ARTEL Video Systems expands global sales efforts with new international reseller program

Business Wire, March 14, 1997

MARLBOROUGH, Mass.--(BUSINESS WIRE)--March 14, 1997--To increase its worldwide customer base and secure sales representation in Europe and along the Pacific Rim, Artel Video Systems, Inc. has established an international value added reseller network to market its fiber optic transmission equipment.

The network is comprised of companies that sell related products, have a strong sales force and the ability to establish the Artel name in new markets. Establishment of the new reseller network is expected to help boost international sales of Artel products by some 300-400 percent.

Each company has the option of representing and marketing up to three of Artel's lines, which include: SL4000 multi-channel fiber optic system; MegaLink D