News Release - For immediate release

Telestream FlipFactory V4.1 Automates Transcoding
for QuickTime 7 and iPod Video Formats

Now available, FlipFactory Version 4.1 adds more format and system support, including QuickTime 7, iPod, Avid DNxHD, Telecine, and more

Nevada City, Calif., February 16, 2006 – Telestream, the leading provider of digital media transcoding and workflow automation solutions, today announced availability of Version 4.1 for its world-renowned FlipFactory® software products. FlipFactory automates conversion and file transfer between more video/audio formats and professional systems than any other transcoding workflow automation application. With Version 4.1 FlipFactory continues to stay at the forefront by adding the latest formats, as well as deeper levels of format and system support, ultimately enabling and simplifying workflows in today’s increasingly complex, network-centric media environments.

FlipFactory V4.1 adds support for QuickTime 7 video and audio formats and iPod video format. Included in both is encoding support for the state-of-the-art H.264 worldwide video standard. Ratified as part of the MPEG-4 standard, the H.264 video codec provides efficient delivery of pristine quality video across a broad range of bandwidths, from 3G for mobile devices to HD for broadcast and DVD. With QuickTime 7 FlipFactory 4.1 also offers support for more channels of audio.

“FlipFactory’s ongoing format support provides important adaptability to meet our customers’ multiformat, high-volume transcoding needs,” said Anna Greco, Director of Business Development and Product Marketing at Telestream. “FlipFactory eliminates the need for baseband video conversions, enabling faster, more efficient all file-based workflows.”

Additional new features include two-pass encoding of constant bit rate (CBR) and variable bit rate (VBR) Windows Media to achieve very high quality output files. FlipFactory now supports decoding of the Avid DNxHD long-form content format. FlipFactory also supports OMF and AAF/MXF for DV25, DV50, and IMX formats via Avid Transfer Manager. More MXF support has been added for Quantel and SGI. Macromedia’s new Flash 8 format is now supported through the On2 Technologies Flix Exporter encoder. In addition, new Telecine and Inverse Telecine features in V4.1 add support for automated film-to-video and video-to-film transfers.

New system support has been added to FlipFactory TrafficManager, Telestream’s workflow application which automatically transfers commercials and syndicated content files from digital delivery services to on-air servers and provides notification to stations’ automation systems. Version 4.1 adds monitoring and automated ingest from Spottraffic’s catch server as well as notification support for Pro-Bel’s station automation system.

FlipFactory Version 4.1 is available immediately through Telestream’s worldwide sales distribution channels. Free upgrades are available at http://www.telestream.net/support/support.htm for customers with current maintenance and support agreements.

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About Telestream (www.telestream.net)

Telestream products have set the standard with the world's leading media and entertainment companies, corporations, and government institutions for the encoding, organizing, and delivery of digital media. Customers rely on Telestream products for convenient, cost-effective, and robust digital media access and exchange over IP networks. The company's core workgroup and enterprise solutions and newer Flip4Mac tools for the Macintosh streamline digital media workflows for content owners, creators, and distributors in any industry segment. Telestream and its team of video experts are located in Nevada City, the “video valley” region of Northern California. The company is privately held.

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