Southern Living Scores a Touchdown Using Digimarc's Digital Watermarking Technology

Digimarc Discover Mobile App Connects Readers to Sweepstakes, Pinterest, Videos and More

Beaverton, Ore — August 27, 2012 — Digimarc Corporation (NASDAQ: DMRC) today announced that Southern Living, the nation's seventh largest monthly paid consumer magazine, is featuring digitally watermarked editorial content using the Digimarc® Discover platform in its September issue, which hit newsstands August 24th. The issue showcases several of Digimarc's digital watermarking services, such as: multiple watermarks on a single page, watermarked text, pop-up labels, and Digimarc's proprietary Print-to-Pin℠ solution, which allows readers to pin printed, high-resolution images directly from the magazine to their Pinterest pinboards.

"Digimarc's technology enhances and deepens the consumer's experience of our brand," said Lindsay Bierman, editor of Southern Living. "Every scan transforms the printed page into a multimedia experience."

Highlights

Southern Living is the first publication to implement digitally watermarked editorial text. The September issue also features multiple watermarks on a single page, pop-up labels, and Digimarc's Print-to-Pin solution. Readers who scan the enabled text and images with the Digimarc Discover mobile application for iPhone and Android devices will be instantly connected to a variety of media experiences, including:

• "The South's Best Tailgate" (page 90): When watermarks are scanned, pop-up labels appear for each school caption, linking readers to a mobile optimized page to vote for their favorite school vying for "The South's Best Tailgate." Readers who vote will be entered into a sweepstakes for the chance to win $2,500 toward an ultimate tailgate. Southern Living will crown the winner of "The South's Best Tailgate" at a home game by November 10.
• "The Southern Table: Add a Midas Touch" (page 17): Readers have the ability to scan five different images and enjoy a direct connection from print to Pinterest using Digimarc's Print-to-Pin solution. Each picture links the reader to the high-resolution image of that item to pin to their chosen pinboard.
• "Ask the Grumpy Gardener" (page 56): Readers are able to submit their question for the Gardening Expert by scanning the illustration on the page.

"Southern Living is a great example of the range of options Digimarc's technology can provide to a publisher to increase reader engagement," commented Ed Knudson, Executive Vice President, Sales and Marketing at Digimarc. "Southern Living enabled great editorial content with premium online experiences that we think their readers will really enjoy."

About the Digimarc® Discover Platform

The Digimarc Discover platform enables smartphones and other sensor-equipped devices to "see and hear" media content using built-in cameras and microphones. Consumers simply direct their phone at content they are interested in and are presented with a range of associated network services such as purchase a product, view a video, save for later, download a coupon, or share with a friend, for example. The Digimarc Discover mobile applications are available for licensing and can be integrated into existing applications.

Publishers and others can embed digital watermarks into content using the Digimarc Discover Online Services Portal (OSP). The OSP is being used by magazines, newspapers, packaging companies, advertising agencies, and others to enable a variety of new experiences and capabilities from print. Companies interested in learning more about digital watermarking technology and licensing opportunities for the Digimarc Discover platform can visit: www.digimarc.com/Discover. For the latest updates follow us on our Digimarc Discover Facebook page and Twitter @DigimarcCorp.

About the Print-to-Pin℠ Solution

The Digimarc Print-to-Pin solution enables magazines, advertisers, retailers and others to drive Pinterest enthusiasts from printed materials to their corporate Pinterest sites without marring the creative aesthetics of the materials with QR codes or Microsoft Tags. An imperceptible digital watermark embedded in images, text, or branded design elements is automatically detected and consumers are immediately taken to the designated Pinterest pinboard or pin. Watermarked items can be linked to a specific image, which can then be re-pinned, or directed to a pinboard where multiple images can be re-pinned. As the images are shared throughout the Pinterest community, the links back to the magazine, advertiser or retailer are preserved.

About Southern Living

Southern Living celebrates the essence of life in the South, covering the best in Southern food, home, garden, and travel. Reaching more than 16 million consumers each month, Southern Living connects consumers with the region's rich culture through a variety of print, digital, mobile, tablet and event platforms. Headquartered in Birmingham, AL, the rapidly expanding Southern Living brand is part of Time Inc., one of the largest content companies in the world and the largest publisher in the United States. Time Inc. is a Time Warner company.

Disclaimer

Digimarc Corporation is not affiliated with, sponsored by, or endorsed by Pinterest, Inc. Use of the Pinterest name herein is for the purpose of describing a service enabled by Digimarc technology.

Contacts

Megan Rice Levinson
Time Inc. Lifestyle Group
+1 212 522 3773
megan_levinson@timeinc.com

Reggie Borges
Waggener Edstrom
+1 503 443 7859
pr@digimarc.com