Ad-hoc | 20 August 2006 21:21

Intertainment AG: Intertainment and Elie Samaha reach settlement agreement

Ad hoc announcement transmitted by DGAP – a company of EquityStory AG. The issuer is solely responsible for the content of this announcement. —————————————————————————— Intertainment and Elie Samaha reach settlement agreement Munich, August 20, 2006 – Intertainment AG, Munich, has reached a settlement agreement with the former CEO of US film producer Franchise Pictures, Elie Samaha, and the production company Sidonian Holdings LLC (formerly Glickson Investments International LLC). Samaha and Sidonian agreed to pay three million US dollars to Intertainment. The sum will be paid in two instalments by mid-December 2006. As a part of the settlement agreement, Samaha has also transferred his ownership interest in roughly 100 film production or film distribution companies that he controlled before 18 August, 2004, to Intertainment. The value of this interest cannot be determined at present as third parties have also claimed ownership rights in several of these companies; Franchise Pictures’ restructuring manager is among the claimants. In addition, several of these production companies have filed for bankruptcy. According to the settlement agreement, Intertainment will waive all further claims based on the summer 2004 judgement against Samaha and Sidonian. In the trial, Franchise Pictures, Elie Samaha personally, Sidonian and 15 further production companies had been found guilty of fraud; Intertainment had been awarded damages totalling 121.7 million dollars. The court imposed joint liability for 92.7 million dollars. The remainder was apportioned across the defendants, with Elie Samaha personally liable for 4 million dollars and Sidonian liable for 1.5 million dollars. Most of the companies found liable filed for bankruptcy protection according to chapter eleven of the US bankruptcy code shortly after the verdict. End of ad hoc press release Intertainment AG, Investor Relations, Frauenplatz 7, 80331 Munich, Germany; Telephone: +49 (0)89 21699-0, Fax: +49 (0)89 21699-11, Internet: www.intertainment.de, E-Mail: investor@intertainment.de (c)DGAP 20.08.2006 ————————————————————————— Language: English Issuer: Intertainment AG Frauenplatz 7 80331 München Deutschland Phone: +49 (0)89 21699- 0 Fax: +49 (0)89 21699-11 E-mail: investor@intertainment.de WWW: investor@intertainment.de ISIN: DE0006223605 WKN: 622360 Indices: Listed: Geregelter Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin-Bremen, Stuttgart, München, Düsseldorf, Hamburg End of News DGAP News-Service —————————————————————————