Cinebase Software &PNI Merge to Create eMotion, the Leader in Digital Media Management.

Business Editors

VIENNA, Va.--(BUSINESS WIRE)--Jan. 20, 2000

A new powerhouse in digital media management, eMotion, Inc., has emerged from the combined resources, technologies and management talent of Cinebase Software, Inc. and Picture Network International, Ltd. (PNI). The merger, announced today, establishes a new benchmark for performance and service in the rapidly growing field of digital content acquisition, management and distribution in Internet and enterprise environments.

PNI, a Kodak Company prior to the merger, is the leader in digital media commerce and hosting, supports one of the largest e-commerce websites for digital stock and royalty-free photography, and provides media management software and services to the Fortune 1000 community. For five years, Cinebase has been the leading provider of digital asset management software and services to the entertainment, government, corporate and advertising markets, specializing in the management of video and other time-based media.

As eMotion, the new company offers a complete line of software tools and online services that enable organizations to manage media-rich content, such as digitized video and audio, still image photography and animation. eMotion's products allow enterprises to archive and retrieve content, manage its delivery and reuse, and enable project collaboration. In addition, eMotion provides an automated process for digital rights management that enables the sale and distribution of digital assets over the Internet.

Chief Executive Officer Robert Griffin, former PNI CEO, and Chairman of the Board David Brunel, former Cinebase CEO, lead the eMotion management team. The company is headquartered in Vienna, Virginia, with additional offices in Los Angeles and Redwood City, California, New York City and Chicago. Kodak remains a significant shareholder in the new company, joining VC investors Wasserstein Perrella, East/West Capital and Bear Stearns Constellation Fund.

&uot;A key element in this merger is the complementary nature of the services and technologies each company brings to eMotion,&uot; said Griffin. &uot;Cinebase does with motion assets what PNI does with still assets, so we now offer a combined solution that sets the standard in web-based content acquisition, media management and broadband distribution.&uot;

For Chairman David Brunel, the timing of the merger is ideal. &uot;Independent forecasts predict explosive growth for this field, with total annual revenues expected to exceed $3 billion by 2003,&uot; said Brunel. &uot;With this merger, we've created a company that is strategically positioned as the dominant player in this rapidly growing market.&uot;

The two companies bring to eMotion a list of blue-chip clients. ASP or media hosting customers include Discovery Communications, Intel, McDonald's, Bechtel, Paramount Motion Pictures, The Image Bank - a Getty property, and others, each of which use eMotion's services to store, manage and re-purpose their digital assets. Enterprise customers include Nike, McDonald's, Young &Rubicam, E! Entertainment, Warner Bros., the National Library of Medicine, the National Imaging and Mapping Agency, the U.S. Air Force and others.

The eMotion product line offers three broad solutions: an integrated client/server software solution and professional services; an application service provider (ASP) solution - hosted intranet services via a virtual private network, or VPN; and e-commerce transaction services via the Internet. Its three primary product applications, which can be deployed as standard software products and services or via web-based hosted solutions are:

- Cinebase3, a high-end broadband asset management solution for the

broadband, broadcast and entertainment and government markets;

- MediaQuest, a shrink-wrapped solution for the corporate market,

advertising and government;

- Creative Partner, an application for creative collaboration,

annotation and distribution of digital assets.

eMotion also offers e-commerce/destination portals for creative professionals. The current offering- PictureQuest, driven by MediaQuest, is the leading stock photography portal that provides access to one of the largest stock photography libraries on the web. The company will soon announce a significant acquisition and development of a stock footage web portal, along with plans to expand its Online Community to include additional Internet services for creators of media, leveraging the existing products to streamline the production process at the user level.