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Ulead and Nova Development Announce New Partnership and
Release of PhotoImpact Pro 8.5 to North American Retail Channel


Torrance, CA - January 15, 2004 -
Ulead Systems, a leading developer of video, image, and DVD creation software, and Nova Development, a worldwide developer and publisher of consumer graphics and personal productivity software, are pleased to announced the release of PhotoImpact Pro 8.5, the North American retail edition of Ulead’s flagship image editing software. PhotoImpact Pro offers all of the functionality provided in PhotoImpact XL, (which Ulead will continue to sell on its website and to OEM, education, government and corporate channels) but adds several key features and bonus software components. PhotoImpact Pro 8.5 is now available in North American retail software stores at an estimated street price of $99.95.

"With its solid reputation for success in the retail channel, Nova was a perfect fit for giving PhotoImpact a larger presence on store shelves,” said Lewis Liaw, president of Ulead Systems, North America. “While Nova serves as our retail marketing and publishing arm, Ulead is still very much committed to developing new technology, in addition to selling and supporting PhotoImpact in non-retail channels."

PhotoImpact Pro 8.5 remains the most complete image editing solution under $100 for digital photography, graphic design and web page creation for the home, the workplace and school. It offers the same advanced features as Ulead’s recently introduced PhotoImpact XL, including new learning materials, striking filters and effects, and useful basic and high-end photo correction tools. This enhanced retail version distributed by Nova offers additional value with the inclusion of Alien Skin’s Xenofex 2 filters (a $129 retail value), 250 free Corbis Images, 5,000+ photo objects and a free book on mastering digital photography. While PhotoImpact Pro offers new enhancements for digital photography, the software maintains PhotoImpact’s extensive and powerful features for graphic design and web page creation.

"Ulead excels at bringing what were once considered complicated image editing features and technology to every-day consumers with unprecedented simplicity,” said Roger Bloxberg, CEO of Nova Development. “We’re excited to work with Ulead to help make this well-respected image editor more accessible to the general public via our strength in retail channel marketing and our broad retail distribution network."

About PhotoImpact Pro
PhotoImpact Pro 8.5 makes it easy to acquire, enhance and apply professional digital photography filters and effects to photos. There is no need to purchase additional photo album software, as PhotoImpact Pro includes Photo Explorer 8 to organize and manage images with useful features such as memory card detection, auto-file rename, and keyword search and rating. The software offers new learning materials such as an in-depth 45-minute, 13-chapter video tutorial and seven hands-on project lessons. It includes ExpressFix™, a step-by-step intelligent photo correction wizard that suggests how to fix common photo problems including improper exposure, incorrect color balance, and out-of-focus photos. Users can add artistic flare to photos with a variety of new digital photography effects including Sunlight, Diffraction (rainbow), and Multivision filters as well as a unique effect for creating realistic moons. PhotoImpact Pro includes advanced photography features such as a High Dynamic Range tool that extends the tonal range of a photo to make it closer to the natural luminescence perceived by the human eye.

At the same time, PhotoImpact Pro provides a wide-range of graphic design options including painting, drawing and cloning tools, as well as particle, texture and lighting effects and unique tools to create 2D/3D vector graphics. Of equal importance, PhotoImpact Pro delivers a full set of web tools for creating web graphics such as buttons, background and banners as well as interactive JavaScript effects, web slideshows and animation. It can even output completely functional web pages. To complement the software’s web tools, PhotoImpact Pro comes with GIF Animator 5 for creating web animations, COOL 360 for generating 360-degree panoramas, and an eBay photo macro that automatically resizes graphics to fit within eBay ad specifications.

Nova Development
Based in Southern California, Nova Development is a market leader in personal and small business productivity software for both the Windows and Macintosh platforms with a number of digital imaging and print creativity products. Now among the top four imaging and graphics publishers in the United States (source: NPD Techworld), Nova has a history of providing new technologies that consistently expand the uses of desktop computers for a variety of users, from home to school to business. For more information, call (800) 395-NOVA (6682). Or visit Nova Development on the Web at www.novadevelopment.com.

Ulead Systems
Ulead Systems, Inc. is a leading developer of innovative video, imaging and graphics software for desktop, server, mobile and Internet platforms. As more people use digital technologies at home, at school and in the workplace, Ulead software empowers users of all levels with the tools to easily and affordably personalize, manage and share digital content. For more information on the company, its products and services, please visit Ulead’s website at www.ulead.com or call 800-85-ULEAD (800-858-5323).

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For Press/Analyst Inquiries, Contact:
Sharna Brockett
ext. 162
sharna@ulead.com

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