Proxy Fight Nears End

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Results from Tuesday’s vote by Image Entertainment Inc. shareholders on whether to replace its board with a slate of directors backed by Lion’s Gate Entertainment Corp. are expected to be available next week.

The companies have agreed to let an independent company tabulate the proxy votes.

Lion’s Gate, a Santa Monica-based movie producer and distributor, has made three separate offers to buy Image, a distributor of DVDs. Two of the offers were rejected last year, and an all-cash offer expired in July.


Lion’s Gate, which holds nearly 19 percent of Images outstanding stock, blames the current Image board for deteriorating profit margins and excessive overhead costs.

Shares of Lion’s Gate were down 12cents at $9.91 in early trading Wednesday while shares of Image were flat at $3.51.

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