Alpha Spacecom (ASPC.OB) says the State Administration of Radio, Film and Television ("SARFT") has approved the application for the formation of the Joint Venture between China Film Group ("CFG") and Alpha Spacecom, Inc. ("Alpha"), to be known as Digital Cinema Reconstruction Corporation.
Fung T. Sien, Alpha Spacecom's Chairman, said, "This is a bold move by the PRC to deliver state-of-the-art film entertainment to China's vast and growing leisure/entertainment society. Another important benefit is that the digital process promotes international intellectual property rights protections as set forth in China's accession to the WTO and allows exhibitors to control admissions and costs accounting electronically, thus supporting permanent normal trade relations with China."
"The completed JV will be capitalized at $30 million US," Sien noted, "we at Alpha are adding financial experts, communications specialists, content producers, technical specialists, and support staff for our workforce to service our consumers and to satisfy the demands of our governmental and non- governmental contracts."
According to China Digital Film Company, China will overtake the United States in the number of digital theatres by the end of 2005, with more than 150 digital cinemas in China projected. The number of digital cinemas in the country is expected to reach 1,000 within a few years.