iN DEMAND NETWORKS AND HALLMARK CHANNEL EXPAND PROGRAMMING PARTNERSHIP

New Deal Marks Hallmark Channel�s Initial Entry Into HD Video On Demand And Renews VOD And Hi Def Programming Agreements

IN DEMAND Networks and Crown Media Distribution, LLC today announced the renewal of their Video On Demand (VOD) and High Definition (HD) programming agreements. Under the terms of the new deal, Hallmark Channel movies and miniseries will continue to be available to iN DEMAND Movies On Demand customers and on INHD and INHD2, cable�s most widely distributed suite of high-definition networks. In addition, both parties announced that, for the first time ever, Hallmark Channel movies will be made available on a select basis to iN DEMAND�s HD Video on Demand service starting this summer.

�When we first entered into our agreement with Crown Media, we believed that the Hallmark brand and its high quality movies would resonate with our Movies On Demand customers and with viewers of INHD and INHD2,� said David Asch, Senior Vice President of Programming, iN DEMAND Networks. �Hallmark Channel movies have proven to be a great success and we believe that they will be a tremendous addition to our HD VOD lineup.�

While not sure about whether the initial VOD and HiDef agreements would one day lead to today�s HD VOD announcement, �it certainly was our hope that the next evolutionary step would lead to this new and exciting arena,� noted Paul FitzPatrick, Executive Vice President and Chief Operating Officer of Crown Media Holdings, Inc., owner and operator of Hallmark Channel and Hallmark Movie Channel.

IN DEMAND Networks, the world's leading PPV and VOD provider, delivers television premieres of the best movies, championship boxing, mega-event wrestling, professional and college sports, plus original entertainment. iN DEMAND's digital lineup also offers MLB EXTRA INNINGS, NBA LEAGUE PASS, NHL CENTER ICE, and MLS DIRECT KICK. iN DEMAND also owns and operates two 24-hour linear high definition television channels, INHD and INHD2. The company's shareholders are Comcast iN DEMAND Holdings, Inc., Cox Communications Holdings, Inc., and Time Warner Entertainment - Advance/Newhouse Partnership. Further information about the company can be found at www.indemand.com.

Hallmark Channel is a 24-hour basic cable channel that provides a diverse slate of high-quality entertainment programming to a national audience of 68 million subscribers. The program service is distributed through 4,800 cable systems and communities as well as direct-to-home satellite services across the country. Crown Media Holdings, Inc. (NASDAQ: CRWN) owns and operates Hallmark Channel. In 2004, Crown launched its second 24-hour linear channel, Hallmark Movie Channel. Through its subsidiary, Crown Media Distribution, LLC, Crown also distributes titles from its awardwinning collection of movies, miniseries and films for exhibition in a variety of television media including broadcast, cable, Video-on-Demand and High Definition Television.

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For more information, please visit www.hallmarkchannel.com or www.hallmarkmoviechannel.com.