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Monday, November 12, 2001
 Vivastar Launches Proprietary DVD Recorder Line
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Message Text: Las Vegas Convention Center -- BOOTH# L-5846 -- Vivastar(R), a leading worldwide manufacturer of Super High Quality DVD and CD storage media products, today announced the launch of its PC-based DVD recorder line to U.S. retailers at Comdex Fall 2001 in Las Vegas, scheduled to go on sale in early 2002.

The launch makes Vivastar the world's only company to develop, produce, and fully integrate all three essential elements of digital storage technology-hardware, software, and media (DVD-R, 4.7 GB; CD-R; CD-RW)-thereby comprising a complete digital recording strategy.

Switzerland-based Vivastar has become a premier worldwide supplier of digital storage media in its four short years of existence, entering the North American market in February of 2001. The company's new DVD recorder line, one of the first to hit the U.S. consumer market, gives consumers the ability to record movies, music, data, and more in the reliable, portable, highly-stable DVD format.

"Comdex offers us the chance to finally host the U.S. premiere of our new media and robust hardware," said Atanas Zafirov, Chairman and CEO of Vivastar AG. "Our past experience, especially in the German market, has demonstrated we can be successful in this highly competitive market. By developing our products ourselves, we can react very quickly to changes in the market and in the needs of our customers."

"Vivastar's DVD recorders have been designed and built with the same Swiss obsession for quality that has put our DVD and CD media at the forefront of the media storage industry," said Adrian Garulay, CEO and President of Vivastar USA. "Our new line sets benchmarks for both affordability and performance, and are designed for broad compatibility with all PC products."

Vivastar's new DVD recorder products include the RS-121 External DVD Recorder and the RS-111 Internal DVD Recorder. Each is capable of recording 120 minutes of high-quality video onto a single 4.7 GB DVD-R disc, making it a practical choice for recording movies as well as other consumer and professional audio, video, and/or graphics information.

Vivastar's two new write-once units conform to standards set by the DVD Forum, a worldwide consortium of DVD manufacturers and technologists. Both units burn DVD-R discs at 1X and 2X speeds, with a maximum read rate of 4X, and feature disc-at-once and incremental writing methods. The RS-121 sports a streamlined futuristic design and Firewire interface, while the space-saving RS-111 helps keep smaller desktops free of additional equipment.

In-House Manufacturing Assures Stable Supply

Unlike other DVD recorder manufacturers that must rely on outside sourcing, Vivastar uses only in-house components in all critical areas of its products. The RS-121 and RS-111 contain patented chips and lasers designed and manufactured internally; these parts, among others, enable Vivastar to keep costs low and avoid disruptions in production.

"Just as with our digital storage media, Vivastar is committed to managing the cost structure and delivery schedule of its DVD recorders through total in-house fabrication," said Garulay. "We believe our methods have been the secret to our worldwide growth to this point, and they will guarantee our distribution channels the pricing flexibility and assured supply necessary to be successful at retail."

Retail Promotional Support Offered

Vivastar will back the launch of its DVD Recorders with a comprehensive advertising and sales promotion campaign for retailers. Co-op advertising support is available as well as in-store displays and other support materials.

U.S. retailers already committed to carrying Vivastar's new DVD recorders include; BrandsMart, TigerDirect, Datavision, RCS Computer Experience, and Electronic Boutique. Additional deals with other major mass retailers are currently in negotiation. In Canada, Vivastar products are available through Azerty United, the country's largest one-stop wholesale source for computer and office supplies and equipment.

Europe's Only DVD Media Producer

In December of this year, Vivastar will began shipping its 4.7 GB DVD-R storage discs to the U.S. The company remains Europe's sole producer of DVD media, offering a full line of products including CD-R (700MB, 80 min., both 2x-16x compatible) and CD-RW (650MB, 74-min., 1x-10x compatible) varieties. For the high-end user, two CD-R Audio products (650MB, 74-min. and 700MB, 80-min., both 1x-8x compatible) are offered that are compatible with Philips International's professional-grade audio CD technology.

The company expects to extend its line of writeable DVD media with the addition of DVD-RW and DVD+RW storage discs in the near future.

Executives Available to Comment on Compatibility Issues

Representatives of Vivastar's management will be available to the press for background interviews in Las Vegas. Topics of interest include: the question of compatibility between DVD-R, DVD+RW, and DVD-RW media; the current state of development of DVD recording technology; the capabilities and advantages of the self-developed software solutions of Vivastar; and the technological strides made by Vivastar in the DVD market.
 
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