                                                                    Exhibit 99.1

             REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM



To the Members
Pritchard Square Cinema, LLC

         We have audited the  accompanying  balance  sheets of Pritchard  Square
Cinema,  LLC as of December  31, 2004 and 2003,  and the related  statements  of
operations  and  members'  deficiency  and cash flows for the years then  ended.
These financial  statements are the responsibility of the Company's  management.
Our responsibility is to express an opinion on these financial  statements based
on our audits.


         We conducted our audits in accordance  with the standards of the Public
Company Accounting  Oversight Board (United States of America).  Those standards
require that we plan and perform the audits to obtain reasonable assurance about
whether the financial  statements  are free of material  misstatement.  An audit
includes  examining,  on a test  basis,  evidence  supporting  the  amounts  and
disclosures in the financial  statements.  An audit also includes  assessing the
accounting principles used and significant estimates made by management, as well
as evaluating the overall financial statement presentation.  We believe that our
audits provide a reasonable basis for our opinion.


         In our opinion,  the  financial  statements  referred to above  present
fairly,  in all material  respects,  the financial  position of Pritchard Square
Cinema,  LLC as of December 31, 2004 and 2003, and the results of its operations
and its cash  flows for the  years  then  ended in  conformity  with  accounting
principles generally accepted in the United States of America.

         On February 11, 2005, the Company sold  substantially all of its assets
to another entity at which time all operations ceased and were taken over by the
acquiring company (SEE NOTE 1).


/s/ Amper, Politziner & Mattia, P.C.
------------------------------------



April 21, 2005
Edison, New Jersey





                                  F-1
<PAGE>

                          PRITCHARD SQUARE CINEMA, LLC
                                 BALANCE SHEETS
                           DECEMBER 31, 2004 AND 2003


<TABLE>
<CAPTION>

                                     ASSETS

                                                                                              2004                    2003
                                                                                              ----                    ----
CURRENT ASSETS

<S>                                                                                    <C>                     <C>
   Cash                                                                                $         --            $        --
   Inventories                                                                               12,775                 14,197
                                                                                       ------------            -----------

Total Current Assets                                                                         12,775                 14,197
                                                                                       ------------            -----------

THEATRE PROPERTY AND EQUIPMENT

   Building and improvements under capital lease obligation                               6,060,000              6,060,000

   Theatre equipment under capital lease obligation                                         450,000                450,000
                                                                                       ------------            -----------
   Total Theatre Property and Equipment                                                   6,510,000              6,510,000
                                                                                       ------------            -----------

   Accumulated depreciation                                                                (945,000)              (567,000)
                                                                                       ------------            -----------

   Theatre Property and Equipment, net of
   accumulated depreciation                                                               5,565,000              5,943,000
                                                                                       ------------            -----------

   Security deposits                                                                        209,948                209,948
                                                                                       ------------            ------------

       Total Assets                                                                    $  5,787,723            $ 6,167,145
                                                                                       ============            ===========
</TABLE>



                       LIABILITIES AND MEMBERS' DEFICIENCY

<TABLE>
<CAPTION>

CURRENT LIABILITIES
<S>                                                                                  <C>                      <C>
   Bank overdraft                                                                    $     27,546             $   105,153
   Current maturities of capital lease obligations                                      1,871,571               1,421,625
   Accounts payable                                                                        65,907                  63,302
   Accrued expenses                                                                       996,661               1,126,887
   Due to member                                                                          550,917                 558,358
   Payable to related party                                                               624,000                 416,000
                                                                                       -----------             ----------
 Total Current Liabilities                                                              4,136,602               3,691,325

   Capital lease obligations, net of current maturities                                 5,575,541               5,502,417
                                                                                     ------------               ---------
 Total Liabilities                                                                      9,712,143               9,193,742

MEMBERS' DEFICIENCY:
    Members' Deficiency                                                                (3,924,420)             (3,026,597)
                                                                                      -----------             -----------
     Total Liabilities and Members' Deficiency                                        $ 5,787,723             $ 6,167,145
                                                                                     ============             ===========
</TABLE>

