PENTHOUSE CREATES DIGITAL MAGAZINE
NEW ONLINE PLATFORM OFFERED TO CONSUMERS AND ADVERTISERS

(Boca Raton, FL – January 23, 2006) Penthouse Magazine, the re-launched men’s lifestyle publication, in conjunction with Zinio Systems, Inc., the worldwide leader in digital publishing and marketing services, is introducing a digital edition of its glossy periodical. Hence, readers everywhere will no longer have to hide their Penthouse magazines under their mattress, or in their garages - ever again!

The newly digitized format was tested and launched last week and showcases the February 2006 issue that is available on newsstands now. "Technology has come a long way since Penthouse was first introduced in 1965, cites Penthouse CEO Marc H. Bell, and it is PMGI’s goal to meet and exceed the needs of our savvy readership.” “By going digital, we are able to continue our mission of
creating high quality products for men - in an ever increasing number of new mediums.”

The digital magazine has the same high-quality photography and layouts that the print edition has, but in an easy-to-use electronic format. Penthouse readers from Dubai to Dallas can buy a digital subscription, or pick up a single issue by going to: www.penthouse.com/digital. The subscription or single copy will then be delivered instantly via the internet through a download to a PC, laptop or Mac. Additionally, digital subscribers will automatically receive their copy every month and it can be read online or offline. If you’re overseas or live in a rural area, the digital format is highly convenient and reliable.

“By launching Penthouse digital, we are offering our advertisers a new venue and increased access to consumers, says Bell. It’s also a lucrative means to distribute our content while still adding to our ABC rate base.”

The digital edition will premiere today January 23, 2006. The issue includes The Penthouse Interview with Iggy Pop, Penthouse Pet of the Year Runner-Up Cassia Riley’s pictorial and Valentine gift ideas for clueless guys.

“The re-emergence of the Penthouse brand is a significant event in magazine publishing and we are delighted that they chose us to create their digital edition,” says Scott L. Kauffman, President and CEO of Zinio. “We are confident that this partnership will generate a considerable volume of new readers for this active medium.”

For more information, or to arrange an interview with a Penthouse representative, kindly contact Kathleen Berzon in the Public Relations department at: 561.912.7034, or email: kberzon@pmgi.com.

About Penthouse Media Group Inc.
Globally recognized as the premier adult entertainment and lifestyle brand, Penthouse Media Group Inc. is the largest adult entertainment company in the world. The company operates numerous social networking and adult entertainment Web sites and provides adult video entertainment, as well as Penthouse TV and a broad array of products and services via its numerous national and international licensees. Penthouse Media Group also publishes and distributes Penthouse Magazine and a widely circulated group of sister publications in countries throughout the world.

About Zinio Systems, Inc.
Zinio is the recognized leader in digital publishing and marketing services. The world's leading publishers including Ziff Davis, VNU, Time Inc., Reader’s Digest, McGraw-Hill, Hearst, Hachette Filipacchi, Editorial Televisa and 100 others choose Zinio for a full suite of professional, turnkey services from customer acquisition and renewal marketing to production, fulfillment and certified delivery. Millions of customers worldwide enjoy the highest-quality reading experience, online or off. Zinio has offices in San Francisco, New York and London, and franchise partners throughout the world. The company is privately held and investors include Apax Partners, Commonwealth Capital, Intel Capital, New Enterprise Associates, North Bridge Venture Partners, Odyssey Capital and Palisades Ventures. www.zinio.com

Kathleen Berzon
For Penthouse Media Group Inc.
561.912.7034, or: kberzon@pmgi.com