Galaxy Latin America, LLC and HBO Latin America Group Sign Exclusive Agreement for DIRECTV in Argentina.

MIAMI--(BUSINESS WIRE)--April 30, 1999--

Galaxy Latin America, LLC ("GLA") and HBO Latin America Group(sm) (LAG) announced an agreement through which GLA has acquired the exclusive long-term direct-to-home satellite television rights to offer HBO's five premium channels in Argentina through its DIRECTV(TM) service. GLA has also acquired the exclusive broadcast rights of HBO's premium services in Greater Buenos Aires, making DIRECTV the only pay television service to offer such channels. Galaxy Entertainment de Argentina (GEA) is the company that provides the DIRECTV service in Argentina.

This landmark agreement between two of Latin America's leading home entertainment companies will increase the viewership of HBO's premium programming in Argentina through DIRECTV's aggressive subscriber expansion in that country. DIRECTV subscribers should also watch for a series of HBO value-added premium-channel additions starting the third quarter of 1999.

"We're pleased to reach this unprecedented agreement in the pay television industry. DIRECTV subscribers in Argentina will now have the opportunity to receive new and enhanced programming offers from HBO, which for many years have been the most popular premium channels in the country," said Kevin N. McGrath, chairman of GLA. "We look forward to this new stage in our relationship with HBO and the new possibilities that may arise."

"This is a milestone in the pay television and satellite industry," said Jose Manuel Pagani, CEO of HBO Latin America Group(sm). "This agreement sets a precedent for the positioning of premium television in Latin America."

"DIRECTV is a crucial player in the conversion from basic to premium," said Ele Juarez, president of HBO Latin America Media Services. "With their aggressive marketing strategies, and advanced technology, they are setting a pace that others will follow."

The channels included in this agreement are HBO Ole (East and West), HBO 2 and Cinemax (East and West). "We are pleased to reach this agreement, which ratifies the prestigious programming offer that DIRECTV provides to its Argentine subscribers. DIRECTV offers exclusive movies and top rated series, and HBO and Cinemax are an important value-added differentiator to our service," said Carlos Pratola, general manager of GEA.

DIRECTV is the first digital direct-to-home entertainment service to reach Latin America and the Caribbean. It is the leading provider of satellite television in the region. The service offers an extensive programming line-up from Latin America, the United States, Europe and Asia. It was the first service to bring to the region entertainment options such as impulse pay-per-view and an interactive programming guide. DIRECTV is available in 25 countries, including Argentina, Brazil, Chile, Colombia, Costa Rica, Ecuador, El Salvador, Guatemala, Honduras, Mexico, Panama, Trinidad & Tobago, Venezuela and various Caribbean island nations. DIRECTV will soon be launched in Puerto Rico, Peru, Paraguay, Uruguay and the remaining countries in the region.

Galaxy Latin America, LLC ("GLA") is a multinational company whose ownership includes DIRECTV Latin America, Inc., a Hughes Electronics Corporation company; the Cisneros Group of Companies and Tevecap, S.A. (TVA), an affiliate of Abril, S.A. GLA is based in San Jose, Costa Rica, and has offices in Buenos Aires, Argentina; Caracas, Venezuela; Fort Lauderdale, USA; Mexico City, Mexico and Sao Paulo, Brazil. Galaxy Latin America(TM) and GLA(TM) are trademarks of Galaxy Latin America, LLC. Galaxy Entertainment de Argentina is comprised of Argentina's Grupo Clarin, Hughes Electronics Corporation and the Cisneros Group of Companies.

The HBO Latin America Group(sm) is comprised of affiliates of Time Warner Entertainment Company, L.P., Sony Pictures Entertainment Inc., The Walt Disney Company and Ole Communications, Inc. The HBO Latin America Groupsm of companies own, operate and distribute the leading cable and satellite programming services in Latin America, Brazil and the Caribbean, including HBO Ole(TM), Cinemax(TM), E! Entertainment Television, Mundo Ole(TM), Sony Entertainment Television, and WBTV-The Warner Channel.