                 See accompanying notes to financial statements


                                       F-2
<PAGE>



                          PRITCHARD SQUARE CINEMA, LLC
                STATEMENTS OF OPERATIONS AND MEMBERS' DEFICIENCY
                 FOR THE YEARS ENDED DECEMBER 31, 2004 AND 2003
<TABLE>
<CAPTION>


                                                                                             2004                    2003
                                                                                             ----                    ----
<S>                                                                                   <C>                      <C>
REVENUES:
    Admissions                                                                        $     3,603,245          $   3,784,411
    Concessions and other                                                                     823,643                920,077
                                                                                      ---------------          -------------
Total revenues                                                                              4,426,888              4,704,488

COST AND EXPENSES:

    Film exhibition costs                                                                   2,059,723              2,143,330
    Concession costs                                                                          182,638                214,641
    Other theatre operating costs                                                           1,445,685              1,513,685
    Depreciation                                                                              378,000                378,000
    Interest expense                                                                        1,258,665              1,239,170
                                                                                      ---------------          -------------
Total operating costs and expenses                                                          5,324,711              5,488,826
                                                                                      ---------------          -------------

    NET LOSS                                                                                 (897,823)              (784,338)

    Members' deficiency - beginning of the year                                            (3,026,597)            (2,242,259)
                                                                                      ---------------          -------------



    MEMBERS' DEFICIENCY - END OF THE YEAR                                             $    (3,924,420)         $  (3,026,597)
                                                                                      ===============          =============

</TABLE>

    See accompanying notes to financial statements

                                       F-3
<PAGE>


                          PRITCHARD SQUARE CINEMA, LLC
                            STATEMENTS OF CASH FLOWS
                 FOR THE YEARS ENDED DECEMBER 31, 2004 AND 2003
<TABLE>
<CAPTION>



                                                                                               2004                  2003
                                                                                               ----                  ----

CASH FLOWS FROM OPERATING ACTIVITIES
<S>                                                                                  <C>                          <C>
   Net loss                                                                          $      (897,823)        $      (784,338)
   Adjustments to reconcile net loss to
    net cash from operating activities
     Depreciation                                                                            378,000                 378,000
     Interest on capital lease obligation                                                  1,258,665               1,239,170
   (Increase) decrease in
     Inventories                                                                               1,422                    (223)
   Increase (decrease) in
     Accounts payable                                                                          2,605                   9,713
     Accrued expenses                                                                       (130,226)               (833,536)
     Payable to related party                                                                208,000                 208,000
                                                                                     ----------------        ---------------
       Net cash provided by operating activities                                             820,643                 216,786
                                                                                     ----------------        ---------------
CASH FLOWS FROM INVESTING ACTIVITIES                                                             --                      --
                                                                                     ----------------        ---------------
CASH FLOWS FROM FINANCING ACTIVITIES
   Increase (decrease) in
     Bank overdraft                                                                          (77,607)                 99,856
     Payments under capital lease obligations                                               (735,595)               (875,000)
     Due to Member                                                                            (7,441)                558,358
                                                                                     ----------------        ---------------
Net cash provided by (used for) financing activities                                         (820,643)              (216,786)

Net change in cash:

Cash - beginning                                                                                  --                      --
                                                                                     ----------------        ---------------

Cash - ending                                                                        $            --         $            --
                                                                                     ================        ===============

Supplemental disclosure of cash paid
Interest                                                                             $           --          $            --
Taxes                                                                                $           --          $            --

</TABLE>

    See accompanying notes to financial statements


                                       F-4
<PAGE>

                          PRITCHARD SQUARE CINEMA, LLC
                         NOTES TO FINANCIAL STATEMENTS
                 FOR THE YEARS ENDED DECEMBER 31, 2004 AND 2003



