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Cineplex's investment in premium-priced formats over the last four years has positioned it to take advantage of the price premiums offered in these formats, which has contributed to Cineplex's BPP growth in the current period compared to the prior year period. This investment in premium-priced offerings was a key factor resulting in Cineplex outperforming the Canadian industry box office revenue growth during 2012.
Concession revenues
The following table highlights the movement in concession revenues, attendance and CPP for the quarter and the full year (in thousands of Canadian dollars, except attendance and same store attendance reported in thousands of patrons, and per patron amounts):
----------------------------------------------------------------------------Concession revenues Fourth Quarter Full Year 2012 2011 Change 2012 2011 Change----------------------------------------------------------------------------Concession revenues $ 86,409 $68,161 26.8% $329,332 $291,638 12.9%Attendance 18,577 15,070 23.3% 71,198 66,059 7.8%Concession revenue per patron $ 4.65 $ 4.52 2.9% $ 4.63 $ 4.41 5.0%Same store concession revenues $ 82,358 $68,043 21.0% $319,637 $290,076 10.2%Same store attendance 17,573 15,026 17.0% 69,052 65,604 5.3%--------------------------------------------------------------------------------------------------------------------------------------------------------Concession revenue continuity Fourth Quarter Full Year Concession Attendance Concession Attendance----------------------------------------------------------------------------2011 as reported $ 68,161 15,070 $ 291,638 66,059Same store attendance change 11,535 2,547 15,249 3,449Impact of same store CPP change 2,780 - 14,312 -New and acquired theatres 4,051 1,004 8,795 1,935Disposed and closed theatres (118) (44) (662) (245)----------------------------------------------------------------------------2012 as reported $ 86,409 18,577 $ 329,332 71,198----------------------------------------------------------------------------
Fourth Quarter
Concession revenues increased 26.8% as compared to the prior year quarter primarily due to the 23.3% increase in attendance. CPP increased from $4.52 in the fourth quarter of 2011 to $4.65 in the same period in 2012, a 2.9% increase and a quarterly record for Cineplex, a fourth quarter record. Cineplex believes a focus on revised concession offerings, its RBO program and improved product promotion through the expansion of a digital menu board program have all contributed to the higher CPP in the current period compared to the prior year period.
Full Year
Concession revenues increased 12.9% as compared to the prior year period, due to the 7.8% increase in attendance and the 5.0% increase in CPP. CPP increased from $4.41 in 2011 to $4.63 in 2012. This represents an annual CPP record for Cineplex, $0.22 higher than the previous record from 2011.
While the 10% SCENE discount and SCENE points issued on concession combo purchases reduce individual transaction values which impacts CPP, Cineplex believes that this program drives incremental visits and concession purchases, resulting in higher overall concession revenues.
