Yangaroo's DMDS Delivers Latest Indie Music Releases

    Music From Former Major Label Artists Motorhead, Eagles, Journey, Joan
    Osborne, Natalie Cole, and Everlast Distributed Digitally in the United

    TORONTO, Aug. 28 /CNW/ - YANGAROO Inc., (TSX-V: YOO, OTCBB: YOOIF) the
industry's leading secure digital media distribution company, has recently
delivered new releases by former major label artists Motorhead, Eagles,
Journey, Joan Osborne, Natalie Cole, and Everlast. YANGAROO has entered into
commercial agreements with more than 30 new independent record labels and
aggregators in the first seven months of this year to use its Digital Media
Distribution System (DMDS).
    With YANGAROO's DMDS, an independent label or aggregator can upload their
artists' music, add marketing and promotional information, choose a package of
key radio stations in a given radio format or genre, or other destination,
including press and reviewers. A song can then be delivered instantly over the
Internet in an environmentally-friendly manner rather than by CD,
significantly reducing the overall cost of promotion.
    "The adoption of DMDS by the independent record label and aggregator
community over the past several months has been remarkable," said John Heaven,
President and CEO, YANGAROO Inc. "We expect this growth not only to continue,
but to accelerate as the independent sector grows and expands."

    About YANGAROO:

    YANGAROO's patented Digital Media Distribution System (DMDS) is a leading
secure B2B digital delivery solution for the music and advertising industries.
DMDS is a web-based delivery system that pioneers secure digital file
distribution by incorporating biometrics, high-value encryption and
watermarking. DMDS replaces the physical distribution of musical recordings
and advertising to radio, media, retailers and other authorized recipients
with more accountable, effective and far less costly digital delivery of
broadcast quality media via the Internet.
    YANGAROO's DMDS has made over five million deliveries of over
11,000 songs from more than 600 record labels to destinations which include
radio stations representing over 35 US broadcast chains.
    DMDS is the only system that can digitally deliver music across the U.S.,
Canada and the UK. YANGAROO has offices in Toronto, New York, Los Angeles, and
London, UK. YANGAROO trades on the TSX Venture Exchange (TSX-V) under the
symbol YOO and in the U.S. under OTCBB:YOOIF. For further information, please
contact John Heaven at 905-763-3553 or visit www.yangaroo.com.

    The statements contained in this release that are not purely historical
are forward-looking statements and are subject to risks and uncertainties that
could cause such statements to differ materially from actual future events or
results. Such forward-looking statements are made pursuant to the safe harbor
provisions of the Private Securities Litigation Reform Act of 1995. The TSX
Venture Exchange does not accept responsibility for the adequacy or accuracy
of this release.

    %SEDAR: 00018809E

For further information:

For further information: Matthew Caldecutt/Gina Preoteasa, Trylon SMR,
(212) 725-2295, matthew@trylonsmr.com/gina@trylonsmr.com

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