Deluxe Acquires Chace Audio

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Deluxe Digital Media announced that it has acquired the assets of Chace Audio effective July 1, 2009. Chace Audio is a full-service audio post-production facility with a broad range of services including sound restoration, layback and conform, digitization, mixing and recording services, and optical track creation. Chace Audio has world-wide recognition for its innovative technologies and processes that have been used on 92 of the 100 best films in the AFI 100 Years... 100 Films list. Chace is strategically engineered to support the growing demand for high quality motion picture sound as well as to provide vital initial preservation, restoration, and migration of sound from modern and vintage formats. Bob Heiber, President of Chace, will continue to lead Chace and become Vice President-Audio for Deluxe Digital Media. He will report to Gray Ainsworth, Sr. Vice President Operations. "Chace has best-in-class expertise and a strong worldwide reputation in the industry which will make an excellent addition to the roster of DDM (and, more broadly, Deluxe) services. This will allow us to strengthen our post and after post-production abilities and better serve our customers across the life cycle of content," says Ainsworth. "We are very excited about the collaboration opportunities that are part of our future in the Deluxe families,� stated Bob Heiber. "The energy and enthusiasm exhibited by Deluxe management and staff to bring this needed addition to their comprehensive solutions structure was a big motivational incentive. With Deluxe’s support and expertise, we’ll be able to concentrate on continuing to provide the highest quality, wide ranging services for our clients," Heiber concluded. Chace will operate under the name Chace Audio by Deluxe and will remain in its current location.

About Deluxe Entertainment Services Group Inc.

Deluxe Entertainment Services Group Inc., a wholly-owned subsidiary of MacAndrews & Forbes Holdings Inc., is the leading provider of a broad range of entertainment industry services and technologies to major Hollywood Studios and an international client base. Services include motion picture film processing, printing and distribution; EFILM® digital intermediates; post production and subtitling services; titles design and digital VFX; DVD compression, encoding and authoring; digital cinema services, digital asset management, digital distribution; and marketing fulfillment services. Deluxe facilities are located in Los Angeles, Toronto, London, Rome, Barcelona, Madrid, Vancouver, New York, Melbourne and Sydney. For more information, please visit

www.bydeluxe.com

.

About Chace Audio

Chace Audio is a full service audio post production facility. In addition to 5.1 / 7.1 upmixing and re-mastering of film and television soundtracks for DVD, Blu-ray, and theatrical re-release, Chace provides transfers from 100+ formats, synchronization and vari-speed conforms/laybacks, multi-track mixing, sound for gaming and VAM, Dolby® and DTS audio compression, music and effects construction, Foley/ADR recording, and optical soundtrack recording services. Chace has continually expanded its services during its 25 year history and has posted independent features such as Voices of Iraq, Next Day Air, and the award-winning rockumentary Dig!. Contact Chace Audio at: 201 S. Victory Blvd., Burbank, CA 91502-2349; Phone: (818) 842-8346; Fax: (818) 842-8353; Website:

www.chace.com

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