Fremantle, Endemol and Lionsgate, Roadshow retains the retail distribution  rights for some of the world’s best TV programs. In the Digital market for film and TV content, strong growth was recorded  for the year and it now represents $153 million in sales for the total  Australian market, split fairly evenly between Electronic Sell Through and  Video on Demand. Roadshow’s Digital division now holds a 16% market  share in the movies category, which is the fastest growing segment when  compared to TV series and Kids titles. As a number of substantial new Digital services and platforms are expected  to launch in FY2015, Roadshow is in prime position to benefit and grow  in this vital new arena and remains pro-active in seeking new partners to  maintain this growth strategy. Roadshow’s Television division, which is a key supplier of movies to the free  to air networks (including digital multi-channels) and subscription television  networks, performed strongly throughout 30 June 2014 year, mainly driven  by the volume of programming delivered under our output arrangements  as well as positive changes in scheduling and additional library sales  to leading partners, Channel 9 and Foxtel. During the year, the division  renewed its free-to-air TV output contract with Channel 9 for a further four  years, ensuring a flow of volume titles and valuable revenue for Roadshow’s  film library. Village Roadshow Entertainment Group (“VREG”) consists of Village  Roadshow Pictures (“VRP”) and Village Roadshow Pictures Asia (“VRP Asia”). VRL holds 47.12% of VREG’s ordinary shares and also holds non-voting,  redeemable equity shares. VRL equity accounts its investment in VREG. Village Roadshow Pictures is one of the leading independent producers of Hollywood movies with 78 film releases to date generating over US$13.1 billion in worldwide box office revenues and 25 number one box  office openings to date. VRP co-produces and co-finances feature length  commercial motion pictures for theatrical exhibition around the world and  for subsequent worldwide release in all media, including DVD, Digital,  Free-to–Air and Pay television. VRP’s motion pictures are developed  and produced in partnership with major US motion picture studios,  predominantly Warner Bros. VRP has won 10 Academy Awards and 4  Golden Globe Awards for films including for The Great Gatsby, Training Day, Happy Feet and Mystic River.  VRP released three films in the second half of the 2014 financial year:  The LEGO Movie, breaking box office records, grossed US$469 million  worldwide, Winter’s Tale, starring Russell Crowe and Colin Farrell which  grossed US$31 million worldwide and Edge of Tomorrow, which has grossed  US$368 million to date. Tom Cruise’s star performance in Edge of Tomorrow  saw it enjoy global success, topping the box office in Russia, Korea and China  where there is massive demand for action and sci-fi genres. VRP’s objective is to release 6-8 films per year and this target is on track  with an increased number of movies slated for the next financial year. Together with co-producer Warner Bros., VRP will be releasing: In September 2014, VRP concluded an agreement with Sony  Pictures for The Equalizer and is negotiating to acquire  further films. VRP Asia released one film during the year, Man of Tai Chi,  in July 2013 which marked the directorial debut by Keanu  Reeves. VRP Asia is committed to building its Chinese film  business with upcoming releases Zhong Kui: Snow Girl  and The Dark Crystal, Mountain Cry and IPO. Produced  by Academy Award winning cinematographer, Peter Pau  (Crouching Tiger, Hidden Dragon), Zhong Kui is slated  for release in January 2015. The continued growth of the  Chinese film business will create a valuable portfolio of  films, ensuring that VRP Asia solidifies its film production  presence in this key region. No cash dividends were received from VREG in FY2014.  These dividends depend on film performance and available  free cash flow in VREG. The recently formed Digital division, consisting of Edge  Loyalty and MyFun, continues to exceed expectations,  showing strong organic and acquisitive growth through  the expansion of the business into new channels and  markets. Edge Loyalty comprises loyalty programs  and promotion activities with brands such as  Giftango, Gifte, Hollywood Movie Money, Gift Card  Planet and Good Food Gift Card whilst MyFun  is an online entertainment destination selling  experiences at over 200 attractions around  Australia. Edge Loyalty is the market leader in  gift cards, one the fastest growing  segments, having issued over  700,000 new gift cards for some  • Into the Storm starring Richard Armitage, directed by Steven Quale  (released in August 2014); • The Judge starring Robert Downey Jr and Robert Duvall, directed by  David Dobkin; • American Sniper starring Bradley Cooper and Sienna Miller,  directed by Clint Eastwood; • Jupiter Ascending starring Channing Tatum and Mila  Kunis, directed by the Wachowskis; • In the Heart of the Sea starring Chris Hemsworth,  directed by Ron Howard; • Mad Max: Fury Road starring Tom Hardy and  Charlize Theron, directed by George Miller; and • San Andreas starring Dwayne Johnson and  Carla Gugino, directed by Brad Peyton. CLOSE FILE X 07 ANNUAL REPORT 2014 IMAGES:  Gravity (top); Edge of Tomorrow CORPORATE AND DIGITAL FILM PRODUCTION