MPEG LA Sues DVD Video Disc Manufacturer Regency Media Pty Ltd., of Australia for Breach of MPEG-2 License Agreement

Suit also names AAV Regency Pty Ltd. and AAV Regency Management Pty Ltd.

Denver, CO, US -- April 9, 2007 -- MPEG LA, LLC today announced that it has sued DVD video disc manufacturer Regency Media Pty Ltd. of Australia for breach of its MPEG-2 Patent Portfolio License (“Contract”) with MPEG LA. The suit also names related entities AAV Regency Pty Ltd. and AAV Regency Management Pty Ltd. According to the complaint filed in the United States District Court for the District of Colorado, Regency repeatedly has breached its contractual obligations to MPEG LA by failing to report the manufacture and sale of MPEG-2 Royalty Products and pay royalties as required by the Contract. MPEG LA seeks, among other things, monetary damages and an accounting of all products subject to the Contract, as well as injunctive relief prohibiting Regency from the manufacture or sale of MPEG-2 Royalty Products.

The MPEG-2 Standard is the core technology underlying the efficient creation, transmission, storage and display of digitized moving images and sound tracks on which DVD and other digital technologies are based; and the DVD-Video Standard (DVD Specifications for Read-Only Disc, Part 3: VIDEO SPECIFICATIONS) requires DVD Video discs to contain information formatted in accordance with the MPEG-2 Standard.

MPEG LA, LLC

MPEG LA is the world leader in alternative technology licenses, enabling users to acquire worldwide patent rights necessary for a technology standard or platform from multiple patent holders in a single transaction as an alternative to negotiating separate licenses. Wherever an independently administered one-stop patent license would provide a convenient marketplace alternative to assist users with implementation of their technology choices, the licensing model pioneered and employed by MPEG LA may provide a solution. Among MPEG LA’s licenses is one for MPEG-2 digital video compression that has helped produce the most widely employed standard in consumer electronics history. The MPEG-2 Patent Portfolio License, which includes more than 825 MPEG-2 essential patents in 57 countries, has approximately 1200 licensees accounting for most MPEG-2 products, including an estimated 90% of all DVD discs, in the current world market. MPEG LA is an independent licensing administrator; it is not related to any standards agency and is not an affiliate of any patent holder. For more information, please refer to http://www.mpegla.com.