The pairing of Artisan and Marvel is the perfect fit as each entertainment company is on a burgeoning path of growth and expansion. All productions will be geared to the sci-fi, fantasy and horror genres - areas in which Artisan has made a name for itself and the featured Marvel characters skew toward. Feature film concepts will be developed for both theatrical distribution as well as direct-to-video release, while the television programming will take the form of either television series or made-for-TV movies. The Internet initiatives will appear as short films and videos. Revenue generated from both the distribution of the productions as well as from licensing and merchandising will be shared equally by both companies and each company will also equally own the programming library.

Commented Malin, ``As Artisan builds and expands on its core businesses, we continue to break new ground and forge innovative alliances in order to deliver quality programming across multiple outlets. This partnership speaks not only to our corporate strategy but also to my relationship with Avi Arad, one of the most prolific executives in the entertainment industry and one that I respect immensely.''

Arad added, ``Artisan has proven itself to be one of the biggest innovators and premiere marketers in the entertainment industry, as evidenced by their success with titles such as The Blair Witch Project. Artisan and Marvel service the same community in film, television and the Internet. Our brands are synonymous with cutting edge entertainment - an area in which Artisan has success and expertise - which makes them the perfect partner for us. Amir Malin is my kind of executive, always seeking to break new ground in our fast changing media world. This joint venture with Artisan is further evidence of Marvel's commitment to deliver its incredibly popular character brands to a mass audience while also providing our core comic book and sci-fi fan base with a new way to experience their favorite heroes and villains.''

Artisan's Senior Vice President, Patrick Gunn will oversee day-to-day activities for the joint venture on the Artisan side. Gunn will work closely with Arad on all multimedia productions.

Artisan's Malin and Chief Operating Officer Ken Schapiro, brokered the deal on behalf of Artisan Entertainment, with Marvel's Arad and Executive Vice President for Business and Legal Affairs, Allen Lipson representing Marvel Enterprises in negotiations.

Marvel Enterprises, Inc. is one of the world's most prominent character-based entertainment companies with operations in five divisions: licensing, toys -- via its Toy Biz division, comic book and trade publishing, entertainment and the Internet. Through the ownership of over 4,700 proprietary characters, Marvel licenses its characters in a wide range of consumer products, services and media such as feature films, television, the Internet, apparel, video games, collectibles, snack foods and promotions. Marvel's characters and plot lines are created and developed through the comic book publishing division, which maintains a leadership position in the U.S. and abroad. For additional company information visit Marvel's corporate web site at www.marvel.com.

Artisan Entertainment Inc. is a leading independent entertainment company that distributes motion pictures in the home entertainment, theatrical and broadcast and pay television markets. Artisan has an extensive library of over 6,700 titles for which it predominately has U.S. and Canadian home entertainment distribution rights. Artisan's library includes home entertainment rights for event movies such as Terminator, Terminator 2: Judgment Day, Dirty Dancing and the Rambo series, as well as classic movies such as It's a Wonderful Life and Academy Award winners such as On Golden Pond, The Last Emperor and The Piano.

Artisan Pictures is an independent producer and distributor of theatrical product. Artisan's recent releases include The Blair Witch Project, Stir of Echoes and Buena Vista Social Club. Artisan has output agreements with Showtime Networks for domestic pay television as well as theatrical output deals with Alliance Atlantis in Canada and Alliance Atlantis/Kinowelt in the U.K., Highlight Communications in Germany and Lauren Films in Spain. Artisan's product is sold in international territories through Summit Entertainment.

Artisan Home Entertainment distributes video product directly to over 12,000 retail stores in the United States from popular brands such as Discovery, Hallmark and its own Family Home Entertainment brand which has released such titles as Merlin, Alice in Wonderland, and The Tales of Beatrix Potter and will release the award winning product from The Baby Einstein Company.

[Posted 5/17/2000]