News Release

Thursday, December 5, 2002 
T.S.X. Venture Exchange Trading Symbol: ECY

VANCOUVER, B. C., CANADA ------ John Cumming, Chief Executive Officer of Yaletown Entertainment Corp. (the �Company�) is pleased to make the following announcement:

YALETOWN OPTIONS MOVIE RIGHTS TO TRACING IRIS; 
NEGOTIATES WITH ACTOR KELLY ROWAN

The Company announces that it has optioned the exclusive worldwide movie and television rights to the novel Tracing Iris by author Genni Gunn. The option is for a two-year term with right to extend for a further two-year term.

In an ingenious psychological novel Commonwealth Prize nominee Genni Gunn creates flawed but redeemable heroine Kate Mason. In the search for Iris, her mother missing since childhood, Kate unravels a tangled web of lies and murder, past and present.

The Company also announces that it has signed screenwriter and producer Graham Ludlow to adapt the book to the screen and to write the screenplay for a theatrical release feature film.

The Company also announces that Graham Ludlow together with Gemini Award winner (Best Actress in a Dramatic Role) actress Kelly Rowan have agreed to co-produce the screen version of Tracing Iris. Further, the Company has entered into negotiations with Kelly Rowan to play the leading role of Kate Mason. Kelly Rowan�s extensive film and television credits include such noteworthy titles as Hook (by Steven Spielberg), Greenmail, Chicken Soup for the Soul, C.S.I.: Crime Scene Investigation, and DiVinci�s Inquest to mention only a few.

Yaletown Entertainment Corp. is a diversified entertainment company combining an award winning production company with a complete High Definition video postproduction services division (see www.post-digitalworks.com) and a state-of-the-art digital audio postproduction services arm (see www.pinewoodsound.com) providing specialty services to the film and television industry in the pacific northwest.

For more information contact John Cumming, C.E.O., at 604-669-3543 or check out our web site at www.yaletownentertainment.com.

John Cumming, C.E.O.

THE TSX VENTURE EXCHANGE HAS NEITHER APPROVED NOR DISAPPROVED OF THE CONTENTS OF THIS PRESS RELEASE.