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Marantz To Ship Its Flagship SR9600 A/V Receiver With Unprecedented Launch Support And Promotional Activities

— Eleven Marantz Executives Will Criss-Cross the Country, Visiting Key Dealers and Custom-Installers; Receiver Will Also Be Displayed Prominently at Play-boy Jazz Festival in L.A. —

ITASCA, IL, May 26, 2005 – Marantz America, Inc. begins shipping its flagship Model SR9600 THX Ultra 2-certified A/V receiver (SRP: $4,199) with unprecedented launch support and grassroots promotional activities. In a key phase of the launch, eleven Marantz executives will tour the country in June for a product demonstration blitz that will include visits to 21+ markets where they will personally promote the unit to key dealers and custom installation professionals. The tour is part of Marantz’ major “Life Amplified” re-branding initiative announced at CES 2005, which combines a renewed corporate commitment to partnering closely with key customers with the introduction of a wide range of breakthrough products to enhance and improve everyday life.

The SR9600…and All That Jazz!
The SR9600 launch will also be supported with an attention-getting display and product demonstrations at the upcoming Play-boy Jazz Festival (June 11 and 12th at the Hollywood Bowl in Los Angeles). As a sponsor of the Festival, Marantz will have a strong presence in the event’s main display area, where attendees will be able to see how the SR9600, as well as products from Escient and Mordaunt-Short, can fit into their lifestyles in new and exciting ways.

Noted Kevin Zarow, Vice President, Marketing and Product Development, Marantz America, Inc.: “At CES 2005, Marantz vowed that we were going to break new ground in our effort to update our image and communicate our status as a total audio and video home entertainment solutions provider. The launch of our flagship SR9600 is the perfect vehicle to help us present our new face to the world. The landmark receiver harkens back to Marantz’ heritage as a premier audio manufacturer, while clearly demonstrating our commitment to the future of total home entertainment. With the power and features to literally immerse users in room-filling surround sound and home theater, the SR9600 embodies our ‘Life Amplified’ corporate philosophy.”

SR9600: Where No Receiver Has Gone Before
The ultimate-quality Marantz SR9600 (SRP: $4,199) is a multi-channel A/V receiver that brings a new level of fidelity and installation flexibility to the premium receiver category. For example, the innovative amplifier design utilizes a special “tunnel” type heat sink with an extremely quiet variable speed fan that doesn’t activate until serious heat conditions occur, ensuring users of audiophile-level silence. In addition, the SR9600 is one of the first products in the world to use the new Cirrus Logic CS49502 DSP. This chip has unprecedented processing power and utilizes two 32-bit cores for the ability to complete over 260 million instructions per second. This enables extremely complex post-processing of the most sophisticated audio signals. The SR9600 also features a strengthened chassis as well as a host of advanced technologies including new high-speed twin 32-Bit DSP Chipsets, audiophile-grade DACs, two IEEE1394 ports, seven-channels of equal power amplification, and HDMI switching.

To add flexibility and versatility, the SR9600 features a three zone version of Marantz’ acclaimed multi-source, multi-zone capability. Each of the two additional zones can be amplified, line level, at either fixed or variable output levels and can be controlled from the front panel, via either IR or RS232 connectors.

Strikingly Elegant Cosmetic, With Classic Marantz Design Elements
The first thing you notice about Marantz’ new flagship receiver is its stunning, classically simple exterior. Audio aficionados will particularly appreciate the receiver’s nod to the “classic” Marantz era with the precision Flywheel Gyro-Touch AM/FM tuner, capable of storing up to 50 station presets. The stylish fold-down front panel allows for a clean attractive symmetrical design while concealing the fully functional cursor-controlled menu. In addition to its visual elegance, the rugged copper-plated chassis prevents internal vibrations from radiating to the exterior of the receiver, virtually eliminating noise intrusion and maintaining the classic Marantz sound.

The Marantz SR9600 Digital Surround Receiver incorporates the most advanced digital technologies for ultimate home theater receiver performance. A Massive Toroidal Transformer provides a clean and powerful 140 watts x 7 channels for authoritative, effortless reproduction of movie soundtracks and music.

To ensure the highest quality video images from all sources, the SR9600’s newly designed video section features S-video/composite-to-component-video upconversion. The SR9600 also includes a built-in HDCD decoder, to provide the superior sonic benefits of HDCD playback from CD players and DVD players without HDCD capability. The receiver features a Video Off mode that switches off the video circuitry for lowest interference during audio-only playback.

The SR9600 offers an extensive array of connection options for installation flexibility, including four component video inputs and two outputs, plus S-video and composite video inputs, and multiple digital and analog audio inputs. To ensure compatibility with today’s most advanced source components, the SR9600 features HDMI (High Definition Multimedia Interface) switching, with two HDMI inputs and one output as well as two IEEE1394 ports for further video connectivity options.

Advanced MRAC For Fast, Easy Calibration
Marantz’s proprietary MRAC (Marantz Room Acoustic Calibration) feature, with an included high-quality microphone, provides users with an easy and fast way to analyze and calibrate optimum surround sound settings for any size or shape room, including parameters for speaker level, phase, size and frequency response. For total versatility and utility, the SR9600 also offers audio and video multi-room operation with configurable amplifier output and multi-room on-screen display.

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Dolby Headphone Technology, and More
The SR9600 offers a host of additional performance and convenience features. The inclusion of Dolby Headphone technology in the SR9600 allows users to listen to music, watch movies, or play video games with the dramatic surround effects of a 5.1-channel soundtrack through any set of headphones. Total surround sound versatility and realism is provided with the inclusion of THX Surround EX, DTS-ES Discrete, DTS-ES Matrix and DTS Neo:6 Cinema and Music 6.1-channel decoding.

The SR9600 is supplied with the highly acclaimed RC3200 programmable touch-screen learning remote control that operates all functions and can control all the components in a home entertainment system.

The SR9600 receiver joins Marantz’ full line of 7.1-channel receivers, including the SR8500 and SR7500 (SRP $1,099), SR5500 (SRP $649.99) and the high-value SR4500 (SRP $449.99).

About Marantz
Marantz America is committed to upholding the tradition of technological superiority initiated by founder Saul Marantz. In keeping with this emphasis on quality, Marantz audio and video components are carried only by the nation’s premier independent audio/video specialty retailers. Additional information is available at www.marantz.com. Marantz America is a wholly owned subsidiary of D&M Holdings Inc.

About D&M Holdings Inc.
D&M Holdings Inc. (TSE II: 6735) is based in Tokyo and is the parent company of wholly owned subsidiaries Denon Ltd., Marantz Japan, Inc. and McIntosh Laboratory, Inc. DENON, Marantz and McIntosh are global industry leaders in the specialist home theater, audio/video consumer electronics and professional audio markets, with a strong and long-standing heritage of manufacturing and marketing high-performance audio and video components. A wholly owned subsidiary of D&M Holdings U.S., Inc., Digital Networks North America, Inc. (DNNA), owns the ReplayTV, Rio and Escient brands — all representing award-winning technologies in digital home entertainment. Additional information is available at www.dm-holdings.com.

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DISCLAIMER
Statements in this news release that are not statements of historical fact may include forward looking statements regarding future events or the future financial performance of the company. We wish to caution you that such statements are just predictions and that actual events or results may differ materially. Forward looking statements involve a number of risks and uncertainties surrounding competitive and industry conditions, market acceptance for the company`s products, risks of litigation, technological changes, developing industry standards and other factors related to the company`s businesses. The actions referred to in this press release are not an admission or acknowledgement of any claim or allegation. The Company reserves all of its rights.

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