Sony Digital Cinema has  now agreed a “Free Rider Agreement” with the First Party GmbH – a group that is  made up of independent distributors who have collectively negotiated.
 
  The agreement helps the First Party group  members shoulder the costs incurred when switching to digital technology. The  flexible and affordable VPF program (Virtual Print Fee) from Sony reduces the  investment costs significantly.
 

   The First Party GmbH is formed by 45 national  film distributors, including the Central Film Distribution GmbH, Concorde Film  Distribution GmbH, Constantin Film Distribution GmbH, Senator Film Distribution  GmbH, Tobis Film GmbH and Universum Film GmbH. Thus Sony Digital Cinema cooperates  in Germany with a total of 56 national film distributors – divided in 45  distributors represented under the Free Rider Agreement, 6 VPF contracts with the  six major film studios in Hollywood and 5 direct VPF contracts with smaller  distributors outside the First Party group.           

    Until now, cinema operators have had to bear  100% of the digital equipment investment cost, while the film distributors have  benefited from low-cost digital distribution. Now, the 56 studios contribute to  the digitization of cinemas, while Sony provides the equipment at a discounted  price. Through this close cooperation Sony subsidises the costs, reduces the  amount of required capital and simplifies the cashflow process.

  Sony Digital Cinema offers cinema operators a VPF  solution completely tailored to their cinema with the matching Sony 4K  projectors, an extensive theater management system including a central  repository, a 10-year warranty and complete service. In addition, Sony also  allows for funding of the theater portion.

   Stefan Zingel, Digital Cinema Solutions Account  Manager D-A-CH, said: "Sony Digital Cinema is thrilled about the agreement  with First Party GmbH. We are now able to offer cinema operators reduced rates  to the best cinema technology around, which results in cinema-goers getting the   best possible viewing experience. Cinema operators have the chance to join the  Sony Virtual Print Fee (VPF) program until the end of March 2014."