Grand Entertainment & Music, Inc. Announces Big Lou's First Mixtape Release

Grand Entertainment & Music, Inc. (PINKSHEETS: GMSC) is pleased to announce that Big Lou has nearly finished recording his first Mixtape under DJ Kay Slay, and it is set to be released in the next 3 weeks.

"Playtime is Over," Big Lou's first Mixtape under famed DJ and producer DJ Kay Slay, is just about finished. All of the tracks were recorded and cut at The Cutting Room Studios in New York and Polygon Studios in New Jersey. The production is set to be released within the next three weeks, and will be sold on all major internet outlets and in major stores throughout the U.S.

Big Lou performed one of his new tracks at his show last weekend, and received a great response. Lost City put out another new track from "Playtime is Over" on Big Lou's MySpace page (www.MySpace.com/BigLouTheSpanishFrankWhite). "Wu Homage" was released two weeks ago on the site, and it has already been played over 8,400 times. The release has received rave reviews from fans across the country. DJ Kay Slay has been promoting the release of the Mixtape on his radio show on Shade 45 (Sirius Satellite), and on his nightly show on New York's Hot 97 (the #1 R&B/Hip Hop station in the country).

"This is a major development in Big Lou's career, and a huge step for Lost City Records," stated Frank Urban, Big Lou's manager. "As Lost City's top artist, this Mixtape will introduce Big Lou to thousands of fans who have never heard of him before. In conjunction with the recent media blitz, hundreds of thousands of potential fans, domestically and internationally, will be exposed to Big Lou's music. It's no secret that the international community has embraced rap music over any other genre. They are very supportive of new exciting artists; especially artists with the musical range and talent that Big Lou offers."

Based in Montreal, Canada and incorporated in November 1998, the Company is an independent music entity that produces, promotes, markets and controls the copyrights on music recordings in multiple formats. Additionally, The Company's multi-million dollar studio, Cherry Studios, has produced voice-overs and sound tracks for commercials and film. In addition, Cherry Studios has also produced thousands of recordings and has to its credit a total of 23 gold and platinum albums. GEM has recently found success in the reggaeton market with its signature artist, Qbanito. Qbanito's debut album has already generated a #1 hit in Canada and is currently being marketed by Universal Music in Europe. Grand Entertainment also controls exclusive rights to vast catalogues of previously unreleased recordings from Cuban music archives. In November 2006, Grand Entertainment acquired half of Lost City Records, adding a half dozen award-winning artists, including rising rap star Big Lou, and a 500+ song catalogue to Grand's existing assets. In addition, the company will continue to focus on growth through acquisitions over the next twelve months in an effort to reach its mission of becoming a premier production, recording, publishing, and internet distribution company.

Safe Harbor Statement

This release contains forward-looking statements with respect to the results of operations and business of Grand Entertainment & Music (GEM) Inc., which involves risks and uncertainties. The Company's actual future results could materially differ from those discussed. The company intends that such statements about the Company's future expectations, including future revenues and earnings, and all other forward-looking statements be subject to the "Safe Harbors" provision of the Private Securities Litigation Reform Act of 1995.

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