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CAMELOT ENTERTAINMENT GROUP POSITIONED TO MEET MARKETPLACE DEMAND IN 2012

Blu-ray and VOD Sales are Increasing; Expanding Market for Camelot Entertainment Group Titles

January 3, 2012 – UNIVERSAL CITY, CA – Camelot Entertainment Group, Inc.  (OTC: CMGR) (”Camelot”), working to become one of the nation’s leading independent producers and distributors of motion pictures, is acquiring and producing new mass-appealing theatrical and home entertainment releases through its Camelot Distribution Group subsidiary while continuing its ongoing market-driven innovation efforts in 2012.

“As consumers enjoy motion picture viewing on everything from iPads to the theater big screen, in multiple formats that enable viewing at any hour and in any location, the market for entertainment consumption choices are proliferating.  2012 will see continued growth for our newly acquired and produced content for consumers wherever they enjoy our content,” stated Jessica Kelly, Co-President, Camelot Distribution Group. “Our broad array of genres within the independent film making arena and our close integration with the creative community sets the stage for growth in 2012,” she added.

2011 SUCCESSES

The successful December 2011 launch of “A Warrior’s Heart” shows that Camelot Entertainment Group can generate revenue from multiple delivery formats.  A Variety review by Joe Leydon (December 1, 2011) stated, “fans of the “Twilight” franchise may be drawn by the marquee value of attractive leads Kellan Lutz and Ashley Greene in non-vampiric roles. Limited theatrical run kicked off Dec. 2, but the pic is more likely to score as VOD and homevid fare.”

Camelot Entertainment Group’s quality also stands above the crowd. The Variety review of “A Warrior’s Heart” mentioned the “well-cast players (including Gabrielle Anwar, who makes the most of her small role as Conor’s mom) help the pic sustain interest. Special credit should go to (Adam) Beach’s effortlessly macho underplaying as the beer-swilling, aphorism-spouting taskmaster who helps Conor be all that he can be.”

2012 FOCUS

“In 2011 we saw the growth of several trends that we plan to focus on in 2012,” said Kelly.  “The potential growth of Blu-Ray DVD, video-on-demand, and the proliferation of cloud computing will all contribute to give extended sales legs to the movies we produce and acquire. The availability to the consumer of these formats increases the market for our entire film library,” she added.

GLOBAL DEMAND EXPANDING

The world-wide demand for independent commercially driven features is growing. The Asian Pacific film marketplace, with China leading the way, is now estimated at over $10 billion annually. With reported growth of 30 to 40 percent, the Asian pacific marketplace may represent the single biggest opportunity in the international film market anywhere in the world.  In the United States the home entertainment market (packaged media and digital delivery) is at $18 billion annually. The onset of cloud computing creates yet more space for the distribution of Camelot Entertainment Group’s content. There are over 200 films in distribution through Camelot Distribution Group and its genre division, DarKnight Pictures.

Camelot is building a different kind of motion picture studio infrastructure by redefining the development, financing, production, and distribution process of independent film, television, and digital media. Camelot integrates early studio models, education, new technologies and fiscal responsibility to acquire, develop, finance, produce, market and distribute high quality commercial motion pictures, television and digital media.

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