Xinhua Finance Media Class Action Suit Dismissed

Xinhua Finance Media

2009-02-26 21:09 2656

BEIJING, Feb. 26 /PRNewswire-Asia/ -- XFMedia (Nasdaq: XFML) today announced that the U.S. District Court of New York has dismissed the class action lawsuit against the Company, CEO Fredy Bush, former CFO Shelly Singhal and the Company’s IPO underwriters. The lawsuit was initially filed in May 2007, following the Company’s IPO in March 2007, and was consolidated with all other claims into a single class action lawsuit in August 2007.

“With the dismissal of this lawsuit, we have been completely vindicated,” said XFMedia CEO Fredy Bush. “From the start, we have said this lawsuit was wholly without merit. This ruling proves the accusations were completely groundless and misleading, causing undue harm to XFMedia and all of the individual defendants. With this frivolous lawsuit behind us, we will be better able to focus on our No. 1 priority ─ delivering maximum value to our shareholders.”

About XFMedia

Xinhua Finance Media (“XFMedia”; NASDAQ: XFML) is a leading media group in China with nationwide access to the upwardly mobile demographic. Through its synergistic business groups, Broadcast, Print and Advertising, XFMedia offers a total solution empowering clients at every stage of the media process and connecting them with their target audience. Its unique platform covers a wide range of media assets, including television, radio, newspaper, magazine, outdoor, online and other media assets.

Headquartered in Beijing, the company has offices and affiliates in major cities of China including Beijing, Shanghai, Guangzhou, Shenzhen and Hong Kong. For more information, please visit http://www.xfmedia.cn .

Safe Harbor Statement

This announcement contains forward-looking statements. These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates," ‘‘confident’’ and similar statements. Among other things, quotations from management in this announcement contain forward-looking statements. Statements that are not historical facts, including statements about XFMedia’s beliefs and expectations are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties that could cause actual results to differ materially from those contained in any forward-looking statements. Potential risks and uncertainties include, but are not limited to, risks outlined in XFMedia’s filings with the U.S. Securities and Exchange Commission, including its annual report on Form -20-F. All information provided in this press release is as of the date hereof, and XFMedia undertakes no duty to update such information, except as required under applicable law.

For more information, please contact:

Media Contact

Joy Tsang

XFMedia

Tel: +86-21-6113-5999

Email: joy.tsang@xfmedia.cn

Lindsay Koval

AGG International

Tel: +1-212-614-4170

Email: lindsay@aggintl.com

IR Contact

Edward Liu