Netter Digital Entertainment Signs $8 Million Contractto Produce New Children's Animated Series...

NORTH HOLLYWOOD, Calif.--(BUSINESS WIRE)--Aug. 26, 1999--

Netter Digital Entertainment Inc. (NASDAQ:NETT) Thursday announced that it has signed a contract valued at approximately $8.0 million to produce 26 one-half-hour episodes of an animated television series based on one of England's

Production of this new children's series, featuring 100 percent computer-generated animation, is scheduled to be completed over the next 12 months. Further details will be announced later this year.

Douglas Netter, chairman and chief executive officer, said: "We are thrilled to be involved in this exciting project. Our success in winning this new business is the culmination of a diligent effort by all of us at the company to build on the leadership position in 3-D computer animation and special effects we established with `Babylon 5,' `Voltron: The Third Dimension' and other successful Netter Digital projects during the past few years.

"With our well-earned reputation for producing high-quality, fully computer-animated product, on time and on budget, we are confident that we will win additional contracts in the period ahead."

About Netter Digital

Netter Digital Entertainment Inc. acquires, develops and produces television series and made-for-TV and theatrical movies, and provides post-production, 3-D and special effects animation services to the television, movie and video game industries.

The company produced "Babylon 5" and "Crusade" in association with J. Michael Straczynski for Warner Bros. and Turner Network Television. The company also produced the all 3-D animated children's series "Voltron: The Third Dimension" for World Events Inc., which is syndicated worldwide.

The statements contained in this release that are not historical facts may be deemed to contain forward-looking statements with respect to events, the occurrence of which involve risks and uncertainties including, without limitation, demand and competition for the company's products, and other risks or uncertainties detailed in the company's filings with the Securities and Exchange Commission.