Magic Lantern Group Launches Online Digital Video Library Enterprise

Magic Lantern Group Launches Online Digital Video Library
Enterprise
-- Offers Partners, Distributors and Producers Equity Position in New Division
-- 


NEW YORK, Sept. 28  /PRNewswire-FirstCall/ -- Magic Lantern Group, Inc.
(AMEX:GML), (http://www.magiclanterngroup.com/), a leading international
distributor of educational content and third-generation digital content and e-
delivery solutions, announced today that the Company has launched a new
division called Parasol Video, Inc. for the unified creation of catalog
information, DVD masters and online digital streaming files for educational
markets. In an industry-first move, Parasol Video will also offer Magic Lantern
Group partners, educational video distributors and e-learning producers
collaborative use of its innovative VideoBase(TM) and InSite online video
technologies with options to acquire equity positions of up to 49% in the new
division.

A goal of the new division is to aggregate, promote and package the largest
collected library of online video offerings as an independent or non- specific
distributor-affiliated company. Partnering companies will enjoy multiple
benefits, including an immediate new sales channel without the upfront costs;
option for branded online storefronts; ability to integrate e- commerce hard
copy ordering of online titles; increased, global marketing resources and
option for an equity stake in a high-growth division.

Magic Lantern Group President and CEO Bob Goddard stated, "Parasol Video
follows a scalable business model similar to commercial giants such as
Amazon.com. Utilizing our proprietary digital indexing technologies, we are
creating a portal that allows for centralized searching and the aggregation of
millions of titles from multiple suppliers and producers. The cooperative
arrangement set forth by Parasol Video is revolutionary in that it allows for
revenue sharing on a partnership basis to take place among our suppliers,
distributors, and our competitors. Parasol Video will seek contributing video
rights on a non-exclusive basis in order to build critical mass, beginning in
Canada, followed by the United States and internationally. We expect the
division to have a strong impact to Magic Lantern Group's future revenues
beginning in 2005."

About Magic Lantern Group, Inc.

Magic Lantern Group, Inc. is a leading, global distributor of learning videos
serving more than 10,000 schools, libraries and social agencies in North
American and international markets. With 40,000 programs from 300 world-
renowned producers including Disney Educational Media, Schlessinger,
Annenberg/CPB and Cerebellum Corporation, monterey media and CTV Television,
the Company's educational products include: Magic Lantern InSite(TM), a digital
streaming video product for schools, libraries and universities and
TutorBuddy(TM), an at-home e-learning product for students and teachers.

Leveraging its position as one of the most highly respected brands in video
educational delivery, the Company is pursuing multiple sales verticals to
maximize total revenues.  Magic Lantern Group operates complementary
subsidiaries, including Magic Lantern Communications, a global distributor of
video content to schools, universities and libraries; Magic Vision Digital
Media, Inc., an emerging provider of on-demand sports entertainment, health and
business digitized content; and Sonoptic Technologies, a leading provider of
online, next-generation digital technology solutions.

Contact Information: For Investor Relations, contact Gary Geraci, National
Financial Network, 781-444-6100 ext. 629, email:  and visit:
http://www.nfnonline.com/gml/. At the Company, contact George Wright, ,
800-263-1717 ext.2336.

This Press Release contains certain forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995. The company
has tried, whenever possible, to identify these forward-looking statements
using words such as "anticipates," "believes," "estimates," "expects," "plans,"
"intends," "potential" and similar expressions. These statements reflect the
company's current beliefs and are based upon currently available information.
Accordingly, such forward-looking statements involve known and unknown risks,
uncertainties and other factors, which could cause the company's actual
results, performance or achievements to differ materially from those expressed
in or implied by such statements. The company undertakes no obligation to
update or advise in the event of any change, addition or alteration to the
information catered in this press release including such forward-looking
statements. 

DATASOURCE: Magic Lantern Group, Inc.



CONTACT:  For Investor Relations, Gary Geraci of National Financial

Network, [phone] ext. 629, email: ; or George

Wright, of Magic Lantern, [phone] ext.2336, 



Web site:  http://www.magiclantern.ca/

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