News Release

Just In Time for the Holidays: Corel® Partners with Vialta to Create a Photo Enhancement and Digital Picture Frame Bundle

The Ultimate Gift for Any Digital Camera Owner Combines Photo Enhancement Tools with Digital Picture Frames that Play Slideshows of Entire Photo Collections

OTTAWA - November 29, 2006

Corel Corporation (NASDAQ:CREL; TSX:CRE) today announced a special holiday bundle aimed at consumers with burgeoning digital photo collections: award-winning Corel® Paint Shop Pro® Photo XI digital photo enhancement software combined with new VistaFrame™ digital picture frames from Vialta, which display individual or entire collections of digital photos on a table top. The ultimate gift for any digital camera owner, this holiday bundle gives consumers all the tools they need to fix, enhance and display their digital photos.

With this special holiday bundle, digital camera owners can perfect their digital photos and frame them in a unique and striking manner - either individually or in a slideshow format that showcases an entire photo collection.

"Everyone knows someone who loves taking photos with their digital camera," said Blaine Mathieu, General Manager of Corel's Digital Imaging Business. "Most people want to take better photos but all they really need are simple editing tools that will help them fix photo errors instantly. Any digital camera owner would love to receive our award-winning software with the VistaFrame picture frames that display a dazzling slideshow of their complete photo collection. This makes a fabulous holiday gift for photographers of all levels."

Corel's Paint Shop Pro Photo XI offers the easiest way to get professional-looking photos in minutes by correcting common photo errors - such as red eye, discoloration and blemishes, among others - with simple one-step fixes. A complete digital photography toolkit that allows consumers to enhance, organize and share their digital photos, it also allows them to create stunning photo projects, such as photo calendars, greeting cards, collages, slideshows and gifts. Easier to use and learn than comparable products, it helps digital camera users master basic and advanced digital photo editing in the fastest, easiest manner possible.

Corel Paint Shop Pro Photo also includes a dazzling array of photo enhancement capabilities and unique special effects along with several new features that allow digital camera owners to easily organize and find photos within minutes:

Built-In Photo Organizer: a one-stop photo manager that takes the guesswork out of finding photos. Users save time by searching for images on their computer by filename, data, file type or folder location. The Organizer is fully customizable, offering the ability to assign keywords, ratings and other information to an image.

Color Changer: this tool lets users easily and realistically change colors in their digital images.

Full range of graphics, photo projects and picture frames: these features allow digital camera users to engage in creative projects like photo restoration and scrapbooking.

Skin Smoothing: this feature lets users remove any wrinkles, blemishes or scars from people in their photos.

Time Machine: this tool lets users see what their photos would look like if they were taken in another era - such as the Roaring '20s or the Swinging '60s - and processed using historical photo development processes from the 1830s to the 1980s.

The VistaFrame digital picture frame offers a simple way to display digital photos individually or in a slideshow format directly from a memory card. VistaFrame's slideshow feature allows consumers to easily showcase pictures on a personalized display. In addition, VistaFrame has a built-in memory card reader that is compatible with most memory card formats - eliminating the need for a computer.

VistaFrame's sleek design gives it a sophisticated look, perfect for any home or office. The frame's modern finish complements the clear, bright 6.8" TFT LCD flat display screen and the 10 degree variable tilt hinge allows users to adjust the screen to the optimal viewing angle. Control buttons are recessed and strategically positioned for ease of use, maintaining VistaFrame's purity of line and stylish design.

With VistaFrame, it's easy to turn a simple frame into an amazing screen displaying an interactive slideshow. Intuitive control buttons enable consumers to determine the picture orientation, adjust the interval speed level and select the transition effect of the slideshow display. One touch of the "Menu" button guides VistaFrame owners through options where they can quickly access pictures from "My Album" or a memory card, customize their slideshows and change the slideshow settings. The "Thumbnails" feature allows users to see six pictures on the display screen at the same time, facilitating picture selection when creating a custom slideshow. The "Slideshow" button starts and pauses the picture display.

This special holiday bundle is available at an unbelievably low price of $179.99 USD. Users who purchase this bundle rather than buying the products separately can save as much as 30%. The bundle is available at www.corel.com.

About Corel Corporation Corel is a leading global packaged software company with over 40 million users. The Company provides full-featured, easy-to-use productivity, graphics and digital imaging software and enjoys a favorable market position among consumers and small businesses. The Company's award-winning product portfolio features popular, globally recognized brands, including CorelDRAW® Graphics Suite, Corel® Paint Shop Pro®, Corel® Snapfire™, Corel® Painter™, Corel DESIGNER®, Corel® WordPerfect® Office, WinZip®, and iGrafx®. With hundreds of industry awards for leadership in software innovation, design and value, Corel's products have built a loyal following of customers and partners around the globe. Corel's products are sold in over 75 countries through an international network of resellers and retailers, original equipment manufacturers (OEMs), and Corel's global websites.