NME Enters U.S. Market - Will Release Over 100 HD Titles This Fall; Company Hires Executive VP to Manage U.S. Market Expansion

LONDON--(BUSINESS WIRE)--May 8, 2006--New Medium Enterprises (OTCBB:NMEN) (NME) today announced that it will release over 100 HD titles on Versatile Mulitilayer Disc (VMD) in the United States later this year, which will include several Broadway shows. The VMD is a next generation optical disc standard suitable for high definition content, using current red laser technology with storage capabilities up to 100 GB.

Returning from a road show in the U.S., Mahesh Jayanarayan, NME's CEO, was extremely upbeat on the prospects in the U.S. marketplace stating that "We believe the opportunity for NME to succeed here in the United States is growing quickly and we are determined to exploit that opportunity as timely and completely as possible."

NME has also decided to accelerate its launch of different HD formats in the U.S. to accommodate the computer market. To bring market entry plans to fruition, NME will open a full fledged operation in the U.S. To head the operation, NME appointed Jeff Burrow, a long time sales and marketing executive from DirecTV who is familiar with HD from a national retail, content, and hardware perspective.

Burrow, in the newly added position of Executive Vice President, North America commented, "NME represents a major breakthrough in bringing high quality, true HD content to consumers at a very affordable price. The technology presents an elegant, yet seemingly simple solution to a complicated category and I am honored to be chosen for the role in bringing NME into the U.S. market."

Jayanarayan added, "Jeff is a very talented and experienced person for whom we are extremely thrilled to have on board. The U.S. is no doubt our biggest market and we are confident that he will exploit its full potential for us."

The NME US operation will be based in Dallas, Texas and will engage in sales and marketing of VMD optical discs, VMD players, as well as, content acquisition and aggregation.

About New Medium Enterprises, Inc. (NME):

New Medium Enterprises provides the world's first low-cost true High Definition solution utilizing today's red laser DVD Technology and its industrial infrastructure. The VMD platform is ideal for 1920X1080i/p High Definition up to 40 Mb/s bitrate playback using its 20 GB - 40 GB red laser optical discs. VMD players & burners, stand alone and computer embedded are inherently backward compatible with DVD and CD. This is the only low-cost high-end offering to the discerning consumer comparable to contemporary DVD market prices.

For additional information about NME, please consult the Company's website at www.nmeinc.com.

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