Dolby 3D Digital Cinema Expands Worldwide as Demand Grows for Digital 3D

Dolby Laboratories, Inc. (NYSE:DLB) announced today that shipments of Dolby® 3D Digital Cinema units have reached more than 500 in 24 countries since its market debut less than a year ago in October 2007. Dolby continues to add new 3D screens in North America and has emerged as a leading 3D solution in Europe and Asia.

“Dolby 3D has been recognized as the premium 3D digital cinema image presentation by the filmmaking industry — exhibitors and patrons alike. Theatres around the world are selecting our system to present the optimal viewing experience for digital 3D movies,” said John Carey, Vice President of Worldwide Sales, Products, and Services, Dolby Laboratories. “We are delighted with the success of Dolby 3D in regions such as China, Japan, and South America, as well as Eastern Europe. Our numbers continue to grow steadily in North America and we welcome the many new exhibitors around the world to the Dolby 3D family.”

“Hollywood Theaters prides itself on providing the best experience for our patrons and Dolby 3D is the premium viewing experience we were looking for in a 3D system,” said Clyde Cornell, Vice President and Chief Operating Officer, Hollywood Theaters. “Dolby has been a reliable and trusted brand in the cinema industry for over 35 years, which gives us confidence that they will provide us with the support we need in making the transition to 3D and digital cinema playback.”

Global Expansion

Dolby is a leading 3D provider in the global market. In Europe, the company has increased the total number of Dolby 3D system shipments to 280 in countries such as Germany, Italy, Poland, and Russia. Similarly, in Asia, Dolby has shipped approximately 100 Dolby 3D systems, leveraging its network and distribution outlets in the Far East. The anticipation of 3D movies to be released in Asia has led to a number of deals, including T-Joy of Japan and Gateway Cineplex in the Philippines, among others.

“Gateway Cineplex 10 is proud to be associated with Dolby Laboratories, the global leader in entertainment technology. We are also pleased to announce that Gateway Cineplex 10 is the first cinema in the Philippines to showcase both the Dolby Digital Cinema Server and Dolby 3D system,” said Manuel M. Atacador, Chief Operating Officer, Uniprom Inc. “Plus, with all 10 theatres equipped with the vaunted Dolby sound, Gateway Cineplex 10 promises to deliver only the premium cinema entertainment experience to moviegoers.”

Since its introduction in 2007, the number of Dolby 3D system installations in North America has grown to about 150. Dolby 3D has seen growth in key US markets in the west, mid-west, and southern regions, bringing Dolby 3D to large and independent chains including ArcLight Cinemas, Hollywood Theaters, Malco Theatres, Marcus Theatres, and Warren Theatres.

“Malco Theatres continues to be impressed with the quality and reliability of the Dolby 3D solution and due to the success we’ve experienced and the growing list of 3D content being developed, we have installed additional Dolby 3D systems,” said Mike Thomson, Vice President Operations and Technology, Malco Theatres. “As Dolby 3D is a huge draw for our audience, providing an unmatched 3D viewing experience, it’s no wonder that Dolby has seen such tremendous growth in such a short period of time.”

About Dolby 3D Digital Cinema

Dolby 3D Digital Cinema technology, in conjunction with digital cinema projectors featuring Texas Instruments Digital Light Processing™ (DLP) technology, provides exhibitors with an efficient and flexible solution designed to deliver a superior 3D experience. Dolby 3D utilizes standard white screens, so exhibitors don’t have the added cost or the quality compromise associated with the use of silver screens, delivering a consummate 3D experience from every seat in the house. Additionally, Dolby Laboratories provides cost-effective and environmentally friendly passive reusable 3D glasses. Dolby’s 3D solution uses a unique full-spectrum color-filter technology licensed from Infitec that provides realistic color reproduction and extremely sharp images.

About Dolby Laboratories

Dolby Laboratories (NYSE:DLB) is the global leader in technologies that are essential elements in the best entertainment experiences. Founded in 1965 and best known for high-quality audio and surround sound, Dolby innovations enrich entertainment at the movies, at home, or on the go. Visit www.dolby.com for more information.

Certain statements in this press release, including statements regarding the performance, features, reliability, and capabilities of Dolby 3D Digital Cinema; the potential benefits and cost savings that studios, exhibitors, and audiences may derive from Dolby 3D Digital Cinema systems; the presentations expected to be shown on Dolby 3D Digital Cinema systems; and the anticipated market acceptance of Dolby 3D Digital Cinema systems, are "forward-looking statements" that are subject to risks and uncertainties. These forward-looking statements are based on management’s current expectations. The following important factors, without limitation, could cause actual results to differ materially from those in the forward-looking statements: risks that Dolby 3D Digital Cinema systems may not perform as anticipated; risks that the adoption and installation of Dolby 3D Digital Cinema, as well as the timing of such adoption and installation, by exhibitors may not occur as expected; risks associated with building market acceptance of and demand for digital cinema and 3D digital cinema in general, and for Dolby 3D Digital Cinema systems in particular, by filmmakers, studios, cinema operators, and audiences; competition risks for digital and 3D theater technologies; rapid changes in technical requirements for movie theatrical playback technologies specifically and entertainment technologies for movies in general; risks associated with developing proprietary technologies and products based on open standards; risks associated with the health of the motion picture industry in general; risks associated with developing, maintaining, and strengthening relationships with industry participants; and other risks detailed in Dolby’s Securities and Exchange Commission filings and reports, including the risks identified under the section captioned “Risk Factors” in its most recent Periodic Report on Form 10-Q or 10-K. Dolby disclaims any obligation to update information contained in these forward-looking statements, whether as a result of new information, future events, or otherwise.

Dolby and the double-D symbol are registered trademarks of Dolby Laboratories. Digital Light Processing and DLP are trademarks of Texas Instruments. S08/20393 DLB-G

Editor’s Note

Dolby works with a broad group of cinema circuits around the world to provide a superior 3D presentation to their patrons.

Contacts:

Dolby Laboratories US
Joshua Gershman, 415-645-5611
joshua.gershman@dolby.com