SOURCE: Impart Media Group, Inc.

April 12, 2007 13:05 ET

Impart Media Group Reports 2006 Fourth Quarter and Full Year Results

SEATTLE, WA -- (MARKET WIRE) -- April 12, 2007 -- Impart Media Group, Inc. (OTCBB: IMMG), a provider of end-to-end networked digital signage solutions for the enhanced delivery of information, brand marketing, merchandising, and advertising, announced today financial results for the 2006 fourth quarter and full year. The company reported revenue of $2.29 million for the fourth quarter of 2006, compared with $1.61 million during the fourth quarter of 2005. The increase was mainly due to additional revenues attributable to the company's acquisition of E&M Advertising, Inc. and its affiliates (E&M) in February 2006 offset by lower equipment sales and managed subscriptions revenues. The company reported a net loss of $1.60 million compared to a net loss of $1.13 million last year, and a basic and diluted loss per share of $0.07 compared to $0.09 last year. The increase in net loss for the 2006 fourth quarter was primarily attributable to the increases in compensation expenses and other general and administrative expenses resulting from the company's acquisition of E&M. The company's fourth quarter 2006 sales of $2.29 million represent an increase of 39% over third quarter 2006 sales of $1.65 million.

Full Year 2006 Results

For the 2006 full year, the company reported revenue of $6.59 million compared to $4.94 million in 2005. The increase was mainly due to revenues attributable to the company's acquisition of E&M offset by lower equipment sales and managed subscriptions. The company incurred a net loss of $10.10 million compared to a net loss of $2.42 million last year, and a basic and diluted loss per share of $0.61 compared to $0.28 last year. The increase in net loss during 2006 is primarily attributable to the increases in compensation expenses, professional and consulting expenses, impairment of intangible assets, other general and administrative expenses and interest expense. These increases resulted mainly from the company's acquisition of E&M, the write-down of the company's intangible assets acquired from accrued interest from the company's credit line, plus legal, consulting, and other costs in connection with 2006 funding transactions and investor relations.

Joe F. Martinez, Impart's Chairman & CEO, said, "Although I am not totally happy with our sales progress in 2006, I am pleased that even in a very tough year for us we were still able to grow revenue while completely reorganizing the company, cutting certain non-core business units and cleaning up all legacy issues that were draining on our operations."

Please see the recently filed Annual Report on Form 10-KSB for complete 2006 financial information and business discussion.

2007 Business Outlook

"Last year was truly a transitional and transformational year for the company as we achieved several critical milestones," concluded Martinez. "We revamped our internal organization, reinvigorated our direct sales and channel strategies, refined our IQ product and services offerings, and formalized new and complementary strategic relationships, some with global reach.

"We remain confident in our new business opportunities in this fast evolving and expanding out-of-home (OOH) market, as alternative modes of new media continue to disrupt the deployment of traditional old media. After a year of renewed focus and product repositioning into major sales projects, we have aggressively increased our market presence -- efforts that will enable us to reach our topline revenue targets and achieve profitability."

An audio broadcast reviewing the company's fourth quarter and full-year results will be available on April 24th, 4:30 p.m. (EDT) via telephone by dialing 1-641-297-5500 with access code 01300. A MP3 file archive will be downloadable two hours after the audio broadcast, accessible from the Investor section of Impart's corporate Web site at www.impartmedia.com

Please address all shareholder or investor questions for the scheduled audio broadcast, in advance, to question@impartmedia.com

To be added to our permanent mailing list, please email investor@impartmedia.com

About Impart Media Group, Inc.

Impart Media Group, Inc., headquartered in Seattle, Washington, U.S.A, is a rapidly expanding digital signage leader in the emerging out-of-home (OOH), business-to-consumer media sector. The company's mission statement: "We provide end-to-end networked digital signage solutions for the enhanced delivery of information, merchandising, brand marketing, and advertising." The company's digital signage and interactive kiosk solutions consist of flat panel monitors, media players/servers, audio-video accessory components, enclosures/mounts/fixtures, web services, and enterprise software. The company also provides consulting, design, integration, fabrication, assembly, IP connectivity, quality assurance, creative production, installation, onsite maintenance, web-data hosting, network monitoring and content management services throughout the United States (and in global markets through its authorized distributors). As a result of the company's acquisition of E&M Advertising, Inc. and its affiliates in February 2006, Impart Media Group, Inc. now provides offline and online, direct response advertising capabilities. The company is growing through an aggressive consolidation strategy of developing the most advanced solutions to create a broad, integrated one-stop communications media company focused on digital signage and networked interactive media product offerings for leading brands and environments in industries such as retail, grocery, banking, restaurants, leisure & hospitality, hotels, government, airports, and public transit spaces, among others. The company's digital signage solutions enable the simultaneous delivery of video, stills, text, web, and animation content to a variety of remote audiences in real time, allowing for immediate customization of messages through a centralized network operations center or secure web portals. For more information, please visit www.impartmedia.com or call (800) 544-3343.

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995. This news release may contain forward-looking statements relating to the success of any of the Company's strategic initiatives, the Company's growth and profitability prospects, the benefits of the Company's products to be realized by customers, the Company's position in the market and future opportunities therein, the deployment of Impart products by customers, and future performance of Impart Media Group. Forward-looking statements may also include, without limitation, any statement relating to future events, conditions or circumstances. Forward-looking statements in this release are not promises or guarantees and are subject to certain risks and uncertainties, and actual results may differ materially. These risks and uncertainties include, among others, risks involved in the completion and integration of acquisitions, the possibility of technical, logistical or planning issues in connection with deployments, the continuous commitment of the Company's customers and other risks detailed from time to time in the Company's filings with the Securities and Exchange Commission (SEC). You should not place undue reliance upon any such forward-looking statements, which are based on management's beliefs and opinions at the time the statements are made, and the Company does not undertake any obligations to update forward-looking statements should circumstances or management's beliefs or opinions change.

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