Image Entertainment Signs Licensing and Distribution Agreement for Austin City Limits Music Festival; Image to Release 2005 Concert on Special Edition 2-Disc DVD and CD Sets

February 6, 2006

Image Entertainment, Inc. (Nasdaq: DISK), a leading independent licensee, producer, and distributor of home entertainment programming in North America, announced it has signed an agreement with Capital Sports & Entertainment, a leading entertainment and sports management and marketing company, to release the 2005 Austin City Limits Music Festival on DVD and CD. The DVD and CD will both be special edition 2-disc sets featuring highlights from the 2005 Austin City Limits Music Festival. Both sets are slated for a Summer 2006 release. "The Austin City Limits Music Festival is one of the pre-eminent music events in the United States," said Barry Gordon, Image Entertainment's senior vice president of worldwide programming. "The quality of the production combined with the caliber of the performances will result in DVD and CD releases that are sure to capture the essence of this legendary event; this is a must-own for fans of quality music." Every year the Austin City Limits Music Festival presents more than 130 bands on eight stages over a three-day period. Like its namesake television program on PBS, the festival offers fans an eclectic mix of performers from legendary artists to rising stars. Since its debut in 2002, more than 400,000 people have experienced the multi-stage event in Austin's Zilker Park. Austin City Limits is a co-production of KLRU-TV and Capital Sports & Entertainment. More information is available at www.austincitylimits.com. "We're very pleased to be working with Image Entertainment on both the DVD and audio release of the 2005 festival," said George Couri of Capital Sports & Entertainment. "By working with Image, we are able to bring our sold-out festival to music fans around the country via an extensive and immediate retail distribution channel." About Image Entertainment: Image Entertainment, Inc. is a leading independent licensee, producer and distributor of home entertainment programming in North America, with approximately 3,000 exclusive DVD titles and over 200 exclusive CD titles in domestic release and approximately 300 programs internationally via sublicense agreements. For many of its titles, the Company has exclusive audio and broadcast rights and, through its subsidiary Egami Media, Inc., exclusive video on demand, streaming video and download rights. The Company is headquartered in Chatsworth, California, and has a domestic distribution facility in Las Vegas, Nevada. For more information about Image Entertainment, Inc., please go to www.image-entertainment.com.

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