Foundation of China High Definition DVD Industry Association (CHDA) Heralds New Era of High-Definition Entertainment in China

The Optical Memory National Engineering Research Center (OMNERC),
a laboratory dedicated to optical disc research in Tsinghua
University, today announced CH-DVD (China High Definition DVD)(a), a
new generation high definition DVD format developed in collaboration
with research institutes and manufacturing enterprises at home and
abroad. The physical format of CH-DVD includes Chinese-owned
intellectual property, and is based on HD DVD, the next generation
high definition DVD approved by the DVD Forum. The realization of
CH-DVD was supported by the Chinese government, and will pave the way
for the localization of blue-laser, high-definition DVD in China.

On Sept. 7, 2007, OMNERC established CHDA -- the China High
Definition DVD Industry Association -- in cooperation with the DVD
Forum and Chinese and international partners. CHDA will play a
leadership role in the promotion of CH-DVD, and will make a big push
to launch CH-DVD player into the Chinese market in 2008.

The emergence of CH-DVD as a high definition format integrating
Chinese-owned intellectual property clearly demonstrates that a
Chinese optical disc technology is already at the world-class level.
In the near future, all related industries in China are expected to
make the transition from standard definition DVD to high definition
DVD.

CH-DVD is designed to play a central role in the sound development
of the content industry, and adopts advanced copy protection
technology that effectively prevents the spread of pirated copy. Many
content holders have confirmed their support for CH-DVD and will
launch movie titles in the CH-DVD format.

In the next year, China will start broadcasts of high definition
TV programs. In combination with HDTV, CH-DVD will provide a wide
variety of HD content that will enrich the lives of viewers.

(a) "CH-DVD" and "China High Definition DVD Industry Association"
are provisional names subject to change.