SOURCE: CineMaya Media Group, Inc.

February 20, 2008 08:51 ET

CineMaya Media Continues Expansion Into India With New Hyderabad Operations, Sees Sales Continuing to Increase in 2008

NEW YORK, NY--(Marketwire - February 20, 2008) - CineMaya Media Group, Inc. (PINKSHEETS: CNMY), the leading South Asian media and entertainment company in North America, today announced, after opening its offices in each of the two largest cities in India, Mumbai and Delhi, in 2007, the company is now planning to open a third India office in Hyderabad, the capital city of the state of Andhra Pradesh. CineMaya Media Group reports business in India continues to increase, and there is a growing need for greater operations to service the southern region of India. The Hyderabad office will serve as the nerve center for business development and advertising sales for all company divisions for Andhra Pradesh, and cover all of South India.

During recent years, CineMaya Media Group has experienced robust growth of 57.42% CAGR (Compounded Annual Growth Rate) in North America, but with its recent penetration into Asia, it's now expecting to see similar, if not better, numbers from increased sales and operations in India. The strategy for this expansion to Hyderabad is based on two primary reasons which are interconnected for the growth of CineMaya Media Group's business in India and amongst this vital demographic, as witnessed in the US and India.

First, during the past decade, immigrants from Andhra Pradesh, referred to as the "Telugu" community, have contributed to enormous growth, and have been a driving force in the fields of technology, information, medicine, and entrepreneurship in North America. The Telugu community in the US is known for being highly educated, young, and affluent, and largely concentrated in Silicon Valley, New Jersey, and Virginia. The group accounts for an estimated 25% of the Indian community in the US, which in total is expected to reach over 3 million by 2010.

Second, Hyderabad has become the Indian base for large corporations from around the world, as well as home to India's biggest enterprises. Hyderabad is a major center for Infosys, Microsoft, Yahoo, Google, Wipro, Satyam, amongst others in the "Hi-Tech City." With the emergence of Special Economic Zones (SEZ) in various states in India, and a very strong media and entertainment industry, the state of Andhra Pradesh has become one of India's premier business centers. It is no wonder that most foreign dignitaries and US presidents make it a point to visit Hyderabad on their trips to India. Today, Hyderabad is more popularly known as the Hi-Tech City of India, or the equivalent of India's Silicon Valley.

"We are very excited to fulfill the need for a greater presence in the city of Hyderabad. Originally, CineMaya intended to operate only two primary offices in India, but with the growing demand, increased business opportunities, and the strength of the market throughout South India, it became an easy business decision to satisfy the rising need," stated Nayan Padrai, President of CineMaya Media Group. "We expect to generate business for all our divisions from this rapidly growing technology hub and fuel our continuing expansion in India."

In 2007, CineMaya Media Group increased annual revenues by approximately 40% to an estimated $6 million. With its recent expansion into India, the company expects to equal or surpass the annual growth numbers during each of the next three to five years.

CineMaya Media Group is developing strategic sales and marketing departments across its various centers to promote its media properties and marketing services. Thus, the company expects to further increase its impressive CAGR of 57.42%, which until recently was largely achieved from referrals and word-of-mouth marketing.

CineMaya Media Group currently has offices for its media-entertainment-marketing divisions in New York, New Jersey, California, Toronto, New Delhi and Mumbai, and expects to begin Hyderabad operations in the coming months.

For more information on CineMaya Media Group, visit www.cinemayamedia.com.

About CineMaya Media Group:

CineMaya Media Group (PINKSHEETS: CNMY) is a leading provider of high quality international South Asian media, entertainment, and marketing services. Established in 2000 as a vertically integrated company, CineMaya Media Group has since grown into a mini-conglomerate in the ethnic media landscape through its robust businesses within the following areas: Publication, Broadcast Television, Radio, Film & Television Production, Events, and Advertising. More information about CineMaya Media Group may be found on the corporate website, www.cinemayamedia.com.

Safe Harbor Statement:

The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" for forward-looking statements. Certain of the statements contained herein, which are not of historical facts, are forward-looking statements with respect to events, the occurrence of which involve risks and uncertainties. These forward-looking statements may be impacted, either positively or negatively, by various factors. Information concerning potential factors that could affect the Company is detailed from time to time in the Company's reports filed with Pink Sheets.

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