NEW YORK--Oct. 10, 2000--

Jeremy Bernard, ceo/founder of reelshort.com, announced that the company has changed its name to Hypnotic. For Hypnotic, a New Media Film Studio, the step represents a broader vision for the company and a deepening relationship with Universal Pictures, a significant investor in Hypnotic and its most important strategic partner. Coinciding with the name change, the two companies unveiled their first major joint project - The Hypnotic Million Dollar Film Festival, which will be held exclusively on Hypnotic.com. A major marketing and advertising campaign for the company and the Festival will launch in November nationwide.

While reelshort.com was conceived as a showcase for short films on the web, Hypnotic is a new media film studio. Not only does it provide consumers the opportunity to see the great work of talented artists in free-form lengths, it also serves as a nurturing ground for aspiring filmmakers. In the tradition of the old Hollywood studio system during the birth of the medium of film, Universal's resources, access and support will enable Hypnotic and Universal to discover, grow and groom new artists. The synergistic result will be home-grown talent not only producing content for Hypnotic but also for movie theatres, television, video and every other distribution channel available.

Bernard commented, "By combining the support of Universal Pictures with the creative freedom of an independent film studio and the immediacy of the internet, we can provide an exciting showcase for emerging filmmakers while also offering them major studio opportunities."

In commenting on the relaunch, Stacey Snider, chairman of Universal Pictures said, "Universal's production and distribution resources allow Hypnotic to attract a new generation of filmmakers, while Hypnotic provides us consistent access to those emerging artists. Artists and audiences will be drawn to Hypnotic because of the quality of the work, the clarity of the vision and the innovation in its presentation."

An example of Universal's commitment to their new partner is The Hypnotic Million Dollar Film Festival, which launches November 13th and will run through December 31st. Short films "in competition", pre-screened by the studio, will be presented exclusively on Hypnotic.com and consumers can participate by viewing the entries and selecting the top five films. These five films will then be screened in Park City, Utah during the Sundance Film Festival in January, 2001, where a blue-ribbon panel of judges will announce the Festival's Most Hypnotic Film, whose director will receive the opportunity to develop and direct a $1 million feature film to be co-produced by Universal and Hypnotic. The two studios have also committed to distribute the "million dollar" film, through various channels on and offline.

Hypnotic will be accepting submissions through November 9th, 2000. Rules for submission can be found on the site.

The Festival and name change were announced from Hypnotic's "living window", a live action offline portal in Manhattan, which for four days will be home to Jessica Bell, the "filmmaker in a box". Through Friday, October 13th, Ms. Bell will be shooting footage of passers-by from the window for a short film that will be shown exclusively on Hypnotic.com. At the event, Bernard introduced the spokesperson for The Hypnotic Million Dollar Film Festival, Michael C. Maronna.

Mr. Maronna, best known for his alter ego, Stuart the copy boy, from the popular television ads for Ameritrade, is an aspiring filmmaker, who has several short documentaries to his credit and will appear in the upcoming film Slackers. He will be featured in the company's new advertising campaign for the Festival. In addition to his work as Festival spokesperson, Maronna has signed a development deal with Hypnotic.

About Hypnotic
Founded in 1999, Hypnotic, previously known as reelshort.com, is a new media film studio, based in NYC, which leverages its partnership with Universal Pictures to acquire, create and distribute high quality, innovative content through a potent mix of traditional and non-traditional channels and develop the talent and work of emerging artists. The studio-within-studio dynamic affords Hypnotic opportunities and advantages completely unique within the new media community.