XSEL Announces Changes in Board of Directors, New Chairman and Enhanced Corporate Governance Practices

BEIJING, July 28 /PRNewswire-Asia-FirstCall/ — Xinhua Sports &
Entertainment Limited (“XSEL” or the “Company”; Nasdaq: XSEL), a sports and
entertainment media company in China, today announced that its Board of
Directors has appointed Mr. Zheng Jingsheng as the Company’s new independent
Director and Chairman of the Board and Mr. Harry Nam as an independent
Director, while Mr. Larry Kramer and Mr. Zhao Li have stepped down from the
Board.

Mr. Zheng Jingsheng served as Vice President of the Xinhua News Agency
from 1998 to 2008 and Deputy General Manager from 1995 to 1998. He will
commence his XSEL chairmanship on July 31, 2009, succeeding Ms. Fredy Bush.
Ms. Bush will continue to serve as Chief Executive Officer of the Company.

“I am honored to be joining XSEL as the new Chairman of the Board, in
continuing support of the Company, which is uniquely positioned to meet the
growing needs of sports audiences and advertisers who want to reach this
demographic,” said Mr. Zheng. “Utilizing my experience with the Xinhua News
Agency and government departments, I look forward to working closely with CEO

Fredy Bush and the other Directors in further expanding XSEL’s business and
seizing the unique opportunities presented by China’s burgeoning media
sector.”

The Board also appointed a new independent director, Mr. Harry Nam, a
partner of the Yucaipa Companies. Mr. Nam is filling the vacancy left by Mr.

David Olson, who left Yucaipa to pursue other business interests in June 2009.
Mr. Nam was also appointed as Chairman of the Nominating and Corporate
Governance Committee as well as the Investment Committee.

Mr. Nam said, “As I have watched XSEL execute its strategic plan into
sports media in China, I have been impressed with its meaningful progress.
Fulfilling Yucaipa’s long term commitment with XSEL, I look forward to being a
part of the ongoing effort and working closely with CEO Fredy Bush in her
mission to maximize value for our shareholders.”

Ms. Fredy Bush, Chief Executive Officer of XSEL commented, “On behalf of
the Board, I would like to express the deepest gratitude for the valuable
contributions made by Mr. Larry Kramer and Mr. Zhao Li during their service
and wish them the best in the future. At the same time, we warmly welcome Mr.
Zheng Jingsheng and Mr. Harry Nam. With Mr. Zheng’s in-depth understanding of
China’s media sector and extensive experience as a senior executive at the
Xinhua News Agency, he will contribute invaluable insight and guidance to
XSEL’s business. Also, with the separation of the Chairmanship and the office
of the CEO, we have further enhanced and strengthened the Company’s corporate
governance.”

Prior to joining XSEL, Mr. Zheng Jingsheng, a graduate of the People’s
University of China’s School of the Central Committee of the CPC, served as
Vice President of the Xinhua News Agency from 1998 to 2008 and Deputy General
Manager from 1995 to 1998. Mr. Zheng also previously served as Deputy General
Manager at the China News Development Company (Shenzhen) of the Xinhua News
Agency, as a Consulting Researcher at Development Research Center (“DRC”) of
the State Council of China and as Director of Information Center for the DRC.

Mr. Harry Nam is a partner of The Yucaipa Companies, an investment firm
with holdings in Europe, Asia and the Americas. He has over 15 years of
executive level experience in the areas of corporate strategy, sales and
marketing, finance and human resources. Most recently, he was the Director of
Corporate Development for the Hysoung Corporation, a global conglomerate with
revenues of over $6.1 billion in 2008. He holds an MBA from Harvard Business
School and a BA from Yale University.

    For more information:

    Media Contact
     Joy Tsang, XSEL
     Tel:   +86-10-8567-6050
            +86-136-2179-1577
     Email: joy.tsang@xsel.com

    IR Contact
     Edward Liu, XSEL
     Tel:   +86-10-8567-6061
            +86-139-1610-1635
     Email: edward.liu@xsel.com

     Howard Gostfrand, American Capital Ventures
     Tel:       +1-305-918-7000
     Toll free: +1-877-918-0774
     Email:     info@amcapventures.com

About XSEL

Xinhua Sports & Entertainment Limited (“XSEL”; NASDAQ: XSEL) is a leading
sports and entertainment media company in China. Catering to a vast audience
of young and upwardly mobile consumers, XSEL is well-positioned in China with
its unique content and access. Through its key international partnerships,
XSEL is able to offer its target audience the content they demand – premium
sports and quality entertainment. Through its Chinese partnerships, XSEL is
able to deliver this content across a broad range of platforms, including
television, the Internet, mobile phones and other multimedia assets in China.
Along with its integrated advertising resources, XSEL offers a total solution
empowering clients at every stage of the media process linking advertisers
with China’s young and upwardly mobile demographic.

Headquartered in Beijing, the company employs more than 1,200 people and
has offices and affiliates in major cities throughout China including Beijing,
Shanghai, Guangzhou, Shenzhen and Hong Kong. Xinhua Sports & Entertainment
Limited shares are listed on the NASDAQ Global Market (NASDAQ: XSEL). For more
information, please visit http://www.xsel.com .

Safe Harbor Statement

This announcement contains forward-looking statements. These statements
are made under the “safe harbor” provisions of the U.S. Private Securities
Litigation Reform Act of 1995. These forward-looking statements can be
identified by terminology such as “will,” “expects,” “anticipates,” “future,”
“intends,” “plans,” “believes,” “estimates,” ”confident” and similar
statements. Among other things, any quotations from management in this
announcement contain forward-looking statements. Statements that are not
historical facts, including statements about XSEL’s beliefs and expectations
are forward-looking statements. Forward-looking statements involve inherent
risks and uncertainties that could cause actual results to differ materially
from those contained in any forward-looking statements. Potential risks and
uncertainties include, but are not limited to, risks outlined in XSEL’s
filings with the U.S. Securities and Exchange Commission, including its annual
report on Form 20-F. All information provided in this press release is as of
the date hereof, and XSEL undertakes no duty to update such information,
except as required under applicable law.

SOURCE Xinhua Sports & Entertainment Limited