Item 8.01 Other Events.

On December 7, 2012, Broadcast International, Inc. (the "Company") was informed by its largest customer, that its contract with the Company to provide digital signage services to the customer that had previously been extended to February 1, 2013, would be extended through April 30, 2013 and would then terminate. The Company will continue to provide managed media services to the customer for a 3-year period. A substantial portion of the Company's revenues from the customer are for the digital signage service.