DG Systems Adds CNN To Its Digital Delivery Network.

Business & Technology Editors

DALLAS--(BUSINESS WIRE)--Feb. 12, 2002

DG Systems, Inc., (Nasdaq:DGIT), the leading technology innovator for delivering and managing short- and long-form audio and video content to the broadcast industry, today announced that the CNN Networks, including CNN, CNN-Sports Illustrated, CNN-Headline News, CNNfn, and CNN-Airport Network, have adopted DG's DVPS technology for the digital delivery of commercials.

CNN joins cable network broadcasters Lifetime Television, The Weather Channel, Fox Sports, The Soap Network, Toon Network, WGN, and Sunshine Network as part of the nation's largest digital ad network, enabling them to receive spots digitally.

"Using digital delivery provides convenience, cost savings, and enhanced service to our customers," commented John Maniccia, Research Analyst at Turner Broadcasting. "With digital delivery, customers now have the option to send clips without the issues inherent in tape and courier delivery, and can replace multiple BetaSP tapes with a single digital delivery."

Jason Gillespie, VP of Operations at DG Systems added, "CNN is the cable industry leader on many fronts, especially in the technology arena. The DG/CNN relationship represents a significant step in moving the cable industry toward widespread adoption of our innovative delivery solutions."

About DG Systems, Inc.

DG Systems and the Company's StarGuide division provide the standard in Digital Media Exchange services for the advertising and broadcast industries, featuring innovative satellite and Internet transmission technology solutions and a suite of digital media asset management tools. DG's extensive delivery network is the largest in the advertising and broadcasting industries, reaching more than 5,000 advertisers and agencies, 7,500 radio stations, and 875 television broadcast facilities with innovative delivery and management solutions for short- and long-form audio and video content. For more information, please contact the Company at 972/581-2000 or at www.dgsystems.com.

This release contains forward-looking statements relating to DG Systems, including the expansion of its digital distribution network, and the demand among certain clients for digital audio and video delivery services. These forward-looking statements involve risks and uncertainties, which could cause actual results to differ materially from those projected. These and other risks relating to DG Systems' business are set forth in the company's Form 10-K filed with the Securities and Exchange Commission on August 14, 2001, and the company's proxy statement dated May 18, 2001.