Law Suit Filed by Subsids

Photo-Me International PLC 14 July 2000 PHOTO-ME INTERNATIONAL SUBSIDIARIES FILE $100 MILLION SUIT IN NORTH TEXAS DISTRICT COURT Photo-Me International plc, the world's largest manufacturer and distributor of photo booths, announced today that three of its subsidiaries have filed a $100 million lawsuit in the U.S. District Court of North Texas (Dallas) against Fantasy Entertainment, a competitor headquartered in Boston. Photo-Me International (PMI) said its suit charges Fantasy with patent infringement, false advertising and antitrust violations. The suit was filed in the District Court in Dallas because Image Dynamics, LLC, a majority-owned subsidiary of PMI, is located in nearby Grand Prairie, Texas. The other PMI subsidiaries launching the suit are KIS, SA., of Grenoble, France, and PMI Photomagic, Inc., of Surrey, England. The suit charges that Fantasy has infringed PMI's patent for technology used in photo booths to create personalised photographs with artistic background scenery, such as mountains and beaches. An allegation of false endorsement claim is directed at Fantasy's use of Tom Cruise's photograph to attract customers to some of its booths. 'We compete with our technology, with innovation and with hard work,' said Serge Crasnianski, PMI's Chief Executive Officer. 'It would be wonderful to have an endorsement from Mr. Cruise, but we don't have such an endorsement and neither does Fantasy Entertainment. Moreover, Fantasy has misled the public, not only with false claims of celebrity endorsements, but also with false statements concerning the applicability of their patents,' Crasnianski said. Serge Crasnianski noted that Fantasy acquired American Photo Booths, Inc. in 1998, after having been sued by American and having counter-claimed for antitrust violations. 'I find it ironic that Fantasy accused American of antitrust violations, acquired American, and now has engaged in the exact same conduct which Fantasy has alleged in court was forbidden,' Crasnianski added. 'Their claims are not truthful and they harm the public. And our subsidiaries, and other photo booth manufacturers, have been damaged as a direct result of this conduct.' Photo-Me International is publicly listed on the London Stock Exchange. Enquiries: Photo-Me International plc 01372-453399 Robert Lowes (Company Secretary) Bankside Consultants Limited 020 7220 7477 Charles Ponsonby Dominic Barretto
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