SOURCE: Public Media Works

April 05, 2010 03:00 ET

Five Major Popeye's Franchisees Sign Contracts With EntertainmentXpress

Popeye's Owner Operators to Pilot Kiosk Entertainment and Advertising Solutions Through EntertainmentXpress

LOS ANGELES, CA--(Marketwire - April 5, 2010) -  Public Media Works, Inc. (OTCBB: PUBM) announced today that EntertainmentXpress has entered into separate agreements with five Popeye's restaurant franchisees that together operate 74 of the highest volume Popeye's stores in the greater Houston area.

The agreement marks the first Popeye's franchisee contracts with EntertainmentXpress whose business model is built around the fast-growing digital distribution network that provides a convenient way for consumers to buy or rent movies, games and other entertainment media through kiosks located in quick-serve food locations, grocery stores and other high-traffic, public venues.

In a news release on March 25, Public Media Works announced a similar agreement signed by a major Pizza Hut franchisee who operates over 155 stores in the greater Pittsburg area.

The Chairman and CEO of EntertainmentXpress, Garrett Cecchini, expressed his enthusiasm with their new Popeye's partnerships.

"I am delighted that Popeye's is now joining us along with Pizza Hut, as we continue to pursue partnerships with major quick serve restaurant brands. This represents another strong testimonial from major brand franchisees who believe, as we do, that EntertainmentXpress can support their business strategies and marketing goals to get new customers, retain customers and to create sales lift. It is a powerful partnership," commented Cecchini.

Salil Keswani, one of the five Popeye's franchisees who signed on, told the company that he strongly believes in what EntertainmentXpress has to offer and is committed to support the concept for other Popeye's franchisees. Salil Keswani is Chairman of Popeye's Development Committee and a board member of Popeye's International Franchise Association.

Other Popeye's Restaurant franchisees in the greater Houston area who have signed with EntertainmentXpress include Broford Inc. owned by Harry Stafford, outgoing Chairman of Popeye's International Franchise Association (PIFA), current Board member of the association, and the head of the Marketing Committee; Cardinal Southwest, owned by Charles Boyd and Alvin Rucker who are committee members on PIFA's Tech and R&D committees; Houston Fast Food, owned by Miller and Family; GRM Operations, owned by Greg Hobbs, DMA president and PIFA committee member; and Continental Superior Management, owned by Ali Lakhany.

Public Media Works announced on March 24, 2010, that they executed a share exchange agreement to acquire EntertainmentXpress which will operate as a wholly owned subsidiary of the company with the close of the deal anticipated by mid-April, 2010.

Public Media Works was founded as a forward thinking entertainment company, created and operated by entertainment professionals, with the objective to discover, create, develop and distribute entertainment content to world audiences.

With the upcoming acquisition of Entertainment Xpress, PMW will expand its entertainment distribution interests to build a digital distribution network of kiosks worldwide, to leverage the delivery of movies and other custom entertainment content which will give an exclusive advantage to the retail partners of EntertainmentXpress.

EntertainmentXpress plans to roll out a network of conveniently located, self-service, kiosks which deliver demographically relevant digital media content to consumers. The company's core business model comprises the rental and sale of DVD movies, video games and more through kiosks located in quick-serve food locations, grocery stores and other high-traffic, public venues. Features intended to differentiate EntertainmentXpress in the marketplace include more digital product offerings in future phases, retail partner branded kiosks, a fully integrated solution for in-store advertising and kiosks pre-designed to become media filling stations to a variety of digital storage devices.

The company's forward thinking media acquisition and cross promotion strategies are designed to deliver a better value proposition for consumers and increase appeal to retail and distribution partners. According to The NPD Group, a leading market research company, DVD movie and video game rental kiosks are experiencing more growth than either subscription services or store rentals and video rental kiosks will make up nearly 30 percent of video rentals in the U.S. in 2010. EntertainmentXpress' focus is on becoming a significant participant in this rapid expansion through a combination of organic and acquisition growth strategies.

This press release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Sections 21E of the Securities Exchange Act of 1934, and are subject to the safe harbor created by these sections. Such forward-looking statements, particularly as related to the business plans of EntertainmentXpress, expectations of partnerships and strategic relationships, deployment of DVD and video game rental kiosks in locations owned and operated by Popeye's franchisees, Popeye's, or Pizza Hut franchisees, the ability of EntertainmentXpress to enter into agreements with retail partners, to gain market share, the size of the market, and the ability of EntertainmentXpress to compete effectively in the marketplace, and the future opportunities of the Company, are based on current expectations that involve a number of risks and uncertainties. Actual results may differ materially from the Company's expectations and estimate.

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