Devine Entertainment Expands into Online Film Sales Marketplace under New Digital Distribution Agreement with NetMovies Inc.



    Non-Exclusive Agreement with Napster Founder John Fanning to Provide
    Platform for Streaming and Downloading Devine Film and TV Content Direct
    to Consumers

    TORONTO, Oct. 19 /CNW/ - Devine Entertainment Corporation (OTCBB:DVNNF -
News), seeking to capitalize on the burgeoning global demand for high quality
film and television content, today announced a far-reaching expansion for the
future distribution of its acclaimed core library of family films under a new
non-exclusive agreement with NetMovies Inc., a Boston-based company that will
make Devine's film content available for sale and download directly on demand
to consumers via the Internet.
    Under the license agreement, NetMovies will distribute Devine's
award-winning entertainment library of historical family films as NetMovies
rolls out its proprietary secure Downstreaming Network online distribution
technology. Devine's film and television content library includes the
Company's acclaimed franchises The Artists' Specials, The Inventors' Specials
and The Composers' Specials.
    NetMovies Inc. was founded in 2001 and is 34% owned by home entertainment
giant Blockbuster, Inc. NetMovies founder John Fanning is also Napster Inc.
Founding Chairman and CEO.
    "It is now clear that the future of movies, television and videos will be
on the internet," said Mr. Fanning, Chairman and Chief Technology Officer of
NetMovies. "This presents a phenomenal opportunity for the creators of unique
specialized content to reach the massive untapped demand for specialized
product. As we build these new distribution channels it is of primary
importance that we provide the public with first quality programming and
entertainment, which is why we are delighted and proud to carry Devine's
award-winning content. We are very pleased to welcome the Devine Entertainment
library into Netmovies.com."
    NetMovies expects to launch its network and make Devine Entertainment
films available to its online customer base early in 2008.
    "We are excited to be working with a company with the superior
technology, powerful strategic partnerships and visionary management team of
NetMovies," said David Devine, President and CEO of Devine Entertainment.
"John Fanning changed the way music reaches its worldwide audience with
Napster and now he is poised to make online distribution of films and
television a commercial success. We believe on-line distribution networks are
the future of film and television distribution and that future is now."
    Devine recently announced the formation of its Digital Content Group to
spearhead the Company's initiatives to expand sales and distribution via
emerging channels and technologies, including Internet-based distribution,
video-on-demand (VOD), wireless and mobile devices, and other technologies.
Digital and other fast-growing new technologies are expected to become one of
the dominant distribution forces in the multibillion-dollar global
entertainment industry.

    NetMovies is an online entertainment network providing producers and
owners of video content a secure, highly functional and efficient digital
distribution outlet. NetMovies' proprietary Downstreaming Network builds on
the technology model pioneered at Napster, creating a regulated peering system
offering high-speed downloads and secure but flexible digital rights
management (DRM). NetMovies' video content is licensed from studios or created
by independent artists, introduced into a centrally managed and protected
network, and distributed to and among paying subscribers, answering the demand
from the market for an easy to use, low cost, and authorized service.

    Revenue and Earnings Forecast

    Devine recently announced revenue and earnings guidance for the first
three quarters of calendar year 2007, projecting significant revenue growth of
CAN $5.5 million, representing a 1600% increase over the $363,529 for the
comparable period in 2006. The Company also projected earnings in excess of
$1 million for the first three quarters of 2007, a significant increase over
the $529,614 loss reported for the same period in 2006.

    About Devine Entertainment

    Devine Entertainment Corporation develops, creates, and produces
award-winning television programming and feature films for worldwide
distribution across multiple TV broadcast networks, cable and satellite
networks, DVD and Internet markets. Specializing in cultural and educational
programming as well as prime-time drama and comedy entertainment programming,
the Company's titles have garnered more than 120 international film and
television industry awards, including five Emmy and five Gemini Awards. The
Company partners with leading international distributors, broadcasters and
co-producers, such as Sony BMG, Rogers Media and The Carrere Group of France,
to produce and distribute its award-winning film and television titles.
    Among Devine's critically-acclaimed productions are its cultural and
educational film series on history's landmark Composers', Inventors' and
Artists', which have been broadcast in more than 50 countries. The Company
continues to expand its proprietary library of high-quality film and
television content. Among its general-audience primetime programming is the
acclaimed one-hour mystery series, "Across the River to Motor City," delivered
to broadcasters worldwide in 2007. Headquartered in Toronto, the Company's
common shares trade on the NASD OTCBB market in the U.S. under the symbol
DVNNF. The Company's corporate website is www.devine-ent.com.

    For investor-specific information and resources, visit
http://www.trilogy-capital.com/tcp/devine.

    To view current stock quotes and news, visit
http://www.trilogy-capital.com/tcp/devine/quote.html.

    To view an investor fact sheet about the company, visit
http://www.trilogy-capital.com/tcp/devine/factsheet.html.

    Forward-Looking Statements

    This press release may contain forward-looking statements relating to the
future performance of Devine Entertainment Corporation. Forward-looking
statements, specifically those concerning future performance and the
achievement of operating profitability are subject to certain risks and
uncertainties, and actual results may differ materially. These risks and
uncertainties include the market acceptance of the Company's products and
services; competition within the film and entertainment industry and the
introduction of new entrants and/or products in the Company's markets; adverse
changes in governmental regulations and policies affecting the film and
entertainment industry; product development risks and risks of technological
change; the risk of unanticipated expenses; and other risks and uncertainties
all as described in the disclosure documents filed with securities regulatory
authorities in accordance with applicable securities laws. Readers are
cautioned that the foregoing list of factors is not exhaustive. Although the
Company believes that the expectations conveyed by the forward-looking
statements are reasonable based on information available to it on the date
such forward-looking statements are made, no assurances can be given as to
future results, levels of activity and achievements. All subsequent
forward-looking statements, whether written or oral, attributable to the
Company or persons acting on its behalf are expressly qualified in their
entirety by these cautionary statements. The Company assumes no obligation to
update forward-looking statements should circumstances or management's
estimates or opinions change.





For further information:

For further information: Devine Entertainment Corporation: Arnold
Tenney, Richard Mozer, (416) 364-2282, Toll-free: 877-338-4633,
atenney@devine-ent.com; or Trilogy Capital Partners, Financial Communications:
Ryon Harms, Toll-free: (800) 592-6067, ryon@trilogy-capital.com

Organization Profile

DEVINE ENTERTAINMENT CORPORATION

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