FOR IMMEDIATE RELEASE:

NEW ESCIENT® MEDIA MANAGEMENT PRODUCTS OFFER UNPRECEDENTED FEATURES, FUNCTIONALITY AND INTER-OPERABILITY, PLUS MORE AFFORDABLE PRICES THAN EVER

-- Company Announces Major Free Software Update for FireBall™ Users, Plus New More Affordable Music Manager and More --

INDIANAPOLIS, IN, September 9, 2005 – Escient, the pioneer in advanced digital media management, is demonstrating the evolution of its award-winning line of advanced entertainment products at its at CEDIA 2005 Booth #383. The company’s CEDIA exhibit highlights how its new products and features offer custom installation professionals unprecedented solutions for integrated home entertainment systemss.

Noted Bernie Sepaniak, president of D&M Holdings’ Rio, ReplayTV, Escient and ACT divisions: “CEDIA is the perfect venue for Escient to demonstrate how our FireBall media management products are uniquely designed for smooth interoperability, providing superior custom installation solutions in virtually any configuration of an integrated home entertainment system. Designed to interface smoothly with third-party, whole-house controllers such as Crestron and AMX, as well as portable devices like PDA’s, cell phone, or web pads, Escient FireBall products give users to access and control vast music and movie collections from a single easy-to-use interface.”

Below is a brief overview of Escient’s key CEDIA news:

Free Feature Update for Fireball Series
Escient announced a major free feature update for Fireball Series all currently installed FireBall E, E2, and DVDM products. The upgrade, which will take effect this month, will enhance and expand the home entertainment experience for Escient’s installed base of FireBall customers, adding both new features and improved functionality. Upgrades will be available to all FireBall E, E2, MP-150, and DVDM owners via Escient’s Software Update process. Among the key enhancements included in the software upgrade are: FireBall-to-FireBall Peer-to-Peer Music Sharing; DLNA and UPnP Music Server Streaming; a PDA Interface; WMA Playback; Shoutcast Internet Radio; Widescreen User Interface Mode; Gapless Track Playback, customizable user interface options, and more.

First-Ever Under $1,000 FireBall Music Manager
Escient is also debuting its Fireball™ SE-80 Digital Music Manager, an 80 GB Internet-enabled music server that seamlessly integrates into any existing home network system and lets users access and manage their entire digital music collection including up to 1,300 hour of music, through Escient’s intuitive, award-winning onscreen interface. With a suggested retail price of just $999, the SE-80 is the first music manager in the company’s popular FireBall line to break the $1,000 price barrier.

Demonstration of Groundbreaking DVDM-300 System
CEDIA attendees can get a first-hand look at how the unique and powerful Escient DVDM-300 can solve many of the common problems associated with integrated home entertainment systems. Since its introduction earlier this year, the DVDM-300 (SRP: $4,999) is having a profound effect on the way discriminating consumers access and enjoy their home entertainment. The DVDM-300 merges Escient’s industry leading music management system with its comprehensive DVD movie management system, all in a single home media server.

About Escient
Escient is a division of D&M Holdings U.S., Inc., and is the pioneering leader in the design, development, manufacture, marketing, sales, distribution and support of a groundbreaking category of audio/video products that meld the power of the Internet seamlessly with intuitive home-entertainment devices. Escient’s products and services are designed to enhance the entertainment experience by providing previously unheard-of ways to access music, movies and related content throughout the home. The company possesses a deep portfolio of designs for new products including media servers, DVD systems, remote players and networking and streaming devices, that are brought to market under the Escient brand through a channel of over 800 locations throughout the United States, Canada, Europe and Mexico, and in partnership with other leading global consumer electronics brand.

About D&M Holdings Inc.
D&M Holdings Inc. (TSE II: 6735) is based in Tokyo and owns the Denon, Marantz, McIntosh Laboratory, Boston Acoustics, Snell, D&M Professional, ReplayTV®, Rio® and Escient® brands. Denon, Marantz, McIntosh and D&M Professional are global industry leaders in the specialist home theater, audio/video consumer electronics or professional audio markets, with a strong and long-standing heritage of manufacturing and marketing high-performance audio and video components. Boston Acoustics, with its signature Boston Sound,™ is a leader in premium loudspeakers for home and audio markets. Snell is a super premium speaker brand. The ReplayTV, Rio and Escient brands represent award-winning technologies in digital home entertainment. Additional information is available at www.dm-holdings.com.

DISCLAIMER
Statements in this news release that are not statements of historical fact may include forward looking statements regarding future events or the future financial performance of the company. We wish to caution you that such statements are just predictions and that actual events or results may differ materially. Forward looking statements involve a number of risks and uncertainties surrounding competitive and industry conditions, market acceptance for the company's products, risks of litigation, technological changes, developing industry standards and other factors related to the company's businesses.

Escient and the Escient logo are registered trademarks and FireBall is a trademark of Digital Networks North America, Inc.


FOR MORE INFORMATION:
Media Contact:                            
DBA Public Relations
Michael Raisanen
+1-212-388-1400        
mraisanen@dba-pr.com