Salter Street Films press release, January 17th 2001

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JANUARY 17, 2001 - 13:21 EST

Salter Street Films: LEXX Merchandise Campaign Kicks Off

HALIFAX, NOVA SCOTIA--Salter Street Films International, the wholly-owned distribution subsidiary of Salter Street Films (TSE: SSF), announced today the kick-off of the licensing campaign for merchandise associated with its science fiction series LEXX.

Included in the campaign are home video and DVD for the United States and Canada. In the United States, Acorn Media will release 20 episodes of LEXX on DVD and video. In Canada, KOCH International has released the first four LEXX movies on DVD and video and will follow up with the first 20 episodes of the LEXX one-hour series.

A new worldwide CD release of the LEXX soundtrack from composer Marty Simon on the GNP Crescendo label, is also now available containing music from all three LEXX seasons.

Merchandise licensing arrangements now in place include:

* Trading cards and collector binders: Dynamic Forces Inc. of Runnemede, NJ, U.S. as licensee
* Comic books: JMJ Media Group of Maryland, U.S. as licensee for their Andromeda label
* Posters and calendars: Trends International Corp. of Mississauga, Canada as licensee

George Gross of G Squared Promotion Ltd. is the exclusive licensing agent for LEXX for the U.S. and Canada.

"The fan base for LEXX has been growing hugely, worldwide, over the past 18 months," comments Stephen Kelley, V.P. Salter Street Films International. "With 65 episodes to be complete by the end of 2001, we are now in a position to fully exploit merchandising potential of the LEXX brand."

Meanwhile, LEXX continues to sell around the globe. New sales in the first quarter of 2001 include City TV, Colombia; Sky Network, New Zealand; and Proxima, Bulgaria

Salter Street Films is currently in production on a 4th season of LEXX for SCI FI Channel (U.S.) and CHUM Television's Space: The Imagination Station (Canada). The order follows LEXX's consistently strong ratings since its U.S. debut in January. SCI FI Channel has ordered a season of 24 one-hour episodes, which will bring the total number of LEXX episodes to 65, a number suitable for syndication. LEXX has been sold in 100 countries and airs on Channel 5 (U.K.), Sci-Fi Channel (Europe) and Canal Plus (France). LEXX fans around the world have created over 100 spontaneous fan websites.

LEXX follows the nomadic existence of four misfit characters who have inadvertently stolen the most powerful weapon of destruction ever made: a Manhattan-sized, sentient, genetically modified insect named the Lexx. Unique and stylized, the show disregards orthodox science fiction storytelling methods and creates its own off-beat world. Together with its record-breaking use of Computer Generated Imagery, this has made LEXX a true original in the sci-fi genre.

LEXX stars Brian Downey as Stanley Tweedle, the bumbling and self-serving captain of the Lexx; Xenia Seeberg as Xev, the insatiable love slave with an attitude; and Michael McManus as Kai, a 6000 year old assassin who, despite the fact he is technically dead, is an invaluable member of the crew. They are joined in their adventures by the love struck robot head, 790.

Salter Street Films International is the wholly owned distribution subsidiary of Salter Street Films (TSE: SSF) with a library of over 1,000 half-hours of programming. Salter Street Films is an integrated entertainment company that develops, produces and distributes original film and television programming and Internet products and services. Salter Street's television programs include the award-winning and top-rated comedy series This Hour Has 22 Minutes and Made in Canada (currently broadcast in the U.S. as The Industry on PBS affiliated stations); the second series of The Awful Truth with Michael Moore (for Bravo, The Film and Arts Network, and Channel 4 U.K.); Emily of New Moon (currently broadcast on Encore's WAM! family channel); and the science fiction series LEXX.

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