Charlotte, NC – April 27, 2022 – Strong Technical Services “(STS”), a wholly-owned subsidiary of Ballantyne Strong, Inc. (NYSE American: BTN) (“Ballantyne” or the “Company”), today announced its partnership with GDC Technology Limited (“GDC”) for the deployment of digital cinema servers to Caribbean Cinemas (“Caribbean”), owner and operator of 583 screens in the Caribbean Islands, Central and South America. The four-year agreement involves the full replacement of legacy media servers with the new “Flagship” GDC SR-1000 Standalone Integrated Media Block™ with diskless CineCache™ at all of Caribbean Cinemas’ existing sites and new construction projects. STS will assist the deployment and also provide remote technical services for the duration of the agreement.
“Caribbean Cinemas has always strived to offer moviegoers outstanding customer services, value and enjoyment based on their continuous upgrading as new technologies become available,” said Ray Boegner, President of Strong Entertainment at Ballantyne Strong. “This agreement is an example of the Caribbean’s core philosophy of leading and staying at the forefront of technology as it changes and evolves. My hat goes off to Robert and Caribbean for their leadership.”
“At Caribbean Cinemas, we base our partnerships on trust and reliable performance of a company’s products. We firmly believe GDC is one of the most trusted names in the cinema industry with very reliable products,” said Robert Carrady, President of Caribbean Cinemas. “Extending our relationship was based upon our experience with GDC and Strong. Both have exceptional post-sales support, a history of innovations and a passion to continually improve the moviegoing experience for our guests.”
“We are delighted to continue our long-term partnership with Caribbean Cinemas,” said Annie Wang, President of GDC Technology (USA) LLC. “We have had the pleasure of their partnership over the past 12 years now and that relationship will continue to grow as they continue to provide their customers with the best, state of the art presentation for years to come in the cinema markets they serve now and in the future.”
About Ballantyne Strong, Inc. and Strong Technical Services, Inc.
Ballantyne Strong, Inc. is a diversified holding company with operations and investments across a broad range of industries. The Company’s Strong Entertainment business unit includes STRONG/MDI Screen Systems (www.strongmdi.com), the leading premium screen and projection coatings supplier in the world and Strong Technical Services (www.strong-tech.com), which provides comprehensive managed service offerings with 24/7/365 support nationwide to ensure solution uptime and availability. Ballantyne Strong also holds stakes in GreenFirst Forest Products Inc., Firefly, Inc, and FG Financial Group, Inc.
About GDC Technology Limited
GDC Technology Limited (‘GDC’) is a leading digital cinema solutions provider with its manufacturing facility certified with ISO 9001:2015 by SGS. GDC develops, manufactures, and sells cinema projector, media server for both projector and LED cinema display, content storage system, cinema enterprise software including theatre management system and advanced cinema automation system for the global cinema industry. GDC is a licensee of the DTS:XTM object-based immersive sound technology from DTS, Inc. for the development of its media servers. In addition, GDC also provides a suite of digital cinema products and services, including LED cinema, 3D product, audio equipment, projector lamp, silver screen, post-production service, Electronic Delivery System (EDS).
In addition to the historical information included herein, this press release includes forward-looking statements, such as management’s expectations regarding its portfolio companies, the Company’s intent to pursue an initial public offering and separate listing of its Entertainment business, as well as future sales, the impact, length and severity of the COVID-19 pandemic, general economic recovery from the effects of the COVID-19 pandemic, and the adequacy of the actions taken in response to the pandemic, which involve a number of risks and uncertainties, including but not limited to those discussed in the “Risk Factors” section contained in Item 1A in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 filed with the SEC on March 24, 2022, and the following risks and uncertainties: the negative impact that the COVID-19 pandemic has already had, and may continue to have, on the Company’s business and financial condition; the impact on the global economy and supply chains of the ongoing military conflict in Ukraine and the sanctions related thereto; the Company’s ability to maintain and expand its revenue streams to compensate for the lower demand for the Company’s digital cinema products and installation services; potential interruptions of supplier relationships or higher prices charged by suppliers; the Company’s ability to successfully compete and introduce enhancements and new features that achieve market acceptance and that keep pace with technological developments; the Company’s ability to successfully execute its capital allocation strategy or achieve the returns it expects from these investments; the Company’s ability to maintain its brand and reputation and retain or replace its significant customers; challenges associated with the Company’s long sales cycles; the impact of a challenging global economic environment or a downturn in the markets (such as the current economic disruption and market volatility generated by the ongoing COVID-19 pandemic and ongoing military conflict in Ukraine and related sanctions); economic and political risks of selling products in foreign countries (including tariffs); risks of non-compliance with U.S. and foreign laws and regulations, potential sales tax collections and claims for uncollected amounts; cybersecurity risks and risks of damage and interruptions of information technology systems; the Company’s ability to retain key members of management and successfully integrate new executives; the Company’s ability to complete acquisitions, strategic investments, entry into new lines of business, divestitures, mergers or other transactions on acceptable terms, or at all; the impact of the COVID-19 pandemic on the Company’s portfolio companies; the Company’s ability to utilize or assert its intellectual property rights, the impact of natural disasters and other catastrophic events (such as the ongoing COVID-19 pandemic and ongoing military conflict in Ukraine and related sanctions); the adequacy of insurance; the impact of having a controlling stockholder and vulnerability to fluctuation in the Company’s stock price. Given the risks and uncertainties, readers should not place undue reliance on any forward-looking statement and should recognize that the statements are predictions of future results which may not occur as anticipated. Many of the risks listed above have been, and may further be, exacerbated by the ongoing COVID-19 pandemic, its impact on the cinema and entertainment industry, and the worsening economic environment. Actual results could differ materially from those anticipated in the forward-looking statements and from historical results, due to the risks and uncertainties described herein, as well as others not now anticipated. New risk factors emerge from time to time and it is not possible for management to predict all such risk factors, nor can it assess the impact of all such factors on the Company’s business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. Except where required by law, the Company assumes no obligation to update, withdraw or revise any forward-looking statements to reflect actual results or changes in factors or assumptions affecting such forward-looking statements.
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