The Leading Online Video Streaming Network to Join MTV Networks’ Leading Multi-Platform Brands

October 13, 2005 (New York, NY) ─ MTV Networks, a unit of Viacom Inc., has acquired IFILM Corp., one of the leading video destinations on the Web, for $49 million.  The announcement was made today by Judy McGrath, Chairman and CEO of MTV Networks.

IFILM is a leading aggregator and distributor of video online featuring programming from Hollywood studios, amateur filmmakers, and user-generated content. The site has the biggest library of short form entertainment video on the web and reaches over 10 million users per month.

The acquisition of IFILM coupled with the recent purchase of Neopets, the world’s fastest growing youth community on the Internet, and MTV Networks’ strong digital offerings, highlights the company’s continued commitment to being a leading multi-platform entertainment company, dedicated to serving its audiences across all screens. With the addition of IFILM to the MTV Networks family of leading, targeted entertainment destinations, MTVN continues and expands its position as one of the top entertainment networks on the web.

IFILM will continue to be run by CEO Blair Harrison, who will report to Jason Hirschhorn, Senior Vice President, Digital Music and Media, MTV Networks.  The company will remain based in Hollywood.

“We are thrilled about the acquisition of IFILM. This move is at the heart of MTV Networks multi-platform strategy and meshes with our tradition of cultivating independent and creative brands.  We’re combining the top brands in all digital media with our global reach and programming expertise to speak to consumers everywhere they live their lives,” said McGrath. “Additionally, with IFILM’s strong business profile and growing traffic, we see significant opportunities for us to increase our online advertising revenue.”

“IFILM has been a major catalyst of online viral video and allows consumers to become publishers. MTV Networks wants our audience to share the stage and program to one another.  The expansive content on the site makes it a must-visit – IFILM is simply one of the most vibrant online destinations out there. We look forward to growing its user base and business opportunities together,” said Hirschhorn.  “We’re also excited about the partnership potential with our established brands like MTV, MTV2, mtvU, Comedy Central, SpikeTV and VH1.”

“IFILM and its audience have spent the last seven years building the largest library of video and the most active community of people focused on creating, sharing and watching it online. In MTV Networks, we have found a partner with ultimate respect for strong independent brands and the resources, expertise and desire to help grow them. Now, together, we will turn IFILM into another household name in the MTV Networks family,” said Harrison.

About IFILM

IFILM is one of the leading video-entertainment destinations on the Web, with the largest collection of viral and user generated video along with channels of the best short films, TV clips, and music videos and action sports. IFILM.com delivers more than 30 million streams per month, making it one of the top ten streaming media sites in the world.

About MTV Networks

MTV Networks is one of the world’s leading creators of programming and content across all media platforms.  MTV Networks, with more than 100 channels worldwide, owns and operates the following television programming services ─ MTV: Music Television, MTV2, VH1, mtvU, Nickelodeon, Nick at Nite, Comedy Central, TV Land, Spike TV, CMT, Noggin, Logo, MTVN International and the

Suite from MTV Networks, a package of 13 digital services, all of these brands are trademarks of MTV Networks.  MTV Networks connects with its audiences through its robust consumer products businesses and its more than 90 interactive properties worldwide, including online, broadband, wireless and interactive television services and also has licensing agreements, joint ventures, and syndication deals whereby all of its programming services can be seen worldwide.

On June 14, 2005, Viacom’s Board of Directors unanimously approved the creation of two separate publicly traded companies through a spin-off to Viacom stockholders. The company to be spun will retain the Viacom Inc. name and will be comprised of MTV Networks, BET, Paramount Pictures, Paramount Home Entertainment and Famous Music. The other company, to be called CBS Corporation, will combine the CBS and UPN broadcast networks, Viacom Television Stations Group, Infinity Broadcasting, Viacom Outdoor, the CBS, Paramount and King World televisions production and syndication operations, as well as Showtime, Simon & Schuster and Paramount Parks.  The spin-off is expected to be completed in the first quarter of 2006.