M2 Media Group Acquires BlueDolphin.com

Purchase of Magazine Retail Website Expands M2´s Presence in Paid Magazine Services

Stamford, CT, January 17, 2007 – M2 Media Group, a leading magazine subscription agency, today announced that it has completed the purchase of online magazine Website BlueDolphin.com from Zinio Systems, Inc. Financial terms were not disclosed.

Founded nearly a decade ago, Blue Dolphin Group launched BlueDolphin.com and created a robust e-commerce platform, a strong Internet brand, and a large installed base of magazine buyers.

"Blue Dolphin is one of the leading online magazine brands with established consumer mindshare and strong brand equity," said Michael Borchetta, Chief Executive Officer of M2. "This move fits into our strategy of moving into the paid subscriptions market and integrating our various brands."

"BlueDolphin.com is a natural fit for M2," said Rich Maggiotto, President and CEO of Zinio. "Zinio is pleased to continue to offer digital magazine services to the subscribers who have grown to trust the Blue Dolphin brand."

"This is a great addition to the M2 offering," said Peter Winn, Consumer Marketing, Planning and Development Director, World Publications, publisher of 22 magazines including Saveur." Bluedolphin.com provides M2 a nice complement to their current circulation programs."

Through this transaction, M2 continues its expansion into paid subscription services. Last month the company announced a license deal with priceline.com (PCLN) to launch a Name Your Own Price® magazine service called MyPrice Magazines (mypricemagazines.com). The combination of the two properties allows M2 to offer consumers more than 1,300 titles and new ways to buy magazine subscriptions at great prices.

About M2 Media Group, LLC
Stamford-based M2 Media Group, LLC is a leading magazine subscription agency specializing in online marketing channels. It provides circulation management services to the magazine publishing industry and affinity marketing programs to Internet-based businesses. M2 also operates one of the largest free business magazines services, Mercury Magazines (www.mercurymagazines.com). The company was founded by senior executives from Time, Inc.´s Synapse Group, who have more than 30 years´ experience in magazine publishing and partnership development.

About Blue Dolphin Group
Blue Dolphin Group (www.bluedolphin.com) is a leading online magazine retailer focused on providing consumers with unparalleled selection, savings and customer service. The company works directly with publishers to offer a vast array of best selling titles, hard-to-find periodicals, and leading special interest publications at savings up to 85% off the newsstand price.

About Zinio Systems
Zinio Systems, Inc. is the marketplace leader for digital publishing products and services. Zinio provides print publishers with new circulation and revenue growth opportunities through easy, turnkey solutions and complete circulation, production and fulfillment services. Zinio´s major publishing partners include Hearst, IDG, McGraw-Hill, Primedia, Hachette Filipacchi, Playboy Enterprises, Rogers Media, Transcontinental, and Ziff Davis. Zinio has offices in San Francisco and New York. For more information, visit www.zinio.com.