Orbit E-Commerce, Inc. Announces Merger With Hollywood Classics Network, Inc.

Orbit E-Commerce, Inc. Announces Merger With Hollywood Classics Network, Inc.

TORONTO, June 28 /PRNewswire-FirstCall/ -- Orbit E-Commerce, Inc. (BULLETIN BOARD: OECI) (the "Company") announced today that it has entered into an agreement to merge with Hollywood Classics Network, Inc. ("HCN") a privately held California corporation. HCN provides programming and advertising to independent television stations, Multiple Systems Operators (MSO's) controlling cable stations and direct broadcast satellite companies. HCN has a large classic film library from Hollywood's "Golden Era" as well as a 24-hour television network that will feature classic movies, talk shows, celebrity interviews and programs for consumers of all ages.

As a result of this merger OECI will have access to a substantial library of Classic Hollywood films and other television content for its IPTV channel lineup. This merger brings a highly experienced Management team in the entertainment industry, a second revenue stream for OECI from HCN's operations and significantly strengthening the Company's balance sheet. "This is a great acquisition for OECI as it immediately addresses the time to market for the IPTV content. Furthermore, HCN's management will continue to build their current business and manage OECI's daily operations. OECI's corporate offices will relocate to HCN's facilities in Los Angeles, CA," said Douglas Lloyd, President & CEO of Orbit E-Commerce, Inc.

HCN partners with a Company having an Internet Protocol Television (IPTV) system which it will use as a delivery vehicle to offer HCN content to OECI's subscribers. "This transaction with OECI gives HCN a large market for our film library and other unique television content," said Paul Webb, Chairman & CEO of Hollywood Classics Network, Inc.

OECI will acquire all the issued and outstanding shares of HCN through a share exchange which will increase OECI's common shares issued and outstanding to approximately 73.1 million.

As previously announced, the merger of OECI with PureNet.TV in conjunction with HCN will be completed and it is the company's intention to apply for a listing on the AMEX exchange upon completion of the mergers. The companies have committed to the execution of a definitive merger agreement as soon as possible with completion subject to regulatory approvals and other customary closing conditions.

About Orbit

Orbit E-Commerce Inc. was established in 2000 for the purpose of capitalizing on management's vision and expertise in the field of Internet-based telecommunications systems, products, and services. OECI in partnership with PureNet.TV Inc. is involved in the development and provisioning of Internet-based TV ("IPTV") services. IPTV enables a wide range of television programming, low-cost video-conferencing, video-on-demand, and other services all in digital broadcast quality levels.

Contact Information

Orbit E-Commerce, Inc. Contact Mr. Michael Magee, Executive Assistant, 416-850-7134 or via e-mail at: mmagee@orbitecommerce.com for information regarding this press release. For more information about OECI, see the Company's web site: www.orbitecommerce.com.

About Hollywood Classics Network, Inc.

Hollywood Classics Network, Inc., is a privately held California corporation whose mission is to establish a television network for original programming content and advertising to the independent television stations as well as to MSO's and direct satellite companies. In Europe, HCN's content is aired on Skychannel 262, Britain's only free-to-air movie and comedy channel. (www.openaccess.tv/hcn.htm.) Paul Webb, Chairman & CEO, has spent 47 years in the broadcast industry in television time sales, production and distribution. He has produced over 300 television shows, many of which will be aired on the Hollywood Classic Network. HCN's management team consists of a number of seasoned and highly senior executives in various facets of the television entertainment industry.

Contact Information
Hollywood Classics Network, Inc.: pwebb@hollywoodclassicsnetwork.com.

Forward Looking Statements contained in this press release that are not based upon current or historical fact are forward-looking in nature. Such forward-looking statements reflect the current views of management with respect to future events and are subject to certain risks, uncertainties and assumptions included potential issues relating to interoperability, inability to introduce new products, changes in market conditions, government regulations, technological changes and other factors. Should one or more of these risks or uncertainties materialize or should underlying assumptions prove incorrect, actual results may vary materially from those described herein.

This press release was issued through GroupWeb EmailWire.Com. For more information on press release distribution, go to http://www.emailwire.com/.

Source: Orbit E-Commerce, Inc.

CONTACT: Mr. Michael Magee, Executive Assistant of Orbit E-Commerce,
Inc., +1-416-850-7134, or mmagee@orbitecommerce.com; or Hollywood Classics
Network, Inc., pwebb@hollywoodclassicsnetwork.com

Web site: http://www.orbitecommerce.com/
http://www.openaccess.tv/hcn.htm
http://www.emailwire.com/

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