Signature Devices, Inc. Signs Letter of Intent to Acquire 7th Level Entertainment Group, LLC

Signature Devices, Inc. Signs Letter of Intent to Acquire 7th Level Entertainment Group, LLC

Signature Devices, Inc. (PINKSHEETS: SDVI)

today announced that the company has signed a letter of intent for the

acquisition of the 7th Level Entertainment Group, LLC. Pursuant to the

terms of the merger agreement, 7th Level Entertainment and its subsidiaries

will become a wholly owned subsidiary of Signature Devices, Inc. upon

closing of the transaction. Current sales for 7th Level Entertainment

Group and its subsidiaries that will be part of the acquisition are in

excess of $2 million and expected to be in the $4-6 million dollar range

for 2009.

“As part of our business plan and in order to build shareholder value, we

have begun to seek acquisitions for Signature Devices, Inc.,” said Kenneth

Hurley, Signature Devices, Inc. Chief Executive Officer. “The mergers and

acquisitions strategy allows us to grow the company at a much faster rate

than trying to do it organically. The acquisition of 7th Level

Entertainment Group will give us greater strength with music and audio

studios, lighting and events in addition to artist management.”

The initial agreement in the form of a letter of intent provides the

framework for a subsequent definitive agreement under which Signature

Devices, Inc. would acquire 7th Level Entertainment Group as a wholly owned

subsidiary. The details of the proposed deal will be included in the

definitive agreement. The letter of intent outlines additional due

diligence, audit work and other terms that must be fulfilled to proceed to

the definitive agreement and to subsequently effect a close of the


The plan for 7th Level includes additional acquisitions, the addition of

new members to the management team, and the development of additional

business lines within the entertainment industry while maintaining and

growing Signature Devices, Inc.’s core business. Graffiti Entertainment

will be able to leverage the music and audio studios for game development

as well as leverage the event and artist management for published video


About Signature Devices, Inc. and Graffiti Entertainment, Inc.:

Based in Redwood City, CA, Signature Devices, Inc. creates, develops and

manufactures advanced information technology, including computer systems,

software and electronics products. One of the Company’s premiere

technologies includes a blend of hardware and software for image generation

technology used in video games and simulations. Signature Devices also owns

Graffiti Entertainment, Inc., ( ), a publisher

of interactive entertainment software for advanced entertainment consoles.

The information in this press release includes certain “forward-looking”

statements within the meaning of the Safe Harbor provisions of Federal

Securities Laws. Investors are cautioned that such statements are based

upon assumptions that in the future may prove not to have been accurate and

are subject to significant risks and uncertainties, including the future

financial performance of the Company. Although the Company believes that

the expectations reflected in its forward-looking statements are

reasonable, it can give no assurance that such expectations or any of its

forward-looking statements will prove to be correct. Readers are cautioned

not to place undue reliance on these forward-looking statements that speak

only as of the date of this release, and the Company undertakes no

obligation to update publicly any forward-looking statements to reflect new

information, events, or circumstances after the date of this release except

as required by law.