National Association of Broadcasters Conference 2005, Las Vegas, Nevada, April 19, 2005 - Inlet Technologies, a provider of professional encoding solutions for next-generation content distribution and THX Ltd., the leading provider of technologies, certification programs and quality assurance standards for the entertainment industry announced today that they will work together to define quality assurance standards for VC-1 post-production.

VC-1, the proposed SMPTE standard based on Windows Media 9, is quickly gaining momentum as a leading codec for post-production. VC-1 offers a 2x quality improvement over the existing MPEG-2 standard with significantly reduced file size, making the format suitable for many next-generation content distribution methods including Blu-Ray, HD-DVD, video-on-demand and digital dailies.

”We believe encoding is a critical step in preserving the quality gained by using an advanced compression format, such as VC-1,” said Joseph Lias, president of THX, Ltd. “By collaborating with Inlet, the leader in advanced encoding for post-production, THX is achieving its mission of maintaining the integrity of content throughout the post-production process.”

THX and Inlet Technologies will work together to research, define and implement quality standards for the production of WMV HD/VC-1 content, particularly with respect to the encoding process. Inlet Technologies will also support the THX Best Practices Lab for Windows Media, a facility for broadcast and filmmaking communities to learn more about content creation and distribution using Windows Media and VC-1.

”THX is synonymous with quality, and we share their commitment to presenting the highest-quality entertainment experience to media consumers.” said Neal Page , CEO of Inlet Technologies. “We are pleased to work with THX to develop standards that assist post-production professionals in preserving the incredible quality attainable with the WMV HD/VC-1 format.”

About Inlet Technologies
Inlet Technologies provides professional encoding solutions for advanced compression technologies. Inlet's Optimized Compression, Encoding and Analysis (OCEAN™) platform combines the leading advanced compression encoding format with proprietary analysis tools to enable intelligent, real-time encoding of high-definition content for the post-production and broadcast markets. Inlet Fathom is the first professional hardware-based encoding solution for VC-1 content distribution. Inlet Technologies is based in Raleigh, NC. For more information, visit www.inlethd.com

About THX Ltd.
As consumers seek entertainment experiences with greater sensation and sensory immersion, using precision science to invent new technologies has become paramount. THX Ltd. is continually enhancing these consumer experiences by enabling the creation, delivery and presentation of digital content through more efficient, more powerful, and more enjoyable methods. With structured certification programs and innovative technology development, THX is embedding the science of sensation in diverse entertainment venues and influential products. Today, the world’s premier commercial cinemas, post-production studios and home entertainment products incorporate THX technologies and have achieved the coveted THX Certification. The company is headquartered in San Rafael, Calif. Its Digital Works office, offering movie and DVD mastering and post-production services, is based in Burbank, Calif. For more information, visit www.thx.com.