Kangaroo Media Inc. and Formula One Management Limited announced today (Wednesday) that they have entered into a six-year licence agreement to provide fans at all Formula One events with access to live race video, audio and data on Kangaroo Media's unique Kangaroo TV(TM) hand-held device.

The Kangaroo TV service represents a new direction in the way that F1 fans in the stands view races. It combines the race telecast with live in-car camera and audio channels, creating the ultimate spectator experience. Fans can follow their favourite drivers around the track on the Kangaroo TV screen, receive race telemetry and timing data, and listen to live driver and team communications, all from a device in the palm of their hands.

The Kangaroo TV service for Formula One is expected to debut on a limited basis at the 2006 U.S. Grand Prix, which will be held on July 2 at the legendary Indianapolis Motor Speedway. Kangaroo is working closely with F1 Teams and Formula One Management to help activate the program and rapidly build awareness among Formula One fans. The Kangaroo TV service will be the exclusive hand-held video and data service of its kind offered at Formula One events worldwide.

According to Bernie Ecclestone, of Formula One Management, "this is as good as it gets to catch all of the action. Kangaroo TV is a perfect fit with F1 as both are about technology and performance. This will provide a truly enhanced at-race experience."

"Being associated with this well-recognized global brand takes our product and our company to another level," said Alain Charette, Executive VP of Corporate Development who was instrumental in putting in place this unique agreement on behalf of Kangaroo Media. "We look forward to building a close and lasting relationship with Mr. Ecclestone and Formula One Management providing fans a new and enhanced way to live the F1 excitement at the circuit."

"The agreement with Formula One Management is a significant milestone for Kangaroo as we could not have asked for a better international and upscale brand to initiate our development outside of North America." said Marc Arseneau, President and CEO of Kangaroo Media and creator of the Kangaroo TV concept. "The financing we announced on March 22 was instrumental in enabling us to finalise this agreement and launch quickly; I believe this is the beginning of a remarkable endeavour for the Formula One fans, the F1 partners and for our shareholders."

The parties have contractually agreed not to disclose specific commercial terms pertaining to this agreement, as it could jeopardise competitive advantage to both companies. The agreement is subject to normal and usual
commercial terms and conditions including reasonable guaranties, performance, breach and termination provisions.

Kangaroo Media Inc., through its wholly owned subsidiaries Kangaroo TV and Kangaroo TV Europe Limited, gives fans the superstar experience by letting them create their own live-action sporting event. The agreement with Formula One is the third that Kangaroo Media has reached with motorsport properties, following its initial launch with Champ Car in 2003 and a highly successful rollout in NASCAR this year with partner Sprint Nextel, introducing the new NASCAR NEXTEL FanView device.

Kangaroo Media's unique, proprietary, patented and fan-tested technology delivers video, audio and data in real-time to each fan's hand-held Kangaroo TV device.