Paramount, DreamWorks Animation Back HD DVD

LOS ANGELES, August 20: Paramount Pictures and DreamWorks
Animation have announced that they will exclusively support the HD DVD format
instead of Sony’s Blu-ray technology.

The exclusive HD DVD commitment will include all movies
distributed by Paramount Pictures, DreamWorks Pictures, Paramount Vantage,
Nickelodeon Movies and MTV Films, as well as movies from DreamWorks Animation,
which are handled exclusively by Paramount Home Entertainment. The HD DVD
backing does not cover films directed by Steven Spielberg for DreamWorks, as
his titles are not exclusive to either format.

Both studios said that after an extensive evaluation, they
found HD DVD had very clear benefits, including its market-ready technology and
lower manufacturing costs. Paramount Home Entertainment will launch its
exclusive HD DVD program with the release of the blockbuster comedy Blades
of Glory on August 28. This will be
followed by Transformers and Shrek
the Third.

"The combination of Paramount and DreamWorks Animation
brings a critical mass of current box office hits to consumers with a line-up
of live action and animated films that are perfect for HD DVD," stated
Brad Grey, the chairman and CEO of Paramount Pictures. "Part of our vision
is to aggressively extend our movies beyond the theater, and deliver the
quality and features that appeal to our audience. I believe HD DVD is not only
the affordable high quality choice for consumers, but also the smart choice for
Paramount."

DreamWorks Animation’s CEO, Jeffrey Katzenberg, added:
"We decided to release Shrek the Third
and other DreamWorks Animation titles exclusively on HD DVD because we believe
it is the best format to bring high-quality home entertainment to a key segment
of our audience—families. We believe the combination of this year's
low-priced HD DVD players and the commitment to release a significant number of
hit titles in the fall makes HD DVD the best way to view movies at home."

Universal has also exclusively backed HD DVD, while Warner
Bros. is releasing its offerings in both HD DVD and Blu-ray. Disney, Fox, Sony,
Lionsgate and MGM are dedicated to the Blu-ray format.
According to wire reports, Blu-Ray outsold HD DVD by 2 to 1 in the U.S.
in the first half of 2007.