Thomson Unveils Groundbreaking Digital Replacement for Professional Video Tape Decks at NAB 2003; Media General Makes Commitment for Dozens of M-Series iVDR Systems.

Business Editors/High-Tech Writers

NAB2003

LAS VEGAS--(BUSINESS WIRE)--April 7, 2003

The most fundamental building block of broadcast and professional video operations now has a more powerful, affordable digital replacement: the Grass Valley(TM) M-Series(TM) iVDR line of intelligent video digital recorders.

Unveiled for the first time today by Thomson, this new class of product is designed to replace the mechanical video tape recorders (VTRs) found in broadcast and professional video production facilities worldwide.

With a digital design and a touch-screen interface that mimics that of a VTR, the M-Series iVDR line easily supports traditional VTR capabilities, including playback, record, removable media, and the ability to ingest directly from a camera. Yet it surpasses traditional VTR capabilities by supporting multiple channels, simultaneous playout and recording, robust network support, clip editing and trimming, playlist creation, and the ability to exchange materials with a variety of applications using industry-standard protocols.

"You have to understand, there are literally hundreds of thousands of VTRs installed today. They are expensive to maintain, limited in their capabilities, and difficult, if not impossible, to upgrade. The openness, price, performance, and feature set make the market potential for the M-Series line enormous," said Mukul Krishna, senior industry analyst with the growth consulting firm Frost & Sullivan. "It's just what the broadcast industry has needed to help it move into the digital realm."

Industry leaders including Media General and the NASA contractor Crewe Technologies, are already expressing support for iVDR concept. In fact, today Thomson announced that Media General Broadcast Group has ordered dozens of M-Series iVDR units for at least 10 of its 26 broadcast properties over the next 12 months.

The M-Series iVDR has also received strong support from several major video-related software developers, including Crispin Automation, DNF Controls, Dixon Sports, Encoda Systems, Florical Systems, Harris Automation, Omnibus, Pathfire, and Sundance Digital.

"We know that the total cost of ownership of digital storage is far less than tape and that its operational efficiencies are far greater; we also know that video professionals want to walk away with their media, if only to have physical backups of their materials," said Marc Valentin, president of Thomson Broadcast & Media Solutions. "The M-Series system offers both the economies of digital storage and the convenience and low cost of industry-standard removable media."

Designed as a complement to the Emmy(R) award-winning Grass Valley Profile(R) line of digital video platforms, the M-Series iVDR can be used in broadcast studios and newsrooms, mobile production trucks, fixed-venue facilities such as sports arenas, and corporate and governmental video production facilities. Its affordable starting price is $22,995 for a two in/two out system with eight hours of storage.

Intuitive Touch-Screen Panel Among Key Features

Among the chief features of the M-Series iVDR is a touch-screen user interface that mimics a VTR's front panel. This interface connects to the iVDR directly for operation in an equipment rack. Users can also use a PC monitor, keyboard, and mouse to control an M-Series iVDR. There is even a front-panel cradle option that will allow convenient use on a desktop or in a crowded mobile environment.

For media portability and ingest, the M-Series iVDR system features industry-standard removable optical media and an architecture that can accommodate any media drive in a standard-sized bay. This design makes it a great complement to emerging optical disk acquisition technologies, as the two can operate side-by-side to streamline production workflow.

"The universal response from customers and application software developers who have contributed to the evolution of this new product has been that the feature set and price point of the M-Series iVDR will open up major new market and solution opportunities for their products," said Valentin.

Reliance on Digital Workflows, Cost Concerns Make M-Series Natural Fit

The introduction of the M-Series iVDR comes as broadcasters and video production professionals are increasingly relying on digital satellite and other networks for feeds of their material -- and as more advertisers are forwarding their commercials to broadcasters digitally. As a result, aging mechanical and analog systems are being systematically replaced with digital equipment that can be networked together.

The M-Series iVDR lets broadcasters and video professionals share video clips using standard computer networking and media-exchange technologies. As a result, they can transfer digital material to other storage devices on their network or to other applications, such as news editors and graphics programs.

The arrival of the M-Series line also comes amid concerns about the total ownership costs for tape-based storage. The combined maintenance, operational, and supply costs of tape-based systems are far greater than those of digital systems. What's more, the ability to network digital systems together and integrate them with broadcast automation lets facilities accomplish far more tasks with minimal human intervention.

More detailed information about the M-Series iVDR is available at www.thomsongrassvalley.com/M/.

Certain statements in this press release, including any discussion of management expectations for future periods, constitute "forward-looking statements" within the meaning of the "safe harbor" of the U.S. Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based on management's current expectations and beliefs and are subject to a number of factors and uncertainties that could cause actual results to differ materially from the future results expressed or implied by the forward-looking statements due to changes in global economic and business conditions, consumer electronics markets, and regulatory factors. More detailed information on the potential factors that could affect the financial results of Thomson is contained in Thomson's filings with the U.S. Securities and Exchange Commission.

About Thomson

With sales of 10.2 billion Euros (U.S. $ 9.6 billion) in 2002, Thomson (Euronext Paris: 18453); (NYSE:TMS) provides a wide range of video (and enabling) technologies, systems, finished products and services to consumers and professionals in the entertainment and media industries. To advance and enable the digital media transition, Thomson has four principal divisions: Content and Networks, Consumer Products, Components, and Licensing. The company distributes its products under the Technicolor, Grass Valley, THOMSON and RCA brand names. For more information: (http://www.thomson.net/)

As part of Thomson Digital Media Solutions division, the Broadcast and Media Solutions activity delivers products and solutions for broadcast and TV/Film professionals under its Grass Valley brand. These open, integrated digital products that work together along the entire digital video chain to support a variety of workflows, from content capture and acquisition through production, post production, and transmission. With a proven track record in broadcast, including 17 Emmy(R) and multiple industry awards, it offers an award-winning, robust product portfolio that touches more high-quality content than any other; product and systems expertise that has yielded hundreds of patents and a number of industry standards; and worldwide software engineering expertise and customer support teams that are second to none.

For information about Grass Valley products from Thomson please visit www.thomsongrassvalley.com