Statement from Sharman Networks

Statement from Sharman Networks

SYDNEY, Australia, December 7/PRNewswire/ --

- Australian recording industry loses claim to view affidavit

In a hearing today before Justice Conti of the Federal Court of
Australia, his Honour refused the Australian recording industries' demands
that its lawyers be allowed to view an affidavit required by previous orders
from Sharman Networks' CEO Nikki Hemming this week. He ruled that the
required affidavit would be held in a sealed envelope pending a decision on
an application for leave to appeal by Ms Hemming.

The Australian recording industries also back peddled from threats made
by ARIA CEO Stephen Peach yesterday to "shut down" Kazaa. Instead, lawyers
representing the recording industries cited a misreported newspaper article
as evidence that Sharman Networks had ceased operations. His Honour did not
give credence to the article, which was tendered by the recording industries'
lawyers.

Yesterday, Sharman Networks announced that it had complied with Wilcox
J's Order 4 of the 5 September Judgement[1] by ceasing distribution of the
Kazaa application in Australia before midnight on 5 December 2005, and using
proven geotargetting technology and warnings prohibiting existing users from
using the application. For Sharman Networks, it otherwise remains business as
usual.

For more information, please contact:

Julie Fenwick, ICON International Communications
+61-2-8235-7600 (work)
+61-423-174-424 (mobile)
julie.fenwick@iicpr.com

Footnote References:

[1] Order 4 of the 5 September Judgment:

The infringing respondents be restrained, by themselves, their servants
or agents, from authorising Kazaa users to do in Australia any of the
infringing acts, in relation to any sound recording of which any of the
applicants is the copyright owner, without the licence of the relevant
copyright owner.

Source: Sharman Networks

Julie Fenwick, ICON International Communications, +61-2-8235-7600, mobile - +61-423-174-424, julie.fenwick@iicpr.com

-------
Profile: intent