PRESS RELEASE

ARBORETUM RELEASES HYPERENGINE-AV(TM) UNDER A GENERAL PUBLIC LICENSE

Mac OS X video editing software seamlessly combines video, photo, audio and
text files with an interface anyone can master.

OAKLAND, CALIFORNIA -- Arboretum Systems is pleased to announce the release
of HyperEngine-AV v. 1.5, now a free to all to download, use and distribute
software program. The software can be downloaded from Arboretum website
at: www.arboretum.com.

By releasing HyperEngine-AV as a free software, we are very happy to offer
our contribution to the worldwide community of digital movie makers.
In its present state, HyperEngine-AV is not only a comprehensive video
editor already but it also represents a solid code foundation, widely open
to further developments in a number of interesting directions.
By opening it also to the worldwide community of developers as open source
code, we believe it will evolve at a rapid rate into a more and more
powerful application, capable of responding to a wider range of users'
needs. "We are very happy and excited about this important move," said
Georges Jaroslaw, Arboretum CEO "as it clearly presents great advantages
to all."

HyperEngine-AV is the first media software featuring a groundbreaking
"trackless" workspace that allows the free manipulation of video, audio,
stills, and text in an infinitely expandable window.

The only free alternative to Apple's iMovie software, HyperEngine-AV was
built for OS X from the ground up and originally introduced at MacWorld
Expo San Francisco, in January of 2003.
"HyperEngine-AV was made for all moviemakers who want a tool that let them
create while literally thinking 'outside the box,'" said Georges Jaroslaw.
"We believe that we have succeeded in this approach: If you can see a movie
in your mind, you can easily create it in our software by placing and
editing clips in the workspace. The user interface is completely
transparent."

Media clips can be imported or captured in real time from a FireWire DV
camera using remote machine control. They appear in the document window in
the form of objects that can be freely arranged and they are distiguishable
by their colors and the data they contain.

Positioning clips along the time line, stacking them, trimming their
beginnings and ends, time-stretching, splitting, fading them and many more
basic actions, are quickly and easily done with simple mouse strokes. These
actions immediately give a clear visual feedback on the changes made which
greatly enhances intuitive interaction with a project at all the stages of
the creative process.

Clips can be nudged frame by frame, and locked to the timeline to prevent
accidental shifts. Natural magnetic properties of the objects themselves
make it easy to sync an audio clip to a movie or stretch a clip to match
the duration of another one.

Time-stretching audio and video both give excellent quality results: motion
speed change for video and tempo change for audio even with at high ratios.

When video clips are dragged on top of each other instant dissolves are
created -- clicking on the resulting connection graphic brings up a
selection of fully editable professional compositors, transitions, and
wipes. Over a dozen QuickTime=AE video effects including edge detection,
emboss, film noise, and color tint are available and can be applied to any
video clip; a realtime preview box takes the guesswork out of adjusting
effect parameters. In addition, HyperEngine-AV supports third party
QuickTime video effects such as Buena Software's and QuickTime Effects by
Alain Mazy.

Text boxes can be placed over video clips or keyed against an editable
background with adjustable duration for scrolling.

The Overview window always displays a project completely, no matter how
many hours long. The Overview makes it extremely simple to zoom in on any
portion of a project, plus move individual clips and even entire scenes at
once. Views can be saved at any zoom levels to quickly go from one scene to
the other, from a general to a detailed view, or browse through different
scenes. Media files can also be dragged and dropped from the Finder
directly into the Overview. This makes the Overview much more than a
simple zooming interface and saves a lot of time in scroll actions.

With Arboretum's prestigious history as a music software developer,
HyperEngine-AV's audio capabilities are second to none. Audio clips can be
edited, arranged, stacked, and processed to generate stunning soundtracks.
There is no audio track limit either because . . . there are no tracks. The
program comes with a wide variety of studio-quality effects from
Arboretum's acclaimed Hyperprism suite of processors, and more can be added
via a flexible plug-in architecture -- including the popular Ray Gun and
Ray Gun Pro for cleaning up scratchy vinyl, tape hiss, hum, and other
problem recordings. HyperEngine-AV also comes with over 70 royalty-free
audio clips from celebrated sound designer Frank Serafine (Star Trek, TRON,
Poltergeist, Hunt for Red October, Virtuosity). Users of video programs who
want to enhance their final movie with cutting-edge audio will find
HyperEngine-AV an ideal complement to their current software.

