Exhibit 99.1

Image Entertainment Launches New Division Offering Turn-Key Distribution
            Services to Independent Audio and Video Labels;
            New Initiative Designed to Fuel Revenue Growth;
    Company to Leverage Existing Infrastructure and New VMI System

    CHATSWORTH, Calif.--(BUSINESS WIRE)--April 19, 2006--Image
Entertainment, Inc. (Nasdaq:DISK), a leading independent licensee,
producer and distributor of home entertainment programming in North
America, today announced it has formed Image Entertainment
Distribution Services, a new division that will provide a
comprehensive suite of exclusive distribution services for other
independent audio and video labels with annual revenues in the $10 -
$50MM range.
    Image Entertainment has established the new division in response
to the rapidly-evolving distribution landscape, which has been marked
by increasing consolidation and the changing needs of the industry's
largest audio and video retailers. In doing so, Image is positioning
itself to recognize a new revenue stream that will effectively
leverage the Company's existing infrastructure while providing
independent labels with a variety of options, including sales,
marketing, distribution, production and creative services, necessary
for them to stay competitive in the marketplace.
    Image Entertainment is currently one of the only self-distributed
independent labels with annual revenues in excess of $100MM. Image's
account base, one of the most diverse and comprehensive in the
industry, will provide other independent labels access to all classes
of trade through its direct-selling relationships. Additionally,
Image's vendor managed inventory system is currently planned to be
operational by September 30, 2006. Once completed, Image will have
inventory tracking and stock replenishment capabilities at the store
level for participating retailers.
    "We've always understood what it means to be an independent label.
Image is in a unique position to help other independents, who might be
feeling lost or ignored as a distributed label under the control of a
big studio or major music company," said Martin W. Greenwald,
president and CEO of Image Entertainment. "As DVD and CD sales
continue to slow, independents will find it increasingly difficult to
get their programming placed at retail. Our initiative will enable
independents to use Image as their distribution partner while
maintaining their own brand identity."
    The Company will also look to acquire the digital rights to
programming owned or controlled by these independent labels and offer
strong digital distribution opportunities through Egami Media, Inc.,
Image Entertainment's expanding digital distribution subsidiary, which
is focused on the aggregation of audio and video content for
distribution through the Internet and other non-traditional channels.
    "Our new distribution division has been designed to take advantage
of our existing infrastructure, and generate additional revenue
without the necessity of adding significant costs," said David
Borshell, chief operating officer of Image Entertainment. "This move
will make Image even more prominent in today's market during a time
when maximizing distribution efficiencies has become a key issue
throughout the industry."

    About Image Entertainment:

    Image Entertainment, Inc. is a leading independent licensee,
producer and distributor of home entertainment programming in North
America, with approximately 3,000 exclusive DVD titles and over 200
exclusive CD titles in domestic release and approximately 300 programs
internationally via sublicense agreements. For many of its titles, the
Company has exclusive audio and broadcast rights and, through its
subsidiary Egami Media, Inc., has digital download rights to more than
1,500 video programs and over 150 audio programs containing more than
2,000 tracks. The Company is headquartered in Chatsworth, California,
and has a domestic distribution facility in Las Vegas, Nevada. The
Company's subsidiary Image Entertainment (UK) maintains a content
acquisition office in London, England. For more information about
Image Entertainment, Inc., please go to www.image-entertainment.com.

    Forward-Looking Statements:

    This press release includes forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995
relating to, among other things, our goals, plans and projections
regarding our financial position, results of operations, market
position, product development and business strategy. These statements
may be identified by the use of words such as "will," "may,"
"estimate," "expect," "intend," "plan," "believe," and other terms of
similar meaning in connection with any discussion of future operating
or financial performance. All forward-looking statements are based on
management's current expectations and involve inherent risks and
uncertainties, including factors that could delay, divert or change
any of them, and could cause action outcomes and results to differ
materially from current expectations.
    These factors include, among other things, our inability to raise
additional working capital, changes in debt and equity markets,
increased competitive pressures, changes in our business plan, and
changes in the retail DVD and entertainment industries. For further
details and a discussion of these and other risks and uncertainties,
see "Forward-Looking Statements" and "Risk Factors" in our most recent
Annual Report on Form 10-K. Unless otherwise required by law, we
undertake no obligation to publicly update any forward-looking
statement, whether as a result of new information, future events or
otherwise.

    CONTACT: Press/Corporate Contact:
             THE HONIG COMPANY, INC.
             Steve Honig, 310-246-1801
             press@honigcompany.com
             or
             Investor Relations:
             MKR Group, LLC
             Charles Messman or Todd Kehrli, 818-556-3700
             ir@mkr-group.com