NOTE 1 - ORGANIZATION AND NATURE OF OPERATIONS

               Pritchard Square Cinema, LLC ("Pritchard" or the "Company") a New
               York limited liability company was organized in New York in March
               1996.  Pritchard  owns the Pavilion  Movie  Theatre/Entertainment
               Complex (the  "Pavilion" or "Company")  located in Brooklyn,  New
               York.  The  Pavilion is an  eight-screen  movie  theatre  showing
               first-run  films. The Company uses a related party to select such
               films  (see  Note  3).  Substantially  all of the  assets  of the
               Pavilion  were  sold  in an  asset  purchase  transaction  during
               February  2005 to a third  party,  as is more fully  described in
               Note 6.


NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

               USE OF ESTIMATES

               The  preparation  of  financial  statements  in  conformity  with
               accounting  principles generally accepted in the United States of
               America  requires  management to make  estimates and  assumptions
               that affect the reported  amounts of assets and  liabilities  and
               disclosure of contingent  assets and  liabilities  at the date of
               the financial statements and the reported amounts of revenues and
               expenses during the reporting period. Actual results could differ
               from those estimates.

               REVENUE RECOGNITION

               The  Pavilion's  revenues are accounted  for in  accordance  with
               Staff  Accounting  Bulletin  No.  104  "Revenue   Recognition  in
               Financial  Statements"  ("SAB No. 104"). The Pavilion's  revenues
               consist of the sale of movie theatre  admissions  and  concession
               food  and  beverages,  which  are  made,  either  in  cash or via
               customer  credit cards at the time of the  transaction.  Revenues
               are recognized at the time the  transaction  is complete,  as the
               earnings process has been culminated.

               FILM RENTAL COSTS

               Film rental costs are accrued based on the  applicable box office
               receipts  and  either  the   mutually   agreed  upon  firm  terms
               established  prior to the opening of the picture or  estimates of
               the final mutually  agreed upon  settlement,  which occurs at the
               conclusion  of the  picture  run,  subject to the film  licensing
               arrangement.  Estimates  are based on the  expected  success of a
               film over the length of its run in the theatres.

               ADVERTISING

               Advertising costs are expensed as incurred.  Such expense for the
               years ended December 31, 2004 and 2003 was  approximately  $5,000
               and $7,000, respectively.


                                       F-5
<PAGE>

                          PRITCHARD SQUARE CINEMA, LLC
                         NOTES TO FINANCIAL STATEMENTS
                 FOR THE YEARS ENDED DECEMBER 31, 2004 AND 2003



NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - (CONTINUED)
         ------------------------------------------


               CONCENTRATION  OF  CREDIT  RISK

               Financial  instruments,  which  potentially  subject  Pavilion to
               concentrations  of credit risk, to the extent they exceed federal
               depository  insurance limits consist of cash. The Pavilion places
               its cash with high credit quality financial  institutions.  As of
               December 31, 2004 and 2003 there were no uninsured cash balances.


               FAIR VALUE OF FINANCIAL INSTRUMENTS

               Cash,  accounts payable and accrued  liabilities are reflected in
               the financial  statements at carrying value,  which  approximates
               fair  value   because  of  the   short-term   maturity  of  these
               instruments.  The carrying  value of the Company's  capital lease
               obligation approximates fair value because the interest rate used
               represents borrowing rates available with similar terms.


               INCOME TAXES

               The  Company  is  a  limited  liability   company,   which  is  a
               pass-through  entity for federal and state  income tax  purposes.
               The  Company's  income or loss is  required to be reported by the
               Company's members on their applicable income tax returns.


               CAPITAL LEASE

               The Company leases the land, building,  building improvements and
               all theater equipment under a lease agreement with a third party.
               The lease has been accounted for as a capital lease in accordance
               with  Statement of  Financial  Accounting  Standards  No. 13, and
               accordingly,  the Company has  established  assets under  capital
               lease and a capital lease obligation on the accompanying  Balance
               Sheets. The Company records the monthly minimum lease commitments
               as a  reduction  to the  capital  lease  obligation,  and records
               interest expense based on the lease's implicit interest rate. The
               Company  records  depreciation  expense on the theater  equipment
               over an estimated  useful life of six years.  The Company records
               depreciation  expense on the building and  improvements  over the
               initial, noncancellable lease term of approximately 20 years.


