Elevation Partners to Acquire SDI Media Group.

LOS ANGELES -- SDI Media Group, the world's largest provider of subtitling and language dubbing services to the entertainment industry, announced today that it is being acquired by Elevation Partners. Elevation is purchasing the company from Warburg Pincus, the private equity firm that acquired SDI Media in 2004.

SDI Media Group is the world's largest localization services provider for media and entertainment companies. Through its unique global translation network, SDI provides foreign language subtitling and dubbing services for the theatrical, home entertainment, broadcast and new media distribution of entertainment content throughout the world. Over the years, SDI has developed proprietary software and has built the most extensive network of more than 650 employees and 4,000 freelancers around the world.

"The explosion of digital distribution formats is transforming the media and entertainment industry, changing the way our clients distribute their content globally in a variety of formats and languages," said Barry Perlstein, President and Chief Executive Officer of SDI Media. "Elevation's operational and financial experience, along with their deep insights and industry relationships, will help us continue to meet our clients' complex needs in this rapidly changing market. We are extremely pleased about this new arrangement and believe it will have long-term benefits for our clients and our employees."

"SDI Media plays an important role in facilitating the delivery of content to a growing client base across the globe," said Bret Pearlman, co-founder and managing director of Elevation Partners. "We believe that SDI Media and its management team will continue to build on its history of technological innovation and industry leadership, and we look forward to working closely with them."

The terms of the deal, which is anticipated to close next month, were not disclosed. Allen & Company LLC acted as financial advisors to SDI Media Group and Warburg Pincus.

About SDI Media Group:

SDI Media Group Inc. is headquartered in Los Angeles and counts the world's leading media and entertainment groups among its extensive client list. SDI is the only company of its kind with subtitling and dubbing operations in Europe, Asia and the Americas, operating in 29 countries worldwide including regional hubs in London, Copenhagen, Mexico City and Hong Kong. SDI Media translates movies, TV shows, interactive games, and other multimedia content in over 60 languages. For more information, visit http://www.sdimediagroup.com.

About Elevation Partners:

Elevation Partners is a $1.9 billion private equity firm that makes investments in market-leading media, entertainment, and consumer-related businesses. It focuses on investing in intellectual property and content oriented businesses, as well as traditional media and entertainment companies, where it can partner with management to enhance growth and profitability through a combination of strategic capital and operational insight. Elevation's five partners are Fred Anderson, former EVP and CFO of Apple Computer; Bret Pearlman, former senior managing director of The Blackstone Group; Marc Bodnick, a founding principal of Silver Lake Partners; Roger McNamee, co-founder of Silver Lake Partners and Integral Capital Partners; and Bono, lead singer and co-founder of the rock band U2. For more information, visit http://www.elevation.com.