HyperEngine-AV is designed for novice digital moviemakers or professionals
who want a dynamic, productive new type of workspace. Demo versions of
Hyperprism, Ray Gun, and Ray Gun Pro for OS X are included with the
program. HyperEngine-AV is available for free at www.arboretum.com.

SYSTEM REQUIREMENTS
System requirements include an Apple Macintosh computer with a G4 processor
(500MHz or faster recommended), 128MB of RAM, 20GB of free hard disk space,
a FireWire port for video transfer, a CD-ROM, QuickTime v6.02 or later, and
Mac OS X v10.2 or later. OS X v10.3+ is recommended. A color monitor that
supports at least 800 x 600 resolution is recommended.

STANDARD FORMATS & EFFECTS
HyperEngine-AV imports all commonly accepted Mac formats including 3DMF,
AIFF, Audio CD, AVI, BMP, Cubic VR, DLS, DV, FLC, FlashPix*, GIF,
JPEG/JFIF, Macromedia Flash 5, MIDI, MPEG-1, MP3, M3U (MP3 Playlist files),
MPEG-2*, MPEG-4 (MP4), Photoshop*, PICS, PICT, PNG, QuickTime, SF2
(SoundFont 2), Sound, Text, TIFF*, Virtual Reality (VR), and WAV. (*Some
limitations may apply.)

Movies can be exported as AIFF, AVI, BMP, DV Stream, FLC, JPEG/JFIF, JPEG
2000 (Mac OS X only), MIDI, MPEG-4, Photoshop, PICT, PNG, QuickTime, System
7 Sound, Text, TIFF, and WAV.

Built-in video transitions include Alpha Compositor, Channel Compositor,
and Chroma Key (compositors); Crossfade, Explode, Implode, and Zoom
(transitions); and Gradient Wipe, Iris, Matrix Wipe, Push, Radial, Slide,
and Wipe (wipes).

Built-in video effects include Alpha Gain, Brightness, ColorSync, HSL
Balance, and RGB Balance (adjustments); Blur, Edge Detection, Emboss,
General Convolution, and Sharpen (filters); and Color Style, Color Tint
with B&W/Sepia/X-Ray/Cobalt settings, Film Noise, and Lens Flare (special
effects).

Free built-in audio effects include Hyperprism's Auto Pan, Band Pass, Band
Reject, Hi Pass, Flanger, Lo Pass, More Stereo, Ring Modulator, Tremolo,
Vibrato and more recently, HyperVerb(TM), a high quality Reverb plug-in.

The whole Hyperprism range of effects is divided into Hyperprism Silver and
Hyperprism Gold at MSRPs of respectively $99 and $299.
The possibility to choose between or get both packages better corresponds
to the users audio needs .

Hyperprism Silver includes:
Auto Pan, Band Pass, Band Reject, Hi Pass, Flanger, Lo Pass, More Stereo,
Ring Modulator, Tremolo, Vibrato, HyperVerb, Chorus, Compressor, Doppler,
Echo, Frequency Shifter, Hall Reverb, Limiter, Multi Delay, Noise
Generator, Phaser, Quasi Stereo, Single Delay, Sonic Decimator(TM), Stereo
Dynamics

Hyperprism Gold includes:
Auto Pan, Band Pass, Band Reject, Hi Pass, Flanger, Lo Pass, More Stereo,
Ring Modulator, Tremolo, Vibrato, HyperVerb(TM), Chorus, Compressor,
Doppler, Echo, Frequency Shifter, Hall Reverb, Limiter, Multi Delay, Noise
Generator, Phaser, Quasi Stereo, Single Delay, Sonic Decimator(TM), Stereo
Dynamics, Bass Maximizer, Dispersion, Double Chorus, EchoTranz(TM),
GranuDelay, Formant Pitch Shifter, Harmonic Exciter, High Shelf,
HyperPhaser, Inharmoniques , Low Shelf , MakkaDelay, M-S Matrix, Multi
Phaser, Noise Gate, Parametric EQ, Spectral Distortion, Tube/Tape Saturator

Ray Gun and Ray Gun Pro are also available as separate plug-in products
with HyperEngine-AV 1.5. Apple's Audio Unit format will be supported in a
subsequent release.

COMPANY INFORMATION
Founded in 1994, Arboretum Systems manufactures, distributes, and licenses
video and audio software solutions for digital video editing, film/video
post-production, music recording, multimedia, broadcast, and audio
restoration to professional and consumer markets on a worldwide basis. More
information at www.arboretum.com.