NOTE 3 - RELATED PARTY INFORMATION
         -------------------------

               The Company  maintains an agency  agreement  with an affiliate to
               act as its  exclusive  booking agent for films to be shown at the
               theatre.  The  President  of the  affiliate  is also the managing
               member of the Company.  The  agreement  with this entity  expires
               during  January  2016  and  provides  for fees in the  amount  of
               $208,000 per annum. The agreement  contains a provision for early
               termination  penalty as  further  defined  in the  agreement.  In
               addition,  this  affiliate  provides  management  services to the
               Company.  Such amounts are included in the  accompanying  Balance
               Sheets in the caption Payable to related party.

               Due to  member  represents  short-term  advances  that are due on
               demand and are non-interest bearing.


                                       F-6
<PAGE>


                          PRITCHARD SQUARE CINEMA, LLC
                         NOTES TO FINANCIAL STATEMENTS
                 FOR THE YEARS ENDED DECEMBER 31, 2004 AND 2003



NOTE 4 - ACCRUED EXPENSES
         ----------------

               Accrued  expenses  consisted of the  following as of December 31,
               2004 and 2003:

<TABLE>
                                                                                         DECEMBER 31,
                                                                                  2004                2003
                                                                             ------------         ------------
<S>                                                                          <C>                  <C>
               Accrued film rental payable                                   $    680,126         $   890,218
               Sales tax payable                                                  294,768             212,754
               Accrued payroll                                                     21,767              23,915
                                                                             ------------         -----------
                                                                             $    996,661         $ 1,126,887
                                                                             ============         ===========
</TABLE>

NOTE 5 - COMMITMENTS
         -----------

          CAPITAL LEASES

          Future minimum lease payments under the Company's  capital lease as of
          December 31, 2004, are as follows:
<TABLE>
<CAPTION>
          <S>                                                                        <C>
          2005                                                                        $  1,871,571
          2006                                                                           1,215,179
          2007                                                                           1,245,559
          2008                                                                           1,276,698
          2009                                                                           1,308,615
          Thereafter                                                                    19,245,232
                                                                                     -------------
          Minimum lease payments                                                        26,162,854

          Less: amount representing interest                                            18,715,742
                                                                                     -------------
          Subtotal                                                                       7,447,112

          Less: current maturities of obligations under capital lease                    1,871,571
                                                                                     -------------
                Obligations under capital lease, net of current maturities           $   5,575,541
                                                                                     =============
</TABLE>

          Included in current  maturities of obligations  under capital lease as
          of December 31, 2004 and 2003 is $686,030, and $265,000, respectively,
          of past due minimum rent payments owed by the Company to the landlord.


NOTE 6 - SALE OF BUSINESS ASSETS
         -----------------------

          On February  11,  2005,  substantially  all of the assets and business
          operations   (which   includes   assignment  of  the  Company's  lease
          obligation)  of Pritchard were acquired by ADM Cinema  Corporation,  a
          wholly  owned  subsidiary  of  Access  Integrated  Technologies,  Inc.
          ("Access  IT").  The total  consideration  for the  Pavilion  was $5.2
          million of which $3.3 million was a cash payment  (less  $500,000 held
          in escrow  pending the  completion  of  construction  of an additional
          movie theatre  screen) and $1.7 million  represents a 5-year,  8% note
          payable and $200,000 was the estimated transaction fees. In connection
          with  the   acquisition,   Access  IT  issued  40,000  shares  of  its
          unregistered Class A Common Stock to the landlord as consideration for
          assignment of the lease to ADM Cinema  Corporation and the waiver of a
          security deposit.


                                       F-7


