The Industry's Premium Quality DVRs, and Best Overall Value... ReplayTV Announces New Flexible Pricing Model for Its Award-Winning 5500 Series Digital Video Recorders.

Business Editors/High-Tech Writers

SANTA CLARA, Calif.--(BUSINESS WIRE)--Dec. 22, 2003

Purchasers Now Have Choice of Buying the ReplayTV Service

Monthly or for a Single Onetime Fee

ReplayTV(R), the inventor and creator of personal television, today announced a new flexible pricing model for its acclaimed 5500 Series Digital Video Recorders (DVR). Beginning immediately, consumers will be able to purchase ReplayTV 5500 Series DVRs at the following prices: $149.99 for the 40-hour Model RTV5504; $299.99 for the 80-hour RTV5508; $449.99 for the 160-hour RTV5516; and $799.99 for the new 320-hour RTV5532. With each model, consumers will have the choice of either purchasing the ReplayTV Service for a $12.95 monthly fee, or choosing lifetime service bundled with the product for a single, onetime payment of $299. ReplayTV 5500 Series customers who have already purchased 3-year subscriptions to the ReplayTV Service under the previous pricing model will have their services automatically extended for the lifetime of the product at no additional charge.

ReplayTV President Bernie Sepaniak commented on the company's pricing move, noting: "ReplayTV has always been committed to providing our customers with superior quality premium DVRs, offering the most powerful feature sets, highest recording capacity, as well as the industry's best overall value. With our new pricing model, we're making a ReplayTV DVR purchase even more attractive for consumers, providing unprecedented value, while allowing them to choose between either purchasing the lifetime service upfront or on a monthly subscription basis."

ReplayTV 5500 Series: The Premium DVR Choice

The ReplayTV 5500 Series is the industry's broadest range of premium full-featured DVRs, offering a host of unique image-enhancing features including progressive scan and digital audio outputs, as well as superior recording features like One-Touch Record; First Run, the ability to only record first-run programs and skip repeats; and theme-based recording. Additionally, ReplayTV 5500 Series DVRs provide built-in networking capability, which allows for instantaneous connectivity to other units in the home network - with no additional fees or adapters. And because it's broadband-ready, users can choose either to connect to the ReplayTV Service through their high-speed broadband Internet connection or simply plug in their regular phone line and connect using ReplayTV's built-in V.90 analog modem.

ReplayTV's Industry-Leading JumpIt(TM) Feature Set with

ShowNav(TM)

ReplayTV 5500 Series DVRs offer industry-leading features that put unprecedented control options in the hands of TV viewers and deliver a new level of intelligent control. These features include the advanced JumpIt(TM) set of viewer control functions, including ShowNav(TM), QuickSkip(R), Instant Replay, and Jump Anywhere(TM). Major benefits of each feature are as follows:

-- ShowNav lets ReplayTV DVR users navigate programs by segment,

making it more intuitive and easier than ever before to

quickly find and view precisely the scenes they want to enjoy.

Users can jump to any segment of a recorded program quickly,

instead of hunting for it using fast-forward as with other DVR

brands;

-- QuickSkip lets viewers instantly advance 30 seconds ahead

while watching any recorded program;

-- Instant Replay lets viewers jump back to review the last seven

seconds (great for catching that missed snippet of dialogue);

-- Jump Anywhere lets viewers jump forward or back by any number

of minutes in a recorded program. Users can just enter the

number of minutes they want to jump, press QuickSkip or

Instant Replay - and they'll be precisely where they want to

be.

JumpIt, Jump Anywhere and the ReplayTV logo are trademarks of D&M Holdings Inc.

ShowNav(TM) is licensed by and a trademark of Televentions, LLC.

About ReplayTV

ReplayTV(R) is the inventor and creator of personal television and offers the most powerful DVRs on the planet. ReplayTV has earned over 20 prestigious awards including CNET's Editors Choice Award and is the winner of an Emmy for technological achievement. The company leads the DVR industry in groundbreaking innovations aimed at providing consumers with unmatched power and control in maximizing their TV viewing experience with the best performance and best value. Founded in 1997, ReplayTV is headquartered in Santa Clara, California. The ReplayTV(R) brand is owned by D&M Holdings U.S., Inc., through its wholly owned subsidiary Digital Networks North America, Inc.

About D&M Holdings Inc.

D&M Holdings Inc. is based in Tokyo and is the parent company of wholly owned subsidiaries Denon Ltd., Marantz Japan, Inc. and McIntosh Laboratory, Inc.- global industry leaders in the specialist home theater, audio/video consumer electronics and professional audio markets. In addition, through its U.S. based owned subsidiary, D&M Holdings also owns the ReplayTV(R), Rio(R) and Escient(R) brands - each representing award-winning technologies in digital home entertainment. Additional information is available at www.dm-holdings.com.

DISCLAIMER

Statements in this news release that are not statements of historical fact may include forward looking statements regarding future events or the future financial performance of the company. We wish to caution you that such statements are just predictions and that actual events or results may differ materially. Forward looking statements involve a number of risks and uncertainties surrounding competitive and industry conditions, market acceptance for the company's products, risks of litigation, technological changes, developing industry standards and other factors related to the company's businesses.

A home network is required for streaming shows to another compatible ReplayTV inside your home. A PC connected to a home network is required to store and view digital photos with ReplayTV. 320- hour recording capability is only available in the ReplayTV 5532 model. All specifications may be changed without notice.