C-3D Digital Announces the Formal Closing Of Phase One of Its Master Agreement with Another World, Inc.

Business Editors/Technology Writers

ST. CHARLES, Mo.--(BUSINESS WIRE)--Aug. 14, 2001

C-3D Digital, Inc. (AMEX: DDD), and Another World, Inc. officially closed phase one of the Master Agreement on Friday, August 10, 2001 after receiving shareholder approval for the transaction on July 31, 2001 from the C-3D shareholders.

In a Special Meeting of the Shareholders held on July 31, 2001 at the Holiday Inn Select St. Peters, St. Peters, Missouri, two Proposals were put to a vote of the shareholders of C-3D Digital, Inc. The First Proposal was for the Company to issue 38,504,275 shares of newly issued common stock, constituting a 51% percent equity interest in the common stock of the Company, to approximately three hundred New Investors in return for $3.5 million. The shares were issued to the New Investors through a private placement under Regulation S of the Securities Act of 1933. Out of the total votes of 16,709,034, Proposal One had 16,552,347 votes cast For, 43,045 votes cast Against, and 113,642 votes cast Abstained.

The Second Proposal was for the Shareholders to ratify and approve the settlement with and the issuance of new shares to the shareholders of VisionComm, Inc. Out of the total votes of 16,709,034, Proposal Two had 16,306,202 votes cast For, 126,093 votes cast Against, and 276,739 votes cast Abstained.

C-3D Digital officially closed phase one of the Master Agreement with Another World on Friday, August 10 after completing all closing requirements made part of the Master Agreement.

Instrumental in the transaction was TeraSource Venture Capital Co., Ltd., a prominent venture capital firm based in Korea. TeraSource is the second largest and has been for the past three consecutive years, the best performing venture capital firm in Korea. As a significant investor in Another World, TeraSource is expected to continue its support of the companies and their mutual development plans.

The companies have already commenced the planning and implementation of some of the opportunities brought to C-3D by Another World. The two companies will begin working together on a number of 3D stereoscopic and experiential media projects and joint marketing efforts.

As part of the use of proceeds from the private placement, C-3D will immediately be looking at the opportunities of distributing the many products Another World has ready for market in the US and abroad. C-3D will also be substantially expanding its two media divisions to the critical mass necessary for meaningful cashflow.

Dr. Philmoon Seong, President and CEO of Another World stated, "We are pleased to get Phase One completed and get the funds needed into C-3D so we can begin building our new plan with C-3D. Our companies have many synergistic combinations, leading technologies, and distribution and media channels. When we focus these combined efforts, we will together become the world leaders and innovators in the stereoscopic 3D and the experiential media industry."

Mr. Chandos Mahon, President and CEO of C-3D also stated, "Having spent the last seven months restructuring and consolidating this company while positioning us for a transaction of this magnitude, I am very excited to be chosen to lead the company as President and CEO into the new era of stereoscopic 3D. I am also very pleased to announce the focus our new investors have in regard to maximizing our current asset base through expansion and joint ventures. As we position C-3D for Global deployment, our current media divisions will contribute a foundation to these goals."

Mr. In Q Lee, President and CEO of TeraSource, concluded, "We are happy to be a part of this transaction and see the first phase close as well. In many ways this is a first transaction of its kind for Korean business. Bringing Korean investment and Korean technology to a US public company is very exciting. The joining of these two companies will exemplify the stereoscopic 3D industry and consumer experience and for TeraSource to be part of this, we are very pleased."

C-3D Digital is a diversified media distributor with holdings in cable TV, lodging entertainment, innovations in content creation, technology for 3D imagery, virtual reality entertainment for television and the Internet, and broadband services and content. C-3D conducts its operations via VisionComm, its cable operation subsidiary, the Hotel Movie Network, its private broadcast network focused on the hospitality industry, 3D.COM, its Internet subsidiary and home to the virtual reality/3D portal/e-commerce community center on the Web, and other distribution holdings that focus on the deployment of company content and resources.

Another World, Inc. is a research and technology company based in the Republic of Korea, and a leading provider of true stereoscopic 3D imaging solutions. As the leader in the field of stereoscopic 3D, the company provides comprehensive software and hardware solutions worldwide. For more information, please visit www.anotherworld.to and www.vrmania.com.

This news release includes forward-looking statements that are made pursuant to the "safe harbor" provision of the Private Securities Litigation Reform Act of 1995. While these statements are made to convey to the public the company's progress, business opportunities, and growth prospects, readers are cautioned that such forward-looking statements represent management's opinion. While management believes such representation to be true and accurate based on the information available to the company, actual results may differ materially from those described. The company's operations and business prospects are always subject to risk and uncertainties. Important factors that may cause actual results to differ are set forth in C-3D Digital's periodic filings with the U.S. Securities and Exchange Commission. All filings can be found under Chequemate International DBA C-3D Digital Inc. in the Edgar filings with the SEC.