SOURCE: Virtual Media Holdings Inc.

July 11, 2006 09:15 ET

Virtual Media Holdings Inc. Announces the Launch of VMHSales.com

VANCOUVER, BC -- (MARKET WIRE) -- July 11, 2006 -- Steve Gaspar, President of Virtual Media Holdings Inc. (OTCBB: VMHIF), is pleased to announce the launch of VMHSales.com, an online portal where Music, Movie, Game and Book buyers and sellers meet. VMHSales.com customers are given the opportunity to comparison shop between thousands of wholesalers, retailers and individuals selling on the VMHSales.com portal creating a competitive, robust buying and selling environment.

The VMHSales.com marketplace platform is a custom-built software framework that facilitates the direct consumer-to-consumer and business to consumer buying and selling of new and pre-owned merchandise in a variety of Media related markets. VMHSales.com has over 7 million products in its database that include Music, Movie, Game and Book products.

The VMHSales.com Music offering includes releases from major label, independent distributors, import distributors, and artist direct distributors. Formats cover CDs, Cassettes, and Vinyl. The VMHSales.com Game offering includes Video game products for 38 console platforms and the market's top-selling PC/MAC games. The VMHSales.com Movie offering includes VHS, DVD, Dual Disc as well as the latest HD DVD, Blu-ray Disc, and Laserdisc titles. The VMHSales.com Book offering includes In-Print and Out of Print book data. Core data and images are provided by Baker & Taylor and the Library of Congress, the two most respected sources in the books marketplace.

According to Steve Gaspar, President of VMHSales.com, "With this expanded product offering Virtual Media Holdings Inc. can now gain ground on our online marketplace competitors. We expect traffic and revenue to increase as we expand our market penetration and merchant partnerships substantially. With the holiday season fast approaching we are anticipating a fast and speedy ramp up in sales. We have a large database of customers from our other ventures which will allow us to quickly grow the VMHSales.com customer base. We also expect to expand our marketing efforts to include the marketing of our website and products through direct marketing partnerships with brick and mortar stores. I thank shareholders for their continued patience throughout our expansion and look forward to providing shareholders future reports as progress is made."

About Virtual Media Holdings Inc.:

Virtual Media Holdings Inc. (OTCBB: VMHIF) is committed to changing the way merchants and consumers interact on the Internet. VMH has created a variety of Internet-based buyer/seller communities known as virtual marketplaces where VMH supplies a robust marketplace for traditional brick and mortar as well as other e-commerce companies to sell their media products. By partnering with VMH and using its unique e-commerce platform these companies achieve both increased web presence and increased revenues. VMH websites include www.DVDmarketplace.com and www.VMHSales.com.

Safe Harbor Act Notice:

Certain statements in this news release may contain forward-looking information within the meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and are subject to the safe harbor created by those rules. All statements, other than statements of fact included in this release, including, without limitation, statements regarding potential future plans and objectives of the company, are forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Technical complications that may arise could prevent the prompt implementation of any strategically significant plan(s) outlined above. The company cautions that these forward-looking statements are further qualified by other factors including, but not limited to those set forth in the company's Form 10-KSB filing and other filings with the United States Securities and Exchange Commission (available at www.sec.gov). The company undertakes no obligation to publicly update or revise any statements in this release, whether as a result of new information, future events or otherwise.

For further information about the company go to: www.virtualmediaholdings.com

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