January 11, 2006

Mainframe Entertainment Announces Cartoon Network will Air Live-Action / CG-Animated Hybrid TV Series Zixx

Press Release / Mainframe Entertainment Inc.

Licensing Campaign to be Launched with Broadcast

Vancouver, Canada, January 11, 2006 – Mainframe Entertainment, Inc. (“Mainframe”) (TSX: MFE), a Canadian computer generated (CG) animation production company, today announced that Cartoon Network U.S. will air 26 episodes of the hit CG-animated / live-action hybrid television series Zixx, produced by Thunderbird Films in association with YTV Canada. The series was produced in association with Mainframe and developed by Savi Media/The Nightingale Company. The show will premiere on the network January 21st, and air Saturday mornings. The agreement was completed by IDT Entertainment Sales, who distributes the series on behalf of Thunderbird and Mainframe. IDT Entertainment Sales has begun rolling out the series on a worldwide basis.

“Zixx is a tremendously exciting series, and is extremely popular with fans,” said Mainframe C.E.O. Rick Mischel. “With the shows unique blend of live-action adventure and CG animation, it has the ability to capture the imagination in a whole new way. The characters, story, and videogame-type challenges make Zixx one-of-a-kind.”

“With its unique blend of animation and live action, Zixx is sure to become a favorite. I believe it will be an excellent addition to our Saturday morning line-up of fun and cool series,” said Terry Kalagian, Vice President of Acquisitions and co-productions for Cartoon Network.

Zixx chronicles the adventures of an unlikely team of heroes who join forces in a quest to save the universe from evil. Led by the fearless alien operative, Zixx Phunkee Zee, a contingent of human boys and girls contribute their strategy game smarts to the battle in the Keep — a third dimension labyrinth which operates like a video game.

Mainframe has appointed Al Ovadia of Al Ovadia and Associates the official worldwide licensing agent for the “Zixx” series, which has been a break-out show on YTV in Canada, and already has legions of dedicated fans. Ovadia plans to roll out the Licensing and Merchandising campaign simultaneously with the launch of the show. “We’re thrilled to have one of the best merchandising agents in the business,” said Mischel, “ZIXX has all the right elements for a very broad-based licensing program. It’s unique style, eye-popping CG work, and compelling stories are the perfect recipe for merchandising success,” noted Ovadia. Ovadia has managed the licensing campaigns of some of the most successful entertainment properties in history, including Columbia Pictures’ Spider-Man and Spider-Man 2 feature films, European phenom Crazy Frog, and the hugely successful The Simpson’s merchandising program while at 20th Century Fox.

Mainframe’s creative team designed and created all the CGI animation content for the show.

YTV’s Bonita Siegel, Director of Original Productions for Corus Children’s Television, added, “After developing the series and supporting it for two seasons, we are really thrilled that Zixx has been picked up by the Cartoon Network in the USA.”

About Mainframe
Mainframe Entertainment Inc. is the industry leader in computer generated (CG) animation for television and direct-to-video/DVD family entertainment. Mainframe has produced over 256 half hours of CG animated television as well as ten CG animated direct-to-video/DVD feature films and two one-hour CG animated television specials. Mainframe’s CG animation expertise is also being used in the production of theatrical feature films, interactive games and commercials. Established in 1993, Mainframe continues to grow its library of proprietary productions, and has received many prestigious awards for its work on such international brands as “Barbie”(winner of VSDA Award for Children’s title of the Year), “Hot Wheels”, “Spider-Man”, “Casper” and “Popeye”. The Company is recognized as a CG animation pioneer having developed the groundbreaking internationally distributed television series “ReBoot”. Mainframe clients include Sony, Mattel, Lions Gate Home Entertainment, Electronic Arts (Canada) and MTV. Mainframe’s majority shareholder, IDT Corporation, is a NYSE-listed multinational telecommunications and entertainment company.

About Cartoon Network

Cartoon Network (CartoonNetwork.com), currently seen in more than 88 million U.S. homes and 160 countries around the world, is Turner Broadcasting System, Inc.’s ad-supported cable service offering the best in original, acquired and classic animated entertainment for kids and families. Overnight from 11 p.m. — 6 a.m. (ET, PT), Cartoon Network shares its channel space with Adult Swim, a late-night destination showcasing original and acquired animation for young adults 18-34. Turner Broadcasting System, Inc., a Time Warner company, is a major producer of news and entertainment product around the world and the leading provider of programming for the basic cable industry.

About YTV
YTV, Canada’s #1 youth network, is seen in over eight million homes across Canada. As a major force in Canadian kids’ entertainment, YTV has triggered over $988 million in Canadian independent production; developed a website that averages over 90 million monthly page views; published a successful kids’ magazine, Whoa!; and conducts a highly respected annual survey, The YTV Tween Report.

YTV is owned by Corus Entertainment, a Canadian-based media and entertainment company. Corus is a market leader in both specialty TV and Radio. Corus also owns Nelvana Limited, an internationally recognized producer and distributor of children’s programming and products. The Company’s other interests include music, television broadcasting and advertising services. A publicly traded company, Corus is listed on the Toronto (CJR.NV.B) and New York (CJR) Exchanges. Corus’ website can be found at www.corusentertainment.com.

About Al Ovadia & Associates, Inc.
Al Ovadia & Associates, Inc. (AO&A) is a broad-based entertainment company specializing in a variety of client services, including intellectual property representation and strategy, licensing and promotion, as well media sales of TV and home entertainment programs. In addition to ZIXX, AO&A currently represents Bernard and Khudayana from BRB Internacional (Spain); Huevocartoon in association with Communidad Huevo (Mexico) and, global phenom Crazy Frog for Kaktus Film AB (Sweden).

For further information please contact:

For Mainframe Entertainment:

Kristi Blicharski
aLine media
310-371-8795 / Kristi@alinemedia.com

Mainframe Investor Relations:
Ali Mahdavi
Genoa Management Limited
(416) 962-3300 ext.225 / amahdavi@genoa.ca