DENVER, Jan. 28, 2005 (PRIMEZONE) -- PKG Entertainment (formerly PEAK Entertainment Group Ltd., Inc) (Pink Sheets:PEKG), a talent incubator and entertainment property development company, announced today that it has executed a three-year distribution agreement with Navarre Corporation (Nasdaq:NAVR), a leading distributor of propriety and non-propriety home entertainment PC software, music and DVD.
Navarre's customers include a wide spectrum of national and regional retailers, including mass merchants, specialty stores, wholesalers, e-tailers. The company operates a business-to-business web site, www.navarre.com, providing product fulfillment to both traditional and e-commerce retailers.
PKG has already begun to outline a release schedule and strategy with Navarre, details of which will be forthcoming later this quarter. Initial releases should ready by early summer, 2005.
"The distribution contract with Navarre puts PKG on the map. It is what we have been working on and waiting for over the last 6 months. This would not have happened without the direction and connections of PKG's highly experienced executives, Board and advisors. Distribution is the last mile towards success for any artistic or entertainment product", says Sandy Krolick PKG CEO.
He goes on to say, "National distribution gives PKG the competitive edge over other entertainment companies that do not have it. It makes us a national player with muscle. This puts PKG in the upper percent of the market with control of our own destiny. Navarre generated approximately 280 million dollars in DVD and CD sales in '04 with a reach throughout North America and its possessions. They are a solid mid-western public company and we are thankful for everyone pulling together to make this contract happen."
About PKG Entertainment, Inc.
PKG Entertainment Group is an entertainment property development company. A reliable industry partner, PKG screens talent and cost effectively provides artist and entertainment asset development services. PKG is uniquely positioned for revenue growth through three primary channels: 1) equity positions in entertainment properties that are financed or developed; 2) consulting and partnership fees/royalties on secured deals; 3) revenues from diverse media distribution deals and other cross-promotional business models. www.peakartists.com
About Navarre Corporation
Navarre Corporation (Nasdaq:NAVR) is a publisher and distributor of a broad range of home entertainment and multimedia products, including PC software, CD audio, DVD and VHS video, video games and accessories. Since its founding in 1983, the company has established distribution relationships with major retailers including Best Buy, Wal-Mart, CompUSA and Sam's Club, and currently distributes to over 18,000 retail and distribution center locations throughout the United States and Canada. Navarre utilizes its established relationships throughout the supply chain, broad product offering, and state-of-the-art distribution facility in order to offer industry-leading home entertainment and multimedia products to retail customers and to provide access to attractive retail channels for the publishers of such products.
Navarre has recently expanded its business to include the licensing and publishing of home entertainment and multimedia content, primarily through its acquisitions of publishers in select markets. Navarre leverages its sales experience and distribution capabilities to drive increased retail penetration for such products and enables content developers and publishers to focus more on their core competencies. For more information, please visit the company's web site at www.navarre.com.
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