Three National Retailers Announce Support of New High-Definition, D-VHS Platform.

Business Editors & High-Tech Writers

CEDIA 2002

MINNEAPOLIS--(BUSINESS WIRE)--Sept. 26, 2002

Best Buy, Circuit City and Sears To Carry JVC'S

HM-DH30000U D-VHS(R) VCR With D-Theater(TM) Encryption

JVC To Provide Expansive National Marketing Campaign

in Conjunction with Retailer Launch

Best Buy (NYSE:BBY), Circuit City (NYSE:CC) and Sears (NYSE:S), top-tier national retailers, will all begin carrying the high-definition JVC D-VHS(R) VCR, featuring playback of hi-def D-Theater(TM) software, it was announced from today's CEDIA trade show.

D-VHS(R) plays a significant role in the growth of HDTV by providing the only high-definition record/playback solution available in the consumer marketplace, and D-Theater playback capability offers the increasing number of consumers with high-definition televisions the first-ever prerecorded 1080i HD movies. The D-VHS(R) format is specifically designed to digitally record ATSC broadcast content including ever-increasing high definition broadcasts and JVC's D-VHS(R) VCR featuring D-Theater(TM) is supported by four major Hollywood studios: Twentieth Century Fox, Universal Studios, Artisan Entertainment and DreamWorks SKG. All four studios began releasing D-VHS(R) titles in the D-Theater format from June 2002, with high-profile films including Galaxy Quest, U-571, Terminator 2: Judgment Day and Independence Day. A complete listing of titles currently available in the D-Theater(TM) format is available at DVHSMovie.com.

"We are pleased to see national distribution for a product and platform that we already strongly support," said Pat Wyatt, President, Twentieth Century Fox Home Entertainment. "Pre-recorded high-definition entertainment is in great demand, and by virtue of its performance deserves this level of retail support."

"The increasing availability of the D-Theater platform and D-VHS titles is great news for both consumers and filmmakers," said Steve Beeks, President, Artisan Home Entertainment. "Consumers have become more and more savvy in what they expect from films, and filmmakers always want audiences to see their creations in the way they were truly meant to be seen. This new technology is the only way consumers currently can watch pre-recorded entertainment in high-definition, and is a huge step in the right direction."

"We are very excited that retail support for JVC's D-theater system continues to grow," said Kelly Sooter, domestic head of DreamWorks Home Entertainment. "The expanded presence of D-VHS VCRs will help satisfy the growing consumer demand for hi-def content and further drive overall consumer awareness of the platform."

By early October, all Best Buy and Circuit City stores and approximately 600 Sears retail locations will stock JVC D-VHS(R) units. Suggested retail price for the system is $1299.95. Already distributed by regional and specialty retailers, select Circuit City locations and online at BestBuy.com and CircuitCity.com, JVC's HM-DH30000U has been enthusiastically received by consumers, who are eager for a high-definition record/playback solution. The addition of three major national retailers putting this product on shelves helps to strengthen the already enthusiastic market for this new high-definition video platform.

"D-VHS(R) VCRs with D-Theater(TM) are setting the bar for HD video performance. At a 28.2 Mbps data rate there is simply no better source to display on a HDTV," said Jerry Barbera, Vice President, Consumer Video Division, JVC Company of America.

"Circuit City has a well-established, industry-leading digital product offering," said Rick Souder, Vice President and General Merchandise Manager, Circuit City. "While we've carried JVC D-VHS(R) VCRs in select locations for more than a year, adding the product to all of our store shelves further enhances our excellent selection and we believe our customers will be excited, as always, to find this cutting-edge technology in our stores. In addition, customers will be able to purchase D-VHS(R) movie titles on our web site at CircuitCity.com."

Marketing Support

JVC is supporting the HM-DH-30000U with a national print campaign that focuses on D-Theater(TM) playback capability as well as through regional promotions including direct mailing to HDTV owners. Consumers who purchase the unit and register by mail will receive, while supplies last, D-Theater(TM) concert videos from the bands Yes and Motley Crue.

The D-Theater(TM) prerecorded software system ensures the encryption of copyrighted digital content. Studios interested in the best security available for prerecorded content on D-VHS(R) are welcome to adopt the D-Theater(TM) technology. Such content will be playable only on D-VHS(R) machines bearing the D-Theater(TM) logo. Studios that currently support the D-Theater(TM) system include DreamWorks SKG, Twentieth Century Fox, Universal Studios and Artisan Entertainment.

About the Retailers

Best Buy Stores, owned and operated by Minneapolis-based Best Buy Co., Inc., is the top U.S. retailer of technology and entertainment products and services. Best Buy was founded in St. Paul, Minn. in 1966. Best Buy Stores reach an estimated 300 million consumers per year through more than 500 retail stores in 47 states and online at BestBuy.com. For more information about Best Buy, visit the virtual pressroom at http://onlinepressroom.net/bestbuy.

With headquarters in Richmond, Va., Circuit City Stores, Inc. (NYSE:CC) is committed to excellence in customer service. Knowledgeable, well-trained sales counselors coupled with an industry-leading product selection of brand-name consumer electronics, personal computers, software, movies, music and games, create a top-rated shopping experience. Superior customer service extends beyond sales counselors to include such service equities as Price Match Plus, Receipt Tracker and a Hassle-Free Return policy. Circuit City's Web site, CircuitCity.com, provides shoppers with extensive product information, direct shipment of purchases, real-time inventory status of products in stores and the ability to order online and pick up at a store. Circuit City's commitment to helping American families and youth is evident in its teaming with Upromise, Inc., which allows customers an innovative way to save money for college in tax-advantaged accounts with leading financial institutions. Circuit City also helps strengthen communities as the official sponsor of ImageMakers, the Boys & Girls Clubs of America's national photography contest. Circuit City operates 606 Circuit City Superstores and 17 mall-based Circuit City Express stores in 159 markets. For more information, visit www.CircuitCity.com.

Sears, Roebuck and Co. is a broadline retailer with significant service and credit businesses. In 2001, the company's annual revenue was more than $41 billion. The company offers its wide range of apparel, home and automotive products and services to families in the U.S. through Sears stores nationwide, including approximately 870 full-line stores. Sears also offers a variety of merchandise and services through its Web site, http://www.sears.com. In June 2002, Sears acquired Lands' End, a direct merchant of traditionally styled, classic Lands' End clothing offered to customers around the world through regular mailings of its specialty catalogs and online at http://www.landsend.com.