Toon Boom Studio V3 is Released

Montreal (July 6, 2005) - Toon Boom Animation announced today the release
of Toon Boom Studio V3. Toon Boom Studio V3 has a number of new and
enhanced features - including the new Text and Transform tools, as well as
improvements to lip synching - that make it easy for you to create cut-out
animation.

Toon Boom Studio V3 is a great tool for playing with cut-outs: it includes
a number of tools that simplify this animation style:

* The New Free Transform tool enables users to apply any combinations of
scaling, rotation, skewing to animate faster

* Users can also add text for effective communication in web presentations,
comic strips and more

* Automated lip sync tools allow fast sound track synchronization

* Improved sound scrubbing enables accurate adjustments to the lip
synchronization

* Users can animate with key frames and use interpolation to create
animation faster

* The library enables users to save drawings, animation cycles and motions
for reuse

* The time line makes it easy to organize layers, set the timing and attach
motion paths to elements

* Cell-swapping and templates add even more speed to cartoon creation

* Users can easily create dollys, trucks, zooms, and other eye-catching
camera moves, with the 3D space and camera

In addition, Toon Boom Studio V3 offers a simplified user interface as the
Drawing and Sceneplanning modes are now one.

Toon Boom will be showcasing Toon Boom Studio V3 at Flashforward New York,
from July 6th to 8th, 2005. A Technology Showcase titled What will you
animate now? will be held on July 7th, at 11:30 am in the Sutton Place, at
the New Yorker Hotel.

All orders that require shipping will be done during the month of July. All
customers who purchase Toon Boom Studio V3 during the Pre-Sale Promo will
receive their V3 license key(s) by email.

About Toon Boom Animation Inc.

Building on over a decade of great successes, Toon Boom Animation Inc. is
the worldwide leader of animation software solutions with high-tech tools
such as morphing, inverse kinematics and glue. Toon Boom carries several
leading animation products, including Harmony, Opus and Studio. Harmony is
a revolutionary solution designed to meet digital animation production
needs, whether it is cut-out or paperless. Its superior toolset, with
morphing, inverse kinematics and glue, makes it the solution for any studio
wanting to create the highest-quality animation cost-effectively. Toon Boom
Opus is the industry standard for traditional animation production. From
scanning, inking and painting, to compositing and rendering, its powerful
features translate into significant savings throughout the production
process. As for Toon Boom Studio, this application is the ideal tool for
individuals. Toon Boom also offers consulting and training services
dedicated to increasing animation production efficiency and quality. With
these great offerings, Toon Boom Animation is well poised to continue
delivering quality, efficiency and reliability to the animation community -
for all animation styles and formats.

Toon Boom's client base ranges from major studios creating Hollywood
blockbuster animated films to individual animators creating their first
masterpieces. Market-leading studios using Toon Boom's products include
Nelvana, Klasky Csupo, Warner Bros., Paramount Pictures, Universal, Mercury
Filmworks, Wild Brain, King Camera, Cromosoma and Lanterna Magica, to name
a few. Some of the prestigious productions done with Toon Boom's technology
include Les Triplettes de Belleville, Looney Tunes: Back in Action, The
Rugrats, and SpongeBob The Movie.

In 2004, the Federation of Indian Chambers of Commerce & Industry honored
Ms. Vogelesang, President and Chief Executive Officer of Toon Boom
Animation, with the Life Time Achievement Award for promoting the Indian
Animation Sector on the global map. Since 1999, Toon Boom has advocated the
potential of India as an animation destination and has established a great
working relationship with many successful studios.

For additional information, visit Toon Boom at www.toonboom.com.