NME Enters into Binding Agreement with VDL-ODMS to Design and Build Proprietary HD-VMD Multilayer Optical Disc Replication Lines for Mass Production.

LONDON -- New Medium Enterprises Inc. (OTCBB:NMEN) (NME), today entered into a binding agreement with VDL-ODMS an optical replication plant design and manufacturing company to design and build NME's production lines for multilayer discs of the future.

VDL-ODMS, headquartered in Eindhoven, The Netherlands, is a global supplier of optical media replication equipment and processes. Part of the VDL Groep B.V., ODMS offers high performance solutions, based on a clear understanding of market needs and long experience in optical media technology.

The agreement includes the building of a multipurpose machine that will mass replicate the Company's multilayer optical discs, known as Versatile Multilayer Discs (VMD), as well as the usual DVD. In the future, similar machines will also manufacture multilayer discs for blue laser applications. These machines will combine the DVD processes and production modules of ODMS with new processes and modules stemming from novel technology developed by NME. The design will remain the sole ownership of NME. VDL-ODMS will promote and sell the VMD's proprietary lines to other parties globally on a licensing basis.

Dr. Eugene Levich, CTO of NME was delighted to join efforts with ODMS. He commented, "We are privileged to work with ODMS as a technology partner. Our scientific knowledge combined with their industry and technological expertise and experience, we feel confident that we will have the VMD replication lines of the highest caliber installed to churn out our high capacity discs."

Gabriel Walravens, CEO of VDL-ODMS stated, "NME showed us a great high storage technology and our initial findings lead us to believe that the VMD product will have big potential in the market and could be a low-cost solution to the media industry pursuing HD. We are happy to work with NME's scientific team and we are excited at the prospect of building the VMD lines."

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.

For additional information about VDL-ODMS, please consult the Company's website at www.vdl-odms.com

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