LOS ANGELES--(BUSINESS WIRE)--Jan. 12, 2004--Universal Domestic Television (UDT) has become the first major studio to sign an agreement with Teletrax(TM), a subsidiary of Medialink Worldwide Incorporated (Nasdaq: MDLK), to electronically monitor the broadcast of promotions for its entertainment shows by television stations across the United States, it was announced today.

UDT will initially use Teletrax to monitor television promotions for a group of its successful first-run syndicated series: Maury, The Jerry Springer Show, The 5th Wheel and Blind Date. Universal Domestic Television distributes television and theatrical product to all forms of television in the United States and Canada. UDT is a unit of Universal Television Group, a division of Vivendi UNIVERSAL Entertainment (www.universalstudios.com), the U.S.-based film, television and recreation entity of Vivendi Universal, a global media and communications company.

"This new system will allow us to better evaluate how effective and frequent our promotion is in a given market and to share that information with our stations," said UDT President Steve Rosenberg.

"Universal is in the vanguard of the programming marketplace and we believe that others will soon follow its lead," said Andy Nobbs, managing director of Teletrax. "Many content providers are discovering how Teletrax's versatile service can be applied to any and all forms of video material -- advertising, news and entertainment programming and sponsorship content. Specifically in the programming marketplace, Teletrax is proving to be a valued instrument for monitoring contractual compliance, auditing residuals, understanding repurposing of long-form and promotional material, and aiding all-important ROI calculations."

Teletrax is the first and only global digital video monitoring service. Its patented technology embeds an imperceptible digital watermark into video that is robust enough to survive aggressive editing and special production effects such as picture compression. Additionally, Teletrax can detect usage with granular precision, down to one second of video.

Since its launch in 2002 as a joint venture between Royal Philips Electronics of the Netherlands and Medialink, Teletrax has rapidly expanded its global monitoring network to 44 nations across the world and top 100 markets in the United States.

As the first entertainment-programming client to adopt the one-of-a-kind service, Universal joins other Teletrax charter clients including leading news organizations Reuters and NBC News Channel. Reuters is using Teletrax to track broadcasts of its news video throughout Europe, Asia and Latin America. NBC News Channel is utilizing the patented watermarking technology to monitor its news and sponsorship content in the United States and Europe. Other news, entertainment and media companies are participating in active trials of the Teletrax service.

About Teletrax:

Teletrax (www.teletrax.tv) is the world's first global video broadcast monitoring service for digital rights management. It has been lauded as one of the most revolutionary television industry innovations in recent years.

Launched during the annual conference of the National Association of Broadcasters in April 2002, Teletrax provides clients with video watermarking services that enable them to precisely track and monitor where, when and how their content is being used. This is of particular value in the following areas:

Medialink (www.medialink.com) is a global leader in providing comprehensive and compelling multimedia communication solutions and services for more than 3,000 corporations and other organizations seeking to communicate news to their audiences through television, radio, print and the Internet. The company provides production and satellite distribution of video and audio news, multimedia webcasting services, press release newswire distribution, photography production and digital distribution, and strategic corporate communications consulting. Medialink also provides media monitoring and analysis and public relations research to help clients determine return on investment from their communications efforts. Based in New York, Medialink has offices throughout the United States and an international hub in London.

For additional investor and financial information, please visit the recently launched Investor Relations section of the Company's Web site (www.medialink.com).

With the exception of the historical information contained in the release, the matters described herein contain certain "forward-looking statements" that are made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements in this release are not promises or guarantees and are subject to risks and uncertainties that could cause our actual results to differ materially from those anticipated. These statements are based on management's current expectations and are naturally subject to uncertainty and changes in circumstances. We caution you not to place undue reliance upon any such forward-looking statements, which speak only as of the date made. Actual results may vary materially from those expressed or implied by the statements herein. Such statements may relate, among other things, to our ability to respond to economic changes and improve operational efficiency, the benefits of our products to be realized by our customers, or our plans, objectives, and expected financial and operating results. Forward-looking statements may also include, without limitation, any statement relating to future events, conditions or circumstances or using words such as: will, believe, anticipate, expect, could, may, estimate, project, plan, predict, intend or similar expressions that involve risk or uncertainty. These risks and uncertainties include, among other things, our recent history of losses, our ability to achieve or maintain profitability; worldwide economic weakness; geopolitical conditions and continued threats of terrorism; effectiveness of our cost reduction programs; our ability to develop new services and market acceptance of such services, such as Teletrax(TM); the volume and importance of breaking news which can have the effect of crowding out the content we produce and deliver to broadcast outlets on behalf of our clients; our ability to develop new products and services that keep pace with technology; our ability to develop and maintain successful relationships with critical vendors; the potential negative effects of our international operations on the Company; future acquisitions or divestitures may adversely affect our operations and financial results; the absence of long term contract with customers and vendors; and increased competition may have an adverse effect on pricing, revenues, gross margins and our customer base. More detailed information about these risk factors is set forth in filings by Medialink Worldwide Incorporated with the Securities and Exchange Commission, including the Company's registration statement, most recent quarterly report on Form 10-Q, most recent annual report on Form 10-K and other publicly available information regarding the Company. Medialink Worldwide Incorporated is under no obligation to (and expressly disclaims any such obligation to) update or alter its forward-looking statements whether as a result of new information, future events or otherwise.