-- WITH LOGO -- TO ENTERTAINMENT AND FILM EDITORS:

 Studios Make Co-Production Deal for The Amityville Horror and True Believers

LOS ANGELES, Dec. 17 /PRNewswire/ -- MGM Pictures and Dimension Films have signed a co-production deal to produce and release the films The Amityville Horror and True Believers, it was announced today by MGM Vice-Chairman and COO Chris McGurk and Dimension Films Chairman Bob Weinstein. Under the deal, MGM will take the lead on the production and domestic release of The Amityville Horror (as well as select international territories) while Dimension will handle the bulk of international distribution. For True Believers, the roles will be reversed: Dimension will take production and domestic distribution leads while MGM will release the film abroad.

(Logo: http://www.newscom.com/cgi-bin/prnh/20011119/MGMLOGO )

"We're extremely excited to have worked out such a mutually beneficial partnership with Bob and Dimension to make these films," said McGurk. "It's a unique deal, and we're pleased it's working out so well. We're also thrilled to be working with Michael Bay and his associates to scare audiences with The Amityville Horror as well as with director Hideo Nakata on the intriguing True Believers."

"I look forward to working with Chris McGurk and his team at MGM on both of these projects. I'm happy that this will be the first collaboration with Michael Bay under our new arrangement," said Bob Weinstein, chairman of Dimension Films.

A modern retelling of the classic ghost story, The Amityville Horror is being produced by Michael Bay, Brad Fuller, Ted Field, and Andrew Fuller, the same team that struck gold with the recent update of The Texas Chainsaw Massacre. True Believers is being produced by Arnold Rifkin, David Wally, and Richard Gladstein, with Ringu director Hideo Nakata set to direct from a script by Doug Richardson.

Metro-Goldwyn-Mayer Inc. (NYSE: MGM), through its Metro-Goldwyn-Mayer Studios Inc. subsidiary, is actively engaged in the worldwide production and distribution of entertainment product, including motion pictures, television programming, home video, interactive media, music, and licensed merchandise. The Company owns the largest modern film library in the world, consisting of approximately 4,000 titles. Its operating units include MGM Pictures, United Artists, MGM Television Entertainment, MGM Networks, MGM Distribution Co., MGM Worldwide Television Distribution, MGM Home Entertainment, MGM On Stage, MGM Consumer Products, MGM Music, MGM Interactive and MGM Online. In addition, MGM has ownership interests in international television channels reaching almost 100 countries around the globe. For more information on MGM, visit MGM Online at http://www.mgm.com.

For further information, please contact Andrew Bernstein of MGM, ; or Jessica Rovins of Dimension,

SOURCE  MGM Pictures; Dimension Films