HOLLYWOOD, Calif.--(BUSINESS WIRE)--July 31, 1997--VDI Media
(NASDAQ:VDIM) today announced that it has acquired Multi-Media, a 
privately-held duplication and distribution company specializing in servicing 
commercial advertisers and major ad agencies.

Multi-Media's core business is the delivery of television commercials, 
programming, and corporate advertising and publicity campaigns for television 
stations, cable systems and other paid television providers. Major customers 
include TBWA Chiat/Day, Foote, Cone & Belding, and Cambell, Mithun, Esty. 
Founded in 1971, the Hollywood-based company is known for its superior 
management, reliability, and high quality services and has physical locations 
in the Los Angeles, San Francisco, Chicago, and New York markets.

Commenting on the acquisition Luke Stefanko, Chairman of the Board and Chief 
Executive Officer, stated, "For 26 years Multi-Media has been a leader in the 
duplication and distribution industry. Over the years management has 
succeeded in building long-standing, valuable client relationships. This new 
client base coupled with the physical presence that Multi-Media provides us 
in key markets is a powerful combination. In addition, Multi-Media is an 
optimal company in terms of the opportunities it provides us to increase 
VDI's overall proficiencies and improve our scale economies. The acquisition 
is a highly logical extension of VDI's business and fits well within our 
strict valuation guidelines. I look forward to working with Bernard Carr, the 
Chairman and founder of Multi-Media, who will continue to run and expand the 
business as a new division of VDI Media."

Bernard Carr added, "VDI is an exceptionally successful company. I am 
convinced that the synergies of our two companies will allow for continued 
growth and development for many years to come. As part of VDI, Multi-Media 
gains the increased workflow efficiencies and access to capital that it needs 
to take the business to the next level. I have the utmost confidence in VDI 
Media and look forward to joining and helping to expand the combined 
business."

VDI Media provides quality video duplication and distribution services. The 
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delivers commercials, movie trailers, electronic press kits, infomercials, 
and syndicated programming, by both physical and electronic means, to more 
than 900 syndicated TV stations and cable companies nationwide. Electronic 
distribution, using fiber optics and satellites, is provided through VDI's 
Broadcast One operations. VDI's video services include the duplication of 
video in all formats, standards conversion, closed captioning, and 
transcription. Customers include major motion picture studios, including Fox, 
Columbia/Tri Star, MCA, Disney, Paramount, MGM, Warner Bros., and advertising 
agencies Saatchi & Saatchi and Young & Rubicam.

Except for historical information contained herein, the matters discussed in 
this press release are forward-looking statements that are subject to certain 
risks and uncertainties that could cause actual results to differ materially 
from those set forth in such forward-looking statements. Such risks and 
uncertainties include, without limitation, the Company's dependence on the 
timely development, introduction and customer acceptance of new services, the 
impact of competition and downward pricing pressures, the effect of changing 
economic conditions, risks in technology development, customer and industry 
concentration, and other risks and uncertainties detailed periodically in the 
Company's filings with the Securities and Exchange Commission, including the 
Company's Prospectus dated February 18, 1997.

   CONTACT: VDI Media
            Donald Stine, 213/957-5500 (CFO)
            e-mail: dstine@vdimedia.com
            or
            Lippert/Heilshorn & Associates
            Lillian Armstrong/Adam Aron, 415/433-3777
            e-mail:adam@lhai.com


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