Image Entertainment, Inc. (NASDAQ:DISK), one of the largest independent home entertainment distributors in North America and a leading pioneer of the multi-billion dollar optical disc industry, announced today the addition of Ray Gagnon to its senior staff. Gagnon brings over two decades of entertainment sales experience to the Image Entertainment team and joins as Executive Vice President Worldwide Sales. He will report directly to Ted Green, Chairman and CEO of Image.

“I have had the opportunity to work with Ray in the past and am extremely pleased that he is joining our team at Image,” commented Green. “Ray has an exceptional understanding of the ever-changing home entertainment marketplace and strong personal contacts that can only come from years in the industry. He is unmatched when it comes to directing the sales efforts and is a great asset to our team.”

For over two decades, Gagnon has worked with several of the top studios in home entertainment. He recently served as Executive Vice President of Worldwide Sales for Anchor Bay Entertainment. While there, he was responsible for the overall direction of all sales efforts on behalf of the company. Gagnon joined Anchor Bay Entertainment in December of 2003. He helped Anchor Bay move from an independent distributor to studio status by forming direct partnerships with major accounts, increasing rental and revenue sharing and very substantially increasing overall revenue.

Prior to joining ABE, Gagnon worked at DreamWorks SKG as Senior Vice President Worldwide Sales where he held a seat on the Wal-Mart Vendor Council and served as the architect of the global video launch of the movie Shrek. During his stint at DreamWorks, he increased market share by adding avenues to the overseas market and increasing the company’s presence in stores. He served as Senior Vice President Sales, North America for 20th Century Fox Home Entertainment for three years. While at Fox, he received the Vendor of the Year Award. He had previously received the award in 1990 while he was at Walt Disney/Buena Vista Home Video and he remains the only sales executive from a home entertainment company to ever win the award. Gagnon began his home entertainment sales career with Disney, beginning as a regional sales representative and ending as Vice President of National Accounts. He pioneered the direct sales video program with the national retail chains including Wal-Mart, Target, K-Mart and Toys “R” Us. The program has since become the industry standard. He has also served as vice president of sales for Sony Music.

“I’m thrilled to be working with Image,” remarked Gagnon. “There are tremendous challenges that exist at retail today but there are tremendous opportunities as well. I look forward to working with the entire Image Entertainment team to meet those challenges and take advantage of the opportunities.”

About Image Entertainment:

Image Entertainment, Inc. is a leading independent licensee and distributor of entertainment programming in North America, with approximately 3,200 exclusive DVD titles and approximately 340 exclusive CD titles in domestic release and approximately 400 programs internationally via sublicense agreements. For many of its titles, the Company has exclusive audio and broadcast rights and, through its subsidiary, Egami Media, Inc. has digital download rights to approximately 2,000 video programs and over 300 audio titles containing more than 5,100 individual tracks. The Company is headquartered in Chatsworth, California. For more information about Image Entertainment, Inc., please go to www.image-entertainment.com.

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