ADV Films and Geneon Announce Strategic Alliance.

Partnership Yields Strongest Catalog in Anime Category

HOUSTON -- Today ADV Films and Geneon Entertainment (USA) announced a new distribution agreement. From October 1st on, ADV Films will be Geneon Entertainment USA's sole distributor. ADV Films will handle all sales and distribution duties for the combined catalogue as well as certain marketing functions.

Geneon Entertainment (USA) is a subsidiary of Tokyo-based advertising giant Dentsu, Inc. Geneon is a pioneer of anime in America, having helped to launch Pokemon, Appleseed, and Akira on home video. More recent hits include some of the best-selling franchises in anime today, including Hellsing, Ergo Proxy , and the new hit series Black Lagoon.

"This is a great alliance," said Geneon President and CEO Eiji Orii. "The efficiencies we'll achieve ultimately will mean more anime for the fans to enjoy."

ADV co-founder and President John Ledford concurred. "This alliance makes both companies stronger. Anime as an entertainment category is in competition with every other form of entertainment, and our partnership with Geneon gives us the scale to help widen the anime market in North America."

Ledford continued, "As we look ahead to an increasingly digital future, scale matters. In bringing anime to new media platforms, ADV Films and Geneon can only benefit from the added clout this alliance brings."

For consumers and retailers, this transition should be seamless. Geneon's publishing plans will continue unabated, as ADV Films works with distribution partners to make the transition a smooth one.

About ADV Films:

In the 15 years since its inception, ADV Films has become the #1 producer-distributor of Japanese animation ("anime") outside of Japan and has the largest English-language anime library in the world. With best-selling titles such as Neon Genesis Evangelion, RahXephon, Robotech, Full Metal Panic, Hello Kitty and Azumanga Daioh, ADV Films' extensive catalog is fueling the popularity of anime around the globe. Always on the forefront, ADV is introducing North America to bold new anime franchises such as the new Guyver, Le Chevalier D'Eon , Gantz, and Elfen Lied. ADV Films' library also includes popular live-action science fiction programs such as The Jim Henson Company's Farscape, the nationally syndicated Gene Roddenberry's Andromeda and the Saturn Award-nominated Mutant X. In 2005 ADV Films was voted "Best Anime Company" in the SPJA awards, presented at Anime Expo, North America's largest anime convention. The readers of Anime News Network designated ADV Films "Overall Favorite Anime Company" in both 2004 and 2005.

Parent company A.D. Vision, Inc. encompasses a variety of complementary media divisions, spanning publishing, television, licensing and merchandising and continues to expand into new areas. Its Anime Network[TM] is "America's #1 Anime Channel," reaching more than 40 million households. Anime Network is the nation's top video-on-demand (VOD) offering as well as a 24/7 linear cable channel and is the first television network dedicated to bringing anime and anime-related programming to consumers nationwide. The company has two publishing arms: Newtype USA, North America's top-selling anime and manga monthly magazine, and ADV Manga[TM], dedicated to publishing graphic novels. Headquartered in Houston, the company has offices in Europe and Japan. For more information, visit www.advfilms.com.

About Geneon Entertainment (USA):

A leading supplier of Japanese animation in North America, Geneon Entertainment (USA) Inc. (www.Geneon-Ent.com) is a full-service producer and distributor of entertainment content including film, music, animation and television shows on DVD and CD. Continually introducing new and classic anime and live-action programming, as well as anime CD soundtracks, the company also serves as a creative partner to many of Japan's top anime production companies. Additionally, Geneon Entertainment distributes critically acclaimed musical performances on DVD and CD from renowned artists. Headquartered in Long Beach, California, Geneon Entertainment's parent company is Tokyo-based advertising giant Dentsu, Inc.

Dentsu Inc., founded in 1901, is the largest advertising agency brand and the fifth largest marketing and communications organization in the world. Based in Tokyo, Dentsu offers national, multinational and global clients the most comprehensive range of advertising and marketing services through its unique "Total Communications Services" approach. Dentsu has pioneered and set global standards for integrated communications, which in latter years have been adopted by a number of major international networks. The group has more than 6,000 clients and 14,447 full-time employees in both Japan and in its offices overseas. Consolidated revenues for fiscal term 03/04 were recorded at $2,679,705 billion. Dentsu is publicly quoted on the Tokyo Stock Exchange (Code 4324).