyers with the ability to search online for available features, shorts, direct-to-video products, TV movies, episodic series and specials. Trailers, promos and one-sheets can all be viewed online. Buyers can set up searches that run automatically to send notification of new products and availability that meet their predefined criteria. Sellers can list products and define the media, territories, languages and terms when these products are available.

The company will also introduce RMS2000 by the end of calendar 2000. RMS2000 will handle traditional rights-licensing business requirements, such as legal-rights management, contract administration, subdistribution reporting, accounts receivable, revenue recognition and other functions associated with rights ownership, distribution and licensing.

In addition, new digital requirements such as embedded e-commerce and micro-cent transaction capability will be fully integrated.

TDS2000, RightsMart.com and RMS2000 are components of Hollywood Software's Digital Studio System (DSS), a fully integrated suite of applications that is being developed by Hollywood Software to strategically position and leverage content in the emerging digital world.

RightsMart.com and RMS2000 will be added to the company's already-successful TDS2000 product to add two more pieces to the DSS architecture. Look for other pieces of the architecture to be announced later this year.

For additional information, contact Hollywood Software Inc., 1604 N. Cahuenga Blvd., Suite 115, Hollywood, Calif. 90028; telephone [phone]; fax [phone]; e-mail [e-mail] or [e-mail]; Web site www.hollywoodsoftware.com.

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