HD VMD Debuts in U.S. - Affordable HD Disc Solution Available to Consumers in Q3'07.

$199 Price-Point Drives Affordability into the HD Market

DENVER — New Medium Enterprises (NME) (OTC Bulletin Board: NMEN) today officially launched its HD VMD (Versatile Multilayer Disc) player and disc into the U.S. market with a debut at CEDIA Expo 2007. HD VMD brings maximum-HD 1080p high-quality players to consumers for a groundbreaking MSRP of $199. HD VMD players will be available for purchase in late October.

HD VMD stands to revolutionize the high-definition disc market, providing consumers with the best possible HD experience. Combining the best industrial opto-electronics and disc technologies, HD VMD brings together established DVD red-laser production infrastructure and break-through multilayer discs technology to deliver its maximum-HD picture. HD VMD red laser multilayer disc plans include storage of up to 30 GB of content on a single side disc.

Mahesh Jayanarayan, CEO of NME, Inc. says “U.S. consumers have waited for an HD solution at DVD pricing; and with HD VMD, we believe we have met this desire through a stellar quality, high-definition disc and player at a price point that almost anyone can afford.” Jayanarayan adds, “With the launch into the U.S. market this month and an accelerating rollout of HD VMD content and retail distribution partners, we plan to drive adoption of HD in the home.”

At $199, consumers can easily create their own HD living rooms; with the security of having a globally adopted format, and a better solution for their existing DVD libraries.

High-Definition at the Right Price — High-end HD VMD products will enter the market at a groundbreaking MSRP of $199 — 30 percent less than the least expensive competitive (and low end) product.

Incredible Image Quality — With true HD resolution 1080p — and 45Mbps bit rate, HD VMD excels at processing images and delivering the highest quality picture. From animation to fast action, viewers will experience incredible detail and vibrant colors.

Crystal Clear Sound — With up to 7.1 sound channels, HD VMD delivers immersive and realistic sound that will make listeners feel like they are a part of the action.

Exceptional Standard Definition DVD Upconversion — HD VMD players upconvert standard definition DVDs to deliver a killer high-definition picture. DVDs have never looked so good.

Global Content Choices — HD VMD is currently being embraced by content providers around the globe, offering consumers a broad option of content. From U.S. to India to France to China, content from the world’s leading film markets will be available to all.

VMD is currently being adopted by content providers and distributors in dozens of regions worldwide, including Australia, Brazil, Central Europe, China, France, Germany, Iceland, India, Japan, the Middle East Russia, Scandinavia, and the United States.

Products Specifications:

• Disc (single side) HD VMD15 and HD VMD20
• Disc Diameter: 120 mm
• Disc Thickness: 1.2 mm
• Laser Wavelength: 650 nm
• Native Resolution for all models: 1920x1080p
• Video codecs: MPEG- 2, VC-1, H.-264
• Audio codecs: Dolby Digital, Dolby Digital Plus, DTS
• Data transfer rate: 45 Mbps
• Video bit rate: 45Mbps
• Security: AES based
• Additional features: USB port, card reader, HDMI, Internet connectivity
• MSRP: $199

Link: New Medium Enterprises (NME)