Musicrypt Inc.
OTC Bulletin Board : MCYPF
TSX VENTURE : MCT

Musicrypt Inc.

July 20, 2005 16:02 ET

Universal Music Canada Extends Agreement With Musicrypt

TORONTO, ONTARIO--(CCNMatthews - July 20, 2005) -

Foremost Digital Distribution Company Continues Growth With Market Leader Universal Music Canada

Musicrypt Inc. (TSX VENURE:MCT)(OTCBB:MCYPF), the industry's leading developer of user-friendly and secure media distribution, today announced Universal Music Canada, Canada's leading record company has extended its exclusive agreement to use Musicrypt's Digital Media Distribution System (DMDS) to securely deliver broadcast quality music to radio and throughout the company.

Universal initially committed to DMDS in August 2004 and in the ensuing 11 months has used DMDS exclusively to digitally deliver some of it's biggest and most significant artists, including U2, Black Eyed Peas, Shania Twain, Elton John, Diana Krall, The Tragically Hip, Christina Aguilera, 3 Doors Down, No Doubt, Bryan Adams, Hillary Duff, The Killers, Mariah Carey, Gwen Stefani, and many more.

Randy Lennox, President & CEO, Universal Music Canada, said, "In Canada, Musicrypt's DMDS has revolutionized the way record companies distribute digital files internally and to radio. The progress this company has made in the last 2 years with their patented software is remarkable".

Major Canadian broadcast chains representing 100% of all chart monitored radio stations now use DMDS, including Canada's three largest broadcasters, Corus Radio, Rogers Media Broadcasting and Standard Radio, on an exclusive basis. Musicrypt's DMDS is currently used by over 85% of the Canadian music industry.

"Universal Music Canada has been a customer of ours for a year now and a strong partner throughout our entire development phase. After working closely with their entire team, we are very pleased to take this next step forward together", said Peter Diemer, Vice President, Marketing & Sales for Musicrypt. "The time, cost savings and efficiencies realized further prove that we're on track to eliminating the hard copy in the business environment".

In December, 2004 Musicrypt entered an exclusive partnership with Billboard Radio Monitor to market and promote DMDS in America following an extremely successful year in Canada where Musicrypt's Digital Media Distribution System (DMDS) is the premier digital music distribution system in the industry.

On March 1, 2005 DMDS was endorsed by Clear Channel Radio, America's largest radio chain with over 110 million listeners choosing Clear Channel programming each week, on March 29, 2005 DMDS was endorsed by XM Satellite Radio the number one satellite network in America, and on June 21, 2005 Musicrypt announced a strategic alliance with Nielson BDS, the leading supplier of terrestrial, satellite and digital radio song performance data.

Musicrypt has now delivered over 1,100 tracks to over 450,000 destinations, clearly making it the dominant secure digital delivery system and revenue leader in North America.

ABOUT UNIVERSAL MUSIC CANADA

Universal Music Canada, a unit of Universal Music Group, is Canada's leading music organization maintaining an overall 36.5% year-to-date market share. For further information on Universal Music Canada please visit www.umusic.ca.

ABOUT MUSICRYPT:

Musicrypt's patented Digital Media Distribution System (DMDS) is the leading secure B2B digital delivery solution for the music industry. DMDS is a web-based delivery system that pioneers secure digital file distribution by incorporating biometrics, high-value encryption and watermarking. The first application of DMDS replaces the physical distribution of new musical recordings by record companies from the studio, internally, and to radio stations with more secure, more effective and less costly digital distribution of broadcast quality media via the Internet. Musicrypt trades on the TSX Venture Exchange (TSX-V) under the symbol MCT and in the U.S. under OTCBB:MCYPF. For more information on Musicrypt, please visit http:// www.musicrypt.com.

The statements contained in this release that are not purely historical are forward-looking statements and are subject to risks and uncertainties that could cause such statements to differ materially from actual future events or results. Such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release

Contact Information

  • Monaco Publicity
    James Monaco
    Canada
    (416) 686-3395
    or
    Axis Marketing & PR
    Sarah Miller
    United States
    (323) 653-7800
    smiller@axismarketingpr.com