ValCom, Inc. Signs $12 Million Production Deal with Digital Animation Media.

LAS VEGAS -- ValCom, Inc. (OTCBB: VACM)(Frankfurt XETRA: VAM), a Las Vegas-based entertainment production company, has joined Digital Animation Media, Ltd., a privately held Irish corporation headquartered in Dublin, Ireland, and signed a joint venture to produce the full-length feature film, The New Zoo Revue. The budget for the film is $12 million and is scheduled for production in 2007.

The New Zoo Revue, a true American classic, made three White House appearances and was part of the Macy's Thanksgiving Day Parade and aired in over 40 countries. This feature film will bring back the fun-loving characters of Henrietta Hippo, Freddie the Frog and Charlie the Owl to the memories of over 100 million Americans.

Vince Vellardita, chairman and CEO of ValCom Inc., said, "We are excited to announce our plans to do this feature film with Digital Animation Media, Ltd. They have a long-standing presence in several key European markets and the market leader in Ireland. We have been waiting for this deal for over two years, and it not only will provide an excellent footprint for Digital Animation to expand its North American presence but represents one more step in ValCom's commitment in bringing shareholder value and increasing our revenue base."

Digital Animation Media, Ltd. is one of the premier independent animation companies in Europe and a leading provider of animation software to other production companies worldwide.

Frank O'Donnell, Executive Director of Digital Animation Media, Ltd., stated, "We are really excited to bring this children's animated feature film to the table and partner with ValCom in the United States. While we are experienced in various media including feature films, television and interactive games, our animation department has been busy with several co-productions with ValCom properties to be announced soon."

About Digital Animation Media, Ltd.

Based in Dublin, Ireland, Digital Animation Media develops, produces and exploits a variety of animation-related assets worldwide. The company's animation division has been operating in Ireland since 1995 and has produced numerous interactive games, feature films, TV series and direct to video properties with various companies, including Disney, Warner Bros., Nickelodeon, Hasbro, Mattel and Intel. The company has several award-winning features and TV series in its library, as well as a pipeline of future projects in development. Through its subsidiary, Cambridge Animation Systems, operating since 1992, the company sells the industry-leading animation software package, Animo. Animo has a global customer base of over 3,000 seats in 50 countries and is used in virtually every major animation production facility around the world.

About ValCom, Inc.

Based in Las Vegas, Nev., ValCom, Inc. is a diversified and vertically integrated, independent entertainment company. ValCom, Inc., through its operating divisions and subsidiaries, creates and operates full service facilities that accommodate film, television and commercial productions with its four divisions comprised of: studio; film and television; live theatre; and broadcast television. ValCom's clientele list consists of all of the majors such as MGM, Paramount Pictures, ABC, CBS, Sony, NBC, etc.

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