ESCIENT® RELEASES THE FEATURE PACKED FIREBALL SE-160i DIGITAL AUDIO SERVER FOR EUROPE

--Product to be offered through the Marantz dealer network--

London, UK, 20 June, 2006 - Escient, a subsidiary of D&M Holdings, Inc. and the world leader in digital media management systems, releases the FireBall SE-160i Digital Audio Server. Available immediately, the Escient FireBall-SE-160i is designed to make storing, managing, browsing, and playing all of your digital music as easy as watching the television. The built-in CD Player/Recorder allows you to easily record, catalog, and manage thousands of hours of your favorite music. In addition, the SE-160i includes free Internet enabled music recognition, free streaming Internet Radio, and free software updates via its built-in Internet connectivity.

Europe Distribution - Marantz Europe, also a subsidiary of D&M Holdings, is offering the FireBall SE-160i through a wide dealer network currently selling Marantz products. In addition, Marantz Europe will provide local sales, marketing, logistics, customer support and product support.

eautiful Music - Escient’s award winning full color graphical user interface provides a program guide right on your television. Simply browse and select to find and play your favorite tunes using the included universal remote control. The built-in graphics including CD cover art look great on any screen, and you also have the ability to customize the backgrounds to match your own décor and add your own photos to the built-in Photos Screensaver feature.

Automatic CD Data and Cover Art - Powered by the Gracenote CDDB™ and AMG, the SE-160i automatically gathers information about each CD inserted and stored on it’s 160GB internal hard drive, including artist name, album name, song title, and even full color cover art straight off the Internet. There is no need to type even a single word.

Free Internet Radio - Listen to hundreds of free Internet radio streams from all over the world including MP3, Shoutcast, WMA, and select content from RadioIO.

Digital Audio Options - With full support for the industry standard MP3 format, the SE-160i can store over 2600 hours of digital music and share it with other supported devices through its built-in networking feature. The FLAC audio option allows an entire CD to be stored in half the space while providing 100% of the original audio quality.

All the Right Connections - The SE-160i is a great standalone music server for your entertainment center, but it doesn’t stop there. Escient has provided full IR remote control complete with discrete IR codes for enhanced reliability, plus external control via RS-232 and Ethernet for two-way integration with third party audio distribution and automated control systems such as Opus, AMX, Crestron, and others.

To the PC and Back - Just because your FireBall is living in your home entertainment system doesn’t mean that you can’t get to it from elsewhere. The SE-160i has built-in Windows Networking (commonly called CIFS or SMB) which allows the SE-160i’s hard drive to be accessed by your PC or Mac over your existing home network for music importing, backup, and sharing with your favorite MP3 Player via your computer. You can even control every aspect of FireBall by connecting to its on-board web server from any standard web browser. There is even a PDA sized version for controlling it from any PDA or WiFi device on the network. Rounding out the SE-160i’s impressive set of PC integration features is FireBall-PC. With FireBall-PC, customers can “Fuel Your FireBall For Free” with a software music server program that runs in the background on your PC (or Mac) and allows the SE-160i to access, browse, and play all of those MP3 files you’ve collected over the years without having to move them to your FireBall. It’s like having an unlimited extra hard drive to expand your SE-160i’s storage capacity.

Keane in the Kitchen and Bono in the Bedroom - Storage capacity is easily increased by adding a second FireBall SE-160i. The two music servers can connect to each other and provide double the storage capacity and two completely independent zones of music.

Terrie O’Connell, Managing Director, Marantz Europe, noted: “We are truly excited to offer the FireBall SE-160i to the market. It’s compelling list of features and ease of use provide a best in class solution for managing large libraries of digital music throughout the home.”

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.