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TESCO Awards Contract to Hughes Network Systems

Posted on: Wednesday, 28 April 2004, 06:00 CDT

GERMANTOWN, Md., April 28 /PRNewswire/ -- Hughes Network Systems Europe (HNSE), a wholly-owned subsidiary of Hughes Network Systems, Inc. (HNS), the world's leading provider of broadband satellite solutions, today announced that it is providing TESCO, the largest retailer in the U.K., with a turnkey solution to deliver in-store advertising and information on customer-facing screens at 100 of TESCO's U.K. stores initially.

HNSE, together with Instrumental Media Group (IMG), is delivering the full solution to TESCO. IMG is responsible for the content that is shown on the screens, while HNSE is the complete system integrator. In addition to providing the transport infrastructure through its DIRECWAY(R) two-way satellite broadband platform, HNSE has overall responsibility for the installation, operation, and maintenance of the entire implementation, inclusive of the screens.

Content can vary from commercials provided by TESCO suppliers to TESCO's own content or SkyNews, the 24/7 news channels provided by BSkyB. Once the content is created by IMG, it is distributed via satellite to the stores, each with an average of 20 large plasma screens and 20 TFT (thin film transistor, a type of LCD flat-panel display) screens. Seven different channels of programming are available in the stores. Each channel can play content targeted to specific store areas on one or more screens. Audio/visual distribution equipment ensures that each screen receives and plays the desired content. The satellite delivery is a two-way, IP-based broadband link. The return satellite channel makes it possible to manage the content, distribute it to the stores, ensure that each screen is playing its intended content with the correct sound level according to the pre-planned schedule, and take corrective action as necessary, all from a central hub location.

"TESCO, the leading retailer in the U.K., is always driving to maximize the in-store customer experience," said Bill Pennell, TESCO Media and Revenue Generation Manager. "With this solution, we are providing more information to our customers directly at the point of sales. For our suppliers, this creates a genuine opportunity to better communicate with their and our end customers. HNSE has been selected by us because of their superior track record, their high-quality, end-to-end solution, and their very professional way of meeting our and our customer's needs."

Bob Clarke, IMG founder and CEO, said, "This implementation is the first of its kind of this scale. With this implementation, TESCO will change the landscape of the retail industry. We are very pleased to be working with HNSE. Their experience with similar implementations over several years is helping us shape the ultimate solution and continuously exceed customer expectations."

"We are delighted to having been selected by TESCO to deliver TESCO TV," said Bernhard Baer, vice president for sales and marketing at HNS Europe. "Customer-facing business solutions are a major part of our product portfolio. We have the expertise and track record to develop and implement outstanding micro advertising solutions to exactly meet the customer's business requirements."

To deliver TESCO TV, HNSE, as the prime contractor and system integrator, has put together a team of highly specialized professional firms to deliver the end-to-end-solution. The key contributors are Innov8 for content encoding and management, SCALA for the provision of the software, which schedules and plays the content, and SatVision for installation and maintenance of all hardware.

About Instrumental Media Group

The Instrumental Media Group Ltd. comprises six companies, whose expertise and services work seamlessly together to unlock the power of television in commercial and public sector situations outside of the home. IMG's full service offering includes media business strategy and consulting, revenue generation modeling, regulatory guidance, content creation for private broadcast and interactive business television, the origination of broadcast channel identities, and ongoing channel management. For additional information, please visit http://www.instrumentalmedia.com/.

About TESCO

TESCO is the national leader in the food sector in the United Kingdom, a market that TESCO serves through a combination of small urban stores (under the TESCO Metro/High Street brand name), big supermarkets (TESCO Extra and Superstores) and convenience and gasoline retailing sites (TESCO Express). Apart from being the UK national leader in the food sector, TESCO sells a wide range of non-food goods -- books, CD/DVD/mini-discs, hi-fi and household appliances, household equipment, flowers, wine, apparel -- while also providing financial and other personal services. With over 2,300 stores in the UK, Ireland, Central Europe (Poland, Slovakia and the Czech Republic), and Asia (Thailand and South Korea), TESCO is a global player, operating in 10 countries, market leader in 6 of them, and expanding into new markets such as Japan and China. For additional information, please visit http://www.tesco.com/.

About DIRECWAY

DIRECWAY is the world's leading broadband by satellite service, providing high-speed, IP-based connectivity to large and small/medium enterprises (SME), small office/home office (SOHO) and residential customers. DIRECWAY is available around the globe through HNS directly and from authorized value- added resellers (VARs).

About Hughes Network Systems Europe

Hughes Network Systems Europe (HNSE) is Hughes Network Systems, Inc.'s (HNS) operating and sales organization for the European market. HNSE has facilities in Italy, the United Kingdom, Germany, and the Czech Republic. Utilizing its satellite hub earth stations and network operations centers in Griesheim, Germany and Milton Keynes, U.K., HNSE provides DIRECWAY broadband satellite services throughout the continent, both directly and through a growing family of value-added service providers. HNSE designs, develops, installs and maintains a wide variety of enterprise network solutions such as broadband Internet/Intranet access, multicasting video distribution, interactive distance learning and video conferencing. Its customer base spans all major market sectors, including oil and gas, retail, automotive, banking, restaurants and governments, with 40,000 terminals ordered or shipped. To learn more about HNSE, please visit http://www.hnseu.com/.

About Hughes Network Systems

Hughes Network Systems, Inc. (HNS), a wholly owned subsidiary of The DIRECTV Group, Inc., is the world's leading provider of broadband satellite network solutions for businesses and consumers, with more than 600,000 systems ordered or shipped to customers in 85 countries. HNS pioneered the development of high-speed satellite Internet access services, which it markets globally under the DIRECWAY brand. In addition, HNS is a leading manufacturer of DIRECTV(R) satellite television receivers, having shipped more than 14 million systems to date.

Headquartered outside Washington, D.C., in Germantown, Maryland, USA, HNS maintains sales and support offices worldwide. The DIRECTV Group, Inc. , formerly Hughes Electronics Corporation , is 34 percent owned by Fox Entertainment Group, which is approximately 82 percent owned by News Corporation Ltd. For additional information, please visit http://www.hns.com/.

Hughes, Hughes Network Systems, DIRECWAY, and DIRECTV are trademarks of The DIRECTV Group, Inc.

Hughes Network Systems, Inc.

CONTACT: Judy Blake of Hughes Network Systems, Inc., +1-301-601-7330,jblake@hns.com; or Colleen Stroh of Brodeur Worldwide, +1-202-775-2648,cstroh@brodeur.com, for Hughes Network Systems, Inc.

Web site: http://www.hns.com/http://www.hnseu.com/http://www.instrumentalmedia.com/http://www.tesco.com/

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