Lions Gate Entertainment Corp. said Chief Executive Jon Feltheimer has signed a long-term agreement that extends his employment until March 2014.

Feltheimer has served as head of the Santa Monica independent film and television production company since March 2000 and was named co-chairman in June 2005. His previous contract ended March 2011.

Feltheimer's annual base salary remains at $1.2 million, but is subject to increases that will be tied to the consumer price index beginning in 2011, the company said in a regulatory filing late Tuesday. He also will receive a package of time-vesting restricted share units and quarterly stock grants, some of which will be based on the company hitting annual performance targets.

Lions Gate shares were down 36 cents, or 5.4 percent, to $6.26 in morning trading on the New York Stock Exchange

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