DVD VIDEO GROUP RE-CHARTERS AS DVD ENTERTAINMENT GROUP

The 5 Major Music Companies Join To Support Expected Launch of DVD-Audio

LAS VEGAS - Jan. 6, 2000 - Executives of the home video units of the major film studios and music companies joined with representatives of the consumer electronics industry to announce that the DVD Video Group - a three-year-old trade association charged to promote the DVD-Video format - will expand to promote the new DVD-Audio format and change its name to the DVD Entertainment Group.

The announcement was made today at the Consumer Electronics Show (CES) at the trade coalition's annual "state of the DVD industry" event. As part of this effort, the five major music companies announced their support and participation in the newly formed coalition, in order to pave the way for DVD-Audio which is expected to launch later this year.

The goal of the DVD Entertainment Group is to build awareness and rapid acceptance for DVD, promoting all of its entertainment applications, including DVD-Video, DVD-Audio and DVD-ROM interactive games. The group will develop a number of communication and promotion endeavors in order for retailers and consumers to appreciate these new forms of high quality DVD entertainment.

"This announcement is great news for retailers and consumers," said Emiel N. Petrone, chairman, DVD Entertainment Group and executive vice president - worldwide, Philips Entertainment Group. "The DVD platform is poised to provide a variety of extraordinary entertainment experiences. We look forward to bringing together the leading executives of home video, music and electronics to promote all of these new possibilities."

The re-chartered group will continue to communicate the benefits of DVD-Video, including DVD movies, music videos and other forms of home video entertainment through a variety of consumer and trade educational initiatives and collateral efforts.

Part of the group's new effort will be aimed at supporting the launch of DVD-Audio which is expected later this year. The new DVD-Audio format is the result of extensive collaboration between the music industry and the DVD Forum. DVD-Audio offers many advantages including high resolution, uncompressed digital sound; choice of stereo and multi-channel surround capability; as well as value added features and internet-linking capabilities.

As the year progresses, the group plans to produce a variety of information pieces for consumer, trade and media use, and will make regular announcements addressing the latest news about consumer behavior related to DVD hardware, movies, music videos and music albums.

The music companies that have joined the DVD Entertainment Group are BMG Entertainment, EMI Recorded Music, Sony Music Entertainment, Universal Music Group and Warner Music Group. The music companies will join the 21 existing regular members and the 14 associate members.

"The new DVD Entertainment Group will continue to include the companies that have made DVD an unqualified success," added Paul Culberg, president, DVD Entertainment Group and executive vice president - worldwide, Columbia TriStar Home Video. "Naturally, we are thrilled to welcome our newest members from the music industry today and hope to add many of their colleagues in the near future."

The DVD Entertainment Group is a Los Angeles-based, industry-funded nonprofit corporation that exists expressly to promote consumer awareness of the benefits of DVD-Video, DVD-Audio and DVD-ROM based games, and to provide updated information to the media and the retail trade about DVD-Video and DVD-Audio players, movies and music videos.

Regular members of the DVD Entertainment Group are Artisan Entertainment, BMG Entertainment, Buena Vista Home Entertainment, Columbia TriStar Home Video, DreamWorks Home Entertainment, EMI Recorded Music, Image Entertainment, MGM Home Entertainment, New Line Home Video, Panasonic Consumer Electronics Company, Paramount Home Video, Philips Consumer Electronics Company, Pioneer Electronics (USA), Sharp Electronics, Sony Electronics, Sony Music Entertainment, Sony Wonder, Thomson Consumer Electronics, Toshiba America Consumer Products, Twentieth Century Fox Home Entertainment, Universal Music Group, Universal Studios Home Video, USA Home Entertainment, Warner Home Video and Warner Music Group.

Associate members are Alpha Enterprises, Americ Disc, Cinram, California Video Center, Crest National, Disc Graphics, JVC Disc America, Panasonic Disc Services Corporation, Pioneer Video Manufacturing, Sony Disc Manufacturing, Sony Pictures DVD Center, Technicolor and Warner Advanced Media Operations.

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