Metamedia Capital Corp. TSX VENTURE: MME

CALGARY, ALBERTA--(CCNMatthews - Oct. 5, 2006) - Metamedia Capital Corp (TSX VENTURE:MME) (http://www.metamedia.com) is pleased to announce the launch of its new magazine "Luxe". The magazine will be published monthly and distributed through the National Post. The first issue is scheduled to appear in the October 26, 2006 edition of the National Post.

"LUXE MAGAZINE" TO TARGET AFFLUENT HOMES

The magazine and its selected supplements will target such areas as Lifestyles and Travel. Based on an extensive due diligence period, The National Post was chosen as the distribution vehicle of this high end magazine because of its demographic to reach the more affluent homes across Canada and its double digit increases in circulation based on "NadBank" results across the country over the passed two quarters.

"Luxe Magazine" is designed by North American renowned Mamone & Partners of Toronto. Mamone and Partners designed the "Luxe Magazine" logo and will complete the exquisite look of the publication.

"Life & Legacy, is what our niche market is striving for," said Tom A. Vachliotis, Publisher of Luxe Magazine. "Travel, Lifestyle and articles of interest will be there month in, month out. Our national advertising revenues have surpassed even our wildest expectations. Regional advertising revenues are also extremely strong. The publication will also feature a classified section. We will be printing 65,000 copies 12 months out of every year accompanied by a selected series of Luxe Supplements. Our research shows that choosing The National Post to partner with will deliver pin point accuracy of distribution to Canada's most affluent homes. National Post has been the only newspaper to show double digit increases based on NadBank results across the country over the passed two quarters," said Vachliotis. "Our current sales allow us to forecast positive cash flow out of revenues for first year of operations through paid advertising. Supplement revenues are also indicating positive cash flows from paid advertising and sponsorship revenues."

"We are honoured to have been chosen to assist in the launch of this publication. Our experience with FQ, SIR and our other North American clients has positioned us in the forefront of 'today's' publishing industry," said Jerry Mamone, President of Mamone and Partners

Beth McBlain, Editor & Chief of "Luxe Magazine" added, "Our design coupled with the editorial content that we have lined up for the rest of 2006, will position our magazine to become the lifestyle leader in this niche market. A market that is constantly growing as Canada's population is inheriting huge fortunes over the next 10 years."

"There is a simple choice to make in the publishing industry. Go after short term-revenues that will evaporate after a few issues of a publication or build patiently and consistently top-quality integrity brands and go after the long-term stable advertising revenues by building relationships with major advertisers. We chose the long road because we were building the base for the long term when we started the Division. After two years of patience by shareholders and management we now enter the phase where things happen more rapidly. Our entry into the mainstream media in Canada with the launch of this publication is a milestone for the Publishing Division of the Company. Editorial integrity coupled with stable advertising revenues are expected to turn this division into a positive cash contributor to the Company's next fiscal quarter. The partnership with National Post is one example of Metamedia's determination to enter into niche markets, assume the leadership role(s) within these markets and maintain a consistent and profitable position within these competitive environments. Over the past two months Metamedia has focused in achieving all of these goals by the hiring of mainstream publishing industry experts and professionals. The visible results will be unveiled on October 26, 2006 in the National Post with the inaugural issue of Luxe Magazine" Company President & CEO Alexis Kostis said.

For all Metamedia investor relations needs, investors are asked to visit the Metamedia IR Hub at http://www.agoracom.com/IR/Metamedia where they can post questions and receive answers within the same day, or simply review questions and answers posted by other investors. Alternatively, investors are able to e-mail all questions and correspondence to MME@agoracom.com where they can also request addition to the investor e-mail list to receive all future press releases and updates in real time.

About Metamedia Capital Corp.

Metamedia is a global media conglomerate that produces proprietary, knowledge-based, content and acts as an integrator of advanced hardware and software technologies in order to serve the needs of re-segmented global niche-markets, either identified through their interest in ethnic-descent, language, history, and culture, or their need for highly specialized content of any nature.

The statements made in this Press Release may contain forward-looking statements that may involve a number of risks and uncertainties. Actual events or results could differ materially from the Company's expectations and projections.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.