SOURCE: VMH VideoMovieHouse

June 01, 2006 10:00 ET

VMH Subsidiary Signs Online DVD Rental Firm DVD Avenue as a Featured Merchant; Additional Revenues Are Anticipated

VANCOUVER, BC -- (MARKET WIRE) -- June 1, 2006 -- Steve Gaspar, President of VMH (OTCBB: VMHVF), is pleased to announce that fully owned subsidiary, an innovative DVD buyer/seller marketplace portal, has signed DVD Avenue, one of the largest online DVD rental companies in the U.S., to its rapidly growing roster of merchants.

DVD Avenue will use the portal as an effective and efficient tool to sell its excess and overstocked inventory of DVDs to the public. will also help establish DVD Avenue's branding as a seller of DVDs by marketing their Featured Merchant storefront built on the portal to its 400,000 VMH customers. in turn receives a percentage of sales.

According to Rich Thomas, President of, "We feel that has the potential to add significant profits to our bottom line with their consumer friendly site and the large amount of offerings available. Our reasons for using DVDMarketplace over other websites are the ease of use of their software and their ability to effectively promote our selection of DVDs for sale on their site.

"With's commitment to the continuous and aggressive promotion of DVD Avenue's overstocked and previously viewed DVD titles, DVD Avenue will now be able to quickly sell their excess inventory creating a new cash flow. Traditionally, online DVD rental companies have experienced losses from overstocked and previously viewed DVD titles sitting idle in warehouses, wasted capital that could be reinvested into other areas if these titles could be monetized.'s portal is being embraced by the online DVD rental industry because we offer the industry the solution they are looking for, an effective means of selling excess inventory no longer being rented. We can easily monetize what many online DVD rental companies once thought was something to be written off."

Steve Gaspar, President of VMH Inc., stated, "VMH has been a huge fan of DVD Avenue, as they have a history of being at the forefront of the online DVD rental industry and are one of the first. DVD Avenue has certainly been responsible for much of the growth of the online DVD rental industry starting their business on the east coast only months after Netflix (NFLX) and is currently one of the top 5 players in the online DVD rental industry. I am honored an innovative online DVD rental company such as DVD Avenue has partnered with in the online DVD sales arena and look forward to a prosperous business relationship between our two firms. I also expect this partnership to generate many more online DVD rental company partners as DVD Avenue is recognized as one of the leaders in online DVD rental industry. I am also excited for our employees and shareholders as this certainly validates the successful change of direction our company has taken by becoming a technology and marketing firm as quickly has made a name for itself amongst the online marketplace community. Our proprietary marketplace format has lead to many extraordinary business partnerships and synergistic business opportunities for VMH and I look forward to announcing some additional significant strides we have made in our effort to compete head on with and in the near future."

About VMH

VMH (OTCBB: VMHVF) is an innovative online seller of DVDs worldwide currently operating the innovative marketplace portal The company intends to concentrate its near-term expansion efforts toward the third-party e-merchant business and will be offering other media products besides DVDs for sale over its websites shortly. It plans a national advertising campaign rollout this summer with aims of creating one of the world's largest interactive media product and DVD Buyer/Seller communities.

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 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.

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