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September 25, 2003—Los Angeles, CA and Seoul, South Korea— Federal Hill Communications has been selected by Leadtech Corp., a leading provider of total solutions for digital VOD services in South Korea, to facilitate Studio negotiations for Hollywood movie content for Leadtech’s, Digital Café VOD deployments. Federal Hill will serve as Leadtech’s content acquisitions and programming division, responsible for movie choices, as well as ongoing follow up services, which include program management, refreshment of titles, contract administration, financial reporting, and maintaining relationships between Leadtech and the individual studios. The announcement was jointly made today by Bethany Gorfine, President and CEO of Federal Hill Communications and Mr. KR Kim, President, Leadtech.

“Most of the world is focusing on residential deployments for VOD. However, there are other niche markets rapidly evolving based on the individual territorial needs. In this instance, the Digital Café's are a blending of hotels, Internet café's and rental stores. We view this as a new and exciting opportunity for Federal Hill as well as yet another ancillary distribution path for the studios. We are fortunate that the studios agree with our assessment. Federal Hill is pleased to be representing Leadtech, and looks forward to providing a strong, well-rounded movie offering serving the needs of the consumers in South Korea.

“We see the Digital Cafés as an innovative, new entertainment service that has great potential within South Korea. The Digital Cafés enable consumers to view the latest movie releases with surround sound and superb picture quality of the theater with the added benefits of privacy and comfort,” commented Kim. Our system solution has been ready, but the one missing piece was content. Our relationship with Federal Hill solves this missing piece and we look forward to providing consumers of the Digital Cafés the highest quality movies,” said Kim.

The Digital Cafés will be independently owned and operated by franchisees with Leadtech Corp. responsible for supplying the content, encoded materials, system solution, and applications management program. Each Digital Café includes a Game room, Internet Café and multi-shops.

About Leadtech Corp.
Leadtech Corp. is a leading provider of digital video products such as Digital Video Recorders and Video On Demand servers for the entertainment and education markets. Leadtech offers a total systems solution for Video on Demand by integrating the hardware platform, Network and back office management with the driver/application software. For more information about Leadtech, please refer to our website www.leadtech21.com.

About Federal Hill Communications
Federal Hill Communications is a leading facilitator of studio negotiations for digital movie content and general entertainment programming from independent producers worldwide. Federal Hill’s programming specialists provide guidance to clients throughout the content procurement process including the acquisition, selection, negotiation and refreshing of content. Offering full-service customizable content solutions for VOD platforms, Federal Hill remains committed to meeting the content needs of diverse clientele worldwide. Federal Hill’s global client base includes cable operators, technology companies, systems integrators, telephone companies and hotels. For more information about Federal Hill Communications, please visit www.federalhill.tv.