Platinum Entertainment, Inc. to Launch an Advertising Supported Website That Will Offer Its Entire Catalog of Well-Known Artists and Songs for Free Downloads

Business Wire, Nov 23, 1999

DOWNERS GROVE, Ill.--(BUSINESS WIRE)--Nov. 23, 1999--

Most Frequently Downloaded New and Unknown Artists Will

Automatically Receive Record Contract;

Business To Business Music Initiative With yesmail.com and Listen.com

Platinum Entertainment, Inc., the U.S. largest independent record label, (NASDAQ: PTET), announced today an unprecedented move towards a new model for digital music companies on the Internet. It will be offering its entire music catalog of well-known songs and artists of all genres free for digital download on their new website, HeardOn.com. The advertising supported website will launch on December 15, 1999, initially with a large selection of Christmas and holiday standards for free digital downloads. In addition, new and unsigned artists will be encouraged to post their music on HeardOn.com. The most frequently downloaded artist each quarter will be guaranteed a record contract worth a minimum of $250,000.

HeardOn.com will subsequently offer free downloads of its entire catalog of nearly 15,000 songs featuring well known artists in all genres ranging from Pop to R&B to Blues to Gospel to Rock including: Pete Townshend, Sixpence None the Richer, Taylor Dayne, Peter Cetera, The Beach Boys, The Band, Dionne Warwick, Eddie Rabbit, The Oak Ridge Boys, The Winans, George Clinton, Johnny Gill, Otis Rush, and thousands more - all free to the consumer. HeardOn.com will also offer Platinum's huge catalog of classical music featuring the works of Mozart, Beethoven as well as every other major classical composer.

"This is exactly the right move for music content owners going forward. We feel that the free give-away of our music on the Internet will immediately result in a busy advertiser supported website," says Steve Devick, CEO of Platinum Entertainment, Inc. "At the same time, these free downloads will promote the sale of our records through retail."

The bricks and mortar division of Platinum Entertainment, Inc. has recently been separated and will be situated in its new facility in Atlanta. It will be managed independently from the newly established Chicago-based Internet digital music business.

"HeardOn.com will be similar to MP3.com, in that we will allow the free download of all music on our website in open MP3 format. However, our site will allow visitors the option to download music in secure formats such as Liquid Audio and Microsoft," expresses Devick. "The really unique feature of HeardOn.com is that it will offer free legal downloads of highly recognizable artists and songs as well as new and unsigned artists. The site will be our most important vehicle in finding new talent, which will facilitate the on going expansion of our digital music library."

HeardOn.com will debut on December 15th with free downloads of Platinum's expansive Christmas and holiday music collection. These Christmas and holiday classics include Handel's "Messiah" and "The Nutcracker" along with other Christmas and holiday standards. The Company anticipates that its entire catalog of almost 15,000 songs will be fully available with 50 to 100 highly recognizable new songs posted weekly following the debut.

Platinum Entertainment, Inc. has also formed a relationship with Listen.com that will expedite the inclusion of Platinum's extensive catalog of tracks into Listen.com's music download directory. The comprehensive directory includes original reviews and categorization of tens of thousands of artists and links to their legally posted work. Listen.com's music download directory resides at www.listen.com and is also syndicated to Excite, Lycos, shockwave.com, RealNetworks and Snap.com

"Platinum Entertainment should be commended for bringing a huge amount of quality legal music to the Web for consumers to enjoy," said Rob Reid, CEO and founder of Listen.com. "As Platinum's artists go online, Listen.com will make them easy to find and discover."

"Listen.com is by far is the most important and complete directory of downloadable music on the Internet," mentions Devick. "We hope to have an ever expanding relationship with Listen.com."

Platinum Entertainment also announced today an agreement for a business to business use of its musical content with yesmail.com, (NASDAQ: YESM), a leading outsourcer of permission e-mail marketing technologies and services. Under the agreement yesmail.com will be able offer downloads of Platinum's music content as an optional value-added free service to its new and existing YesMail members.

"We are delighted to add Platinum as a YesMail Network Partner," said Dave Tolmie, CEO of yesmail.com. "We are looking forward to teaming up with Platinum to give our members easy access to free music downloads. This partnership is a logical extension of our strategy to provide YesMail members with the best deals and offers that match their personal interests. We believe Platinum will be an instant leader in online music and are excited about the opportunities in adding downloadable music to our offerings."