Warner Brothers has taken a significant step forward in its efforts to protect the sale of its DVDs at a time when the home entertainment format is steadily declining, after agreeing upon a deal with Redbox, the DVD kiosk operator that rents out discs at the price for $1 for a day.

Hollywood is not particularly fond of Redbox, as its main practice is of purchasing DVDs and renting them at sharp discounts in kiosks outside major supermarkets and shopping centers all across the US.

The studios have made claims that these rentals end up hitting the sales of DVDs, which carry a much higher margin transaction for them. Some studios, as a result, including the giant Warner Bros., refused to supply discs to Redbox.

But under the new agreement, Warner has managed to create a "release window" for kiosk DVDs, and Redbox will now be able to supply the discs to kiosk operator only after 28 days have passed post the release.

"By agreeing to a delayed release date, Redbox can now acquire Warner titles at a reduced product cost, preserving value for our consumers and increasing access to Warner titles at Redbox locations nationwide", Mitch Stewart, Redbox president, said.