COOKIE JAR GROUP

COOKIE JAR GROUP

February 28, 2005 14:36 ET

Cookie Jar Entertainment and Direct Source Special Products Reach U.S. and Canada DVD Distribution Deal for Cookie Jar Library Titles


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: COOKIE JAR ENTERTAINMENT

FEBRUARY 28, 2005 - 14:36 ET

Cookie Jar Entertainment and Direct Source Special
Products Reach U.S. and Canada DVD Distribution Deal
for Cookie Jar Library Titles

TORONTO--(CCNMatthews - Feb 28, 2005) -

Cookie Jar Entertainment has named Direct Source Special Products, Inc.
as U.S. and Canada home entertainment/DVD distributor for more than 50
titles within the Cookie Jar library, it was announced by Sam Ewing, SVP
Sales & Distribution, Cookie Jar Entertainment, and Dan Shannon, VP
Product Development, Direct Source Special Products, Inc.

Included in the agreement are such celebrated Cookie Jar Entertainment
library kids titles as "Little Lulu," "Lassie" and "Are You Afraid of
the Dark," along with a number of family movies and miniseries such as
"The Million Dollar Babies" and "The Sleep Room." Depending on the
available rights for each country, Direct Source will handle home
entertainment/DVD distribution for U.S., Canada or both markets.

The Direct Source agreement marks the first back catalog deal reached by
Cookie Jar Entertainment since the company was formed last year.

Direct Source expects to roll out the first titles to retail in first
quarter 2005.

"Properly mining our library resources is a significant objective for
Cookie Jar Entertainment. Direct Source Special Products has
demonstrated a unique ability to generate effective sell-through across
the important U.S. and Canada markets. We are delighted to tap into
Direct Source's marketing and distribution prowess," said Sam Ewing.

"We are very excited to have completed this agreement with Cookie Jar
Entertainment. Largely unexploited on DVD, the Cookie Jar catalog will
generate a broad range of products, from single DVD's to full-series box
sets of quality family programming," said Dan Shannon, Vice President of
Product Development for Direct Source.

About Direct Source Special Products, Inc.

Direct Source Special Products Inc. is a full-service home entertainment
distribution company based in Montreal, Quebec. As a leading supplier of
mass premium entertainment products, Direct Source develops, produces
and distributes a wide range of DVD, music, and brand driven product
lines to major retailers, throughout the U.S. and Canada.

Cookie Jar Entertainment, Inc., The Cookie Jar Group's entertainment
operation, is a leading, global, independent producer and marketing and
brand manager of such renowned children's properties as "Arthur" and
"Caillou." Combining globally renowned intellectual properties with an
industry-recognized management, Cookie Jar Entertainment Inc. is a
market-driven, brand building company that is committed to children
first and foremost and is dedicated to the development and production of
quality programming that embraces the whole child, with animated and
live-action series that entertain, inspire and enlighten children and
family audiences worldwide.

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