Chyron Corporation Reports First Quarter Results.

MELVILLE, N.Y.--(BUSINESS WIRE)--April 25, 1997--Chyron Corporation (NYSE:CHY) today reported sales for the three months ended March 31, 1997 of $18.2 million, an increase of $4.5 million, or 32.8% over the $13.7 million reported for the first quarter of 1996. The net loss of $1.1 million, or $0.03 per share, compares to net income of $1.9 million or $0.06 per share, for the first quarter of 1996. Included in the net loss of $1.1 million for the 1997 quarter is $620,000 of non- recurring costs attributable to a planned Secondary Offering of the Company's common stock, which was terminated by the Company due to the market valuation of the stock. Net income per share and the weighted average number of common and common equivalent shares outstanding in both periods have been restated to reflect the one-for- three reverse stock split which became effective February 7, 1997.

Michael Wellesley-Wesley, Chairman and Chief Executive Officer of Chyron, stated, "The increase in sales is attributable to the inclusion of the sales of the Company's subsidiary, Pro-Bel Ltd., which was acquired April 12, 1996. Sales of Chyron's graphics systems were below our targets for the quarter and indeed below each of the four quarters of 1996. While unit sales of Chyron's iNFiNiT! family graphics systems were about even with the average quarterly unit sales of 1996, purchasers of our systems opted for the lower- margin, mid-range MAX! and MAXINE systems rather than our higher- margin, high-end iNFiNiT! systems. This resulted in both a reduction in total graphics revenue and an imbalance in product mix with the consequent drop in gross profit and operating income.

"It is important to note that our customers are indicating to us that Chyron total unit system sales and market share are not diminishing. Rather, increased purchases of Chyron's MAX! and MAXINE systems by users presently equipped with Chyron iNFiNiT! systems, as well as new Chyron customers, is the result of high-end users filling their near- term graphics system requirements with our lower-priced products to conserve their resources in anticipation of heavy expenditures that will likely be necessitated as a result of The Federal Communications Commission ("FCC") ruling to require Digital TV/ High Definition Television ("HDTV") transmission by some broadcasters as early as the second half of 1998.

Mr. Wellesley-Wesley continued, "We welcome the recent ruling of the FCC, which, in some measure, eliminates the uncertainty surrounding Digital/HDTV. Although we did not anticipate the extent of the negative impact on our first quarter as a result of such ruling, we believe this ruling augurs well for Chyron. We believe that Chyron is well-positioned, operationally and by its technical expertise, reputation and market share, to capture the expected new orders from new and existing customers. Chyron has the largest installed base of graphics systems worldwide; the most widely-used, most cost-effective range of graphics systems, and the greatest number of trained operators. Chyron also developed the first-to-be used HDTV system in a world-watched event, the 1992 Summer Olympics. The more than 5,000 presently installed Chyron high-end systems gives us confidence in Chyron's future profitable participation in the Digital Television technological revolution that will expand our existing and newly developing markets."

Chyron has formed Pro-Bel America to expand marketing, sales, service and training in support of Pro-Bel and Trilogy products in the United States, and South and Central America.

Isaac Hersly, Chyron's President and Chief Operating Officer, commented, "The reaction to Pro-Bel products at the recent 1997 National Association of Broadcasters ("NAB") Convention - held April 7-10 in Las Vegas - was extremely positive. The router, signal management and automation products are key components required when establishing new digital facilities or replacing older systems in preparation for Digital TV/HDTV."

At the NAB Convention, Chyron, Pro-Bel Limited and RT-SET introduced, showcased and/or demonstrated several new products and announced several strategic initiatives, including the acquisition of Axis Holdings, Inc., and the expansion of its Hong Kong sales and support office. The strategies strengthen Chyron's industry leadership and position Chyron in the global market for its present and future products.

The statements contained in this release may contain forward looking statements relating to such matters as anticipated financial performance, business prospects, technological developments, new products, research and development activities, and similar matters. The Private Securities Reform Act of 1995 provides a safe harbor for forward-looking statements. In order to comply with the terms of the safe harbor, the Company notes that a variety of factors could cause the Company's actual results to differ materially from the anticipated results or other expenditures expressed in the Company's forward-looking statements. These risks and uncertainties are detailed in the Company's Form 10K for the period ended December 31, 1996 and are incorporated herewith by reference.

Chyron Corporation develops, manufactures, markets and supports a broad range of equipment, software and systems that facilitate the production and enhance the presentation of live and pre-recorded video, audio and other data. Chyron's products enable users to (i) create and manipulate text, logos and other graphic images using special effects such as 3D transforming, compositing and painting, (ii) manage, monitor and distribute video, audio and other data signals; and (iii) control edit processes and automate broadcast equipment. -0-

                          CHYRON CORPORATION
      Condensed Consolidated Statements of Operations (Unaudited)
                 (In thousands except per share data)

                                         Three Months Ended
                                               March 31,
                                       1997                  1996
Net Sales                           $18,200               $13,725
Gross Profit                          8,150                 7,786
Non-recurring Costs                     620                     0
Operating (Loss) Income             (1,264)                 2,973
Interest and Other Expense, Net         330                   124
(Loss) Income Before Provision
for Income Taxes                     (1,594)                2,849
Income Taxes/ Equivalent (Benefit)
Provision                              (498)                  969
(Loss) Net Income                   $(1,096)               $1,880

(Loss) Earnings Per Common Share      $(0.03)               $0.06

Weighted Average Number of Common
 and Common Equivalent Shares
  Outstanding                         32,740               31,261

           Condensed Consolidated Balance Sheets (Unaudited)
                            (In thousands)

                             March 31, 1997     December 31, 1996
Assets
Current Assets                      $60,237           $63,000
Total Assets                        $90,538           $91,403

Liabilities and
 Shareholders' Equity
Current Liabilities                 $20,804           $21,133
Loans Payable                        15,157            15,163
Capital Lease Obligations                80               118
Other                                 1,023             1,043
Total Liabilities                   $37,064           $37,457

Shareholders' Equity                 53,474            53,946

Total Liabilities and
 Shareholders' Equity               $90,538           $91,403

CONTACT: Chyron Corporation

Michael Wellesley-Wesley, Chairman & CEO 

[phone]

Isaac Hersly, President & COO

[phone]

Judy Mauro, Director of Corporate Communications

[phone]

or

CHYRON'S INVESTOR RELATIONS COUNSEL:

The Equity Group Inc.

Devin Sullivan, 212/836-9608

Robert Goldstein, 212/371-8660