SOURCE: RMD Entertainment Group

August 23, 2006 09:40 ET

RMD Entertainment Closes Regulation D Offering

PHILADELPHIA, PA -- (MARKET WIRE) -- August 23, 2006 -- RMD Entertainment Group (PINKSHEETS: RMDG) announced today that it has closed its Regulation D, Rule 504 offering and is no longer selling shares of its common stock to accredited investors. A Form D is being filed with the Securities and Exchange Commission this week, disclosing that the company has raised $990,000 in the offering over the past twelve months. The limit to any such offering is $1 million per year.

RMD CEO Giorgio Costonis commented, "The company had to complete the offering in order to facilitate our recent transition from a company in the early stages of development, to a viable corporate entity developing, distributing and selling merchandise to the masses across virtually all retail channels." Costonis added, "We rapidly matured the day our first 'bricks and mortar' project, Block Star DVD Magazine, became available on traditional retail shelves and we are expecting a substantial growth spurt when Roc Monee's album hits the shelves in the near future. We are so grateful to those who stood by us and shared our vision for success. All of our projects have been nurtured to perfection and from this point forward we expect to penetrate the global market on a whole new level, working hand in hand with the best retail outlet chains and digital distributors that the world has to offer. I made it my personal mission to make RMDG the number one hip hop company in the world by weaving an unbreakable fabric of solid corporate practices, uncommon work ethic, hot urban product development, integrity, and a unique understanding of the role that technology plays now and in the future in our business platforms. I remain both committed and confident that we will achieve this goal."

About RMD Entertainment Group

RMD Entertainment (RMD) is a cutting-edge entertainment company that is primarily focused on the development and international marketing of "hip-hop" music, including compact discs, digital downloads, and personal "ring tones" for mobile phone customers, as well as other "hip-hop" lifestyle products. The Company has also created MOTV, the ability to stream video content to mobile devices, including cell phones and PDA's. RMD has significant successes internationally and its staff producers have collaborated with some of the most influential names in the music today including Sting, David Byrne of the Talking Heads, George Kranz, Freedom Williams of C & C Music Factory, Stevie Winwood, Robin Scott, and jazz saxophone legend Bill Evans, among others. The Company currently possesses an impressive hip-hop catalogue, which it distributes exclusively through Bungalo Records and Universal Music Group (a subsidiary of Vivendi Universal in North America and in Europe through the Pickwick Group Ltd. of London. It also distributes music in download and ring-tone formats around the globe through 62 on-line distribution partners.

Forward-Looking Statements

This press release contains statements, which may constitute "forward-looking statements" within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995. Those statements include statements regarding the intent, belief or current expectations of RMD Entertainment Group, Inc, and members of its management as well as the assumptions on which such statements are based. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those contemplated by such forward-looking statements. The Company undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results.

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