LOS ANGELES, CALIF. (DECEMBER 23, 1998) – Santa is bringing DVD enthusiasts
and the DVD industry a little something extra this Christmas, as Versatile
Media One ships the first issue of its long-awaited VersaDisc DVD magazine
to subscribers this week. The free disc also includes the DVD debut of
“Telling Lies In America,” starring Kevin Bacon, Brad Renfro and Calista
Flockhart.

VersaDisc is the first DVD magazine of its kind, providing consumers with a
free full-length feature film on each issue, plus news, reviews, game
demos, music videos and more. Featuring the superior imagequality,
storage capacity and interactivity of DVD and the timeliness of the
Internet, VersaDisc keeps consumers informed about the latest entertainment
content available on DVD. Free subscriptions to VersaDisc are available at
www.DVD4U.com.

“The debut of VersaDisc marks a turning point in the DVD industry,” said
Giovanni D’Andrea, president of Versatile Media One. “As DVD continues to
take off in 1999, VersaDisc promises to provide consumers with the most
comprehensive information about DVD available anywhere.”

Mr. D’Andrea says the first issue of VersaDisc isn’t nearly as robust as
the next, which will be released in February with more games, another free
movie and seamless integration with the VersaDisc Web site. Charter
advertising and promotional packages are still available for the February
issue. As one of the first companies to offer advertising in a consumer
DVD environment, VersaDisc is creating several packages and creative
executions that allow advertisers to effectively reach and interact with
its audience. Charter advertisers include Sprint and Earthlink.