Knightscove Media Corp.'s distribution arm, Morningstar Entertainment announces deal with US based Inspired Studios and commencement of trading on the TSXV under new symbol "KC"

("Knightscove" ) is pleased to announce that its wholly
owned subsidiary, Morningstar Entertainment Inc. ("Morningstar" ), a leading distributor of home entertainment products
in the Canadian market, has secured an exclusive licensing deal with US based
Inspired Studios ("Inspired").
    Morningstar has the exclusive right to distribute Inspired's (formerly
Peter Pan Industries, Inc.) substantial library of over 400 film titles and
new releases in the Canadian market. The library includes labels such as Peter
Pan, Tinkerbell, Chicken Soup for the Soul, Elle, Shape, Current Wellness
Video and a wealth of child friendly instructional titles.
    Morningstar intends to utilize its extensive network in Canada to
distribute the Inspired library to the home video, DVD broadcast television
market, targeting mass discounters, main stream retailers and specialty
distributors. These titles will expand Morningstar's existing library of over
1,000 DVD titles which includes titles such as "The Chronicles of Narnia",
"The Swiss Family Robinson", and "A Christmas Carol" to almost 1,500 titles.
    The brand of Peter Pan is an icon with hundreds of millions of
impressions being made on three generations of children, parents, grandparents
and educators. Inspired's products sell on a direct basis to over
64,000 retail and e-tail outlets as well as through nearly 150 mail order
catalogues. Prestigious retail accounts include Best Buy, Virgin, Toys R Us,
Transworld, Target Stores, Kmart, Wal-Mart, Albertsons, Wegmans, Pathmark,
Shoprite, Whole Foods, Wild Oats, Borders, Barnes & Noble, The Sports
Authority, Dick's Sporting Goods, Blockbuster, Avon, Amazon and Netflix. To
date, Inspired has licensed its video, broadcast and audio properties within
over 40 countries worldwide.

    About Morningstar and Knightscove:

    Morningstar Entertainment Inc is one of Canada's leading independent home
entertainment distribution companies. Since inception in 1992, Morningstar
Entertainment has pioneered retail and consumer acceptance for any and all
styles of programming. With non-conventional, out-of-the-box marketing
strategies, Morningstar's success extends to promoting television, film and
niche market properties, with over 1,000 DVD titles in its current library. In
May 2007 Morningstar was acquired by Knightscove, a publicly traded
entertainment company trading on the TSX Venture Exchange under the ticker
symbol KC and on the OTC International PrimeQX under the ticker symbol QSETF.
Additional information regarding the business of Knightscove may be found
filed on SEDAR at

For further information:

For further information: Knightscove Media Corp., Leif Bristow,
President and CEO, (416) 691-6655 ext 267; Porter, Levay & Rose, Michael
Porter, President, or Linda Decker, (212) 564-4700

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