DVD Will Continue to be Mainstay of Company’s Distribution System with No Decrease in Vivid Titles Sold Through Retail StoresVivid Entertainment, the world’s leading adult film producer, will release a new movie, “My Ex-Girlfriend,” directly and exclusively through Video on Demand � the first time an adult film company has ever used VOD as a primary distribution channel for its movies.

The new film, starring the beautiful and sexy Vivid Girl and Penthouse Pet Brea Lynn, will be released in high definition on July 2nd in a trial program through the company’s VOD distribution system.

“We remain committed to the DVD sales and rental market, but as that market matures and VOD continues to grow, Vivid will stay ahead of the curve as it has always done,” according to Steven Hirsch, Vivid’s co-chairman. “We plan to run our VOD and DVD operations as parallel businesses and will continue to maximize both channels of distribution,” he noted.

He said Vivid has been preparing for the increase in the VOD market for some time. It has released several films to retail stores in DVD format followed six months later and then three months later by VOD. Eventually the company began releasing titles simultaneously in stores and via VOD, a strategy that resulted in a surprising increase in DVD sales.

“The transition to VOD has been gradual and we’ve been planning for it by making more titles available via VOD, Burn to DVD and also releasing titles on VOD simultaneously with retail,” he said. “While we plan to release our first title exclusively on VOD, we don’t plan to reduce the number of titles that we also sell to brick and mortar retailers. According to our research, there are distinct and separate audiences for our movies via either DVD or VOD and we’ll continue to tailor our marketing programs to reach each group.”

“VOD is an outgrowth of the home media center concept,” Mr. Hirsch added. “While there continues to be a market for DVDs, many people today are showing a preference to use their computers or cable/satellite systems to get their movies directly. There are several factors affecting the growth of the VOD sector including multiple options for watching adult content, maturity of the DVD market and even higher gas prices are motivating the consumer movement away from the physical discs.�

About Vivid:

The Vivid Entertainment Group is the world’s leading adult film company. Founded in 1984, Vivid pioneered the “Vivid Girl” concept, under which top adult film stars are signed to exclusive agreements that are styled on the old Hollywood contract star system. Vivid has always placed heavy emphasis on high quality erotic film entertainment for the couples market. It has created wide brand-name awareness through its films and through a licensing and marketing program that extends to advertising, apparel, book publishing, virility supplements, condoms, snowboards, calendars and comic books. The company is known for its innovative technological advances such as full function DVDs, a fast growing wireless program that is already active in 20 countries, its Burn-to-DVD technology and its popular website www.vivid.com. Vivid is the first adult company to release a movie on both HD DVD and Blu-ray with “Debbie Does Dallas�Again.” A reality series about the making of the “Debbie” movie has become a popular Showtime TV series. Vivid is a major supplier of content for pay-per-view networks in North America and internationally. The best selling hardcover book How to Have a XXX Sex Life: The Ultimate Vivid Guide, was co-authored by the Vivid Girls and published by HarperCollins.

The company’s Vivid-Alt imprint is headed by Eon McKai, alt-porn’s dominant icon. McKai has been widely credited as the founder of this new and edgy film genre. He has been profiled in The New York Times, The Los Angeles Times and The Village Voice. Visit Vivid-Alt’s popular website www.vividalt.com. Tristan Taormino, popular columnist with The Village Voice and an award winning director has also launched a Vivid-Ed imprint for the company. Visit www.vivid-ed.com.