DOTHAN, Ala., September 23, 2008 – Movie Gallery, Inc. (“Movie Gallery”) today announced
that the United States Bankruptcy Court for the Eastern District of Virginia, Richmond Division
(the “Court”) has issued a preliminary injunction against Boards Video Company, LLC and
Boards Inc. (collectively “Boards”), enjoining them from further infringing on Movie Gallery’s
trademarks.
Movie Gallery, which owns the Hollywood Video and Game Crazy trademarks, brought the
action in connection with Boards’ failure to remove Hollywood Video and Game Crazy signage
from the 20 video stores it operated under a License Agreement with Movie Gallery. On March
26, 2008 the Court issued an order requiring that Boards remove all signage bearing Movie
Gallery’s trademarks from its stores by August 31, 2008. In issuing the injunction, the Court
found that Boards violated this order.
“We are pleased with the Court’s order and are hopeful that Boards will cease its continuing
violations,” stated Sherif J. Mityas, Movie Gallery’s Chief Operating Officer and President of
Retail Operations. “The Hollywood Video and Game Crazy brands are well known and highly
valuable. We will vigorously defend our brands and will not tolerate infringement on our
trademarks.”
The Court’s decision requires that Boards remove all Hollywood Video and Game Crazy signage
from its stores within seven days. Movie Gallery will also seek damages under the U.S. Federal
Trademark Laws. In addition, the Company will pursue a permanent injunction against Boards,
on the grounds that Boards’ actions subject Movie Gallery’s image, reputation, and market
position to irreparable harm.
About Movie Gallery
Movie Gallery operates approximately 3,300 stores located in all 50 U.S. states and Canada
operating under the brands Movie Gallery, Hollywood Video and Game Crazy. Since Movie
Gallery’s initial public offering in August 1994, the Company has grown from 97 stores to its
present size through acquisitions and new store openings. For more information about the
Company, please visit our website: www.moviegallery.com.
Contacts:
Analysts and Investors: Ted Ceglia, Movie Gallery, Inc., 503-570-1950
Media: Andrew B. Siegel or Meaghan A. Repko of Joele Frank, Wilkinson Brimmer Katcher,
212-355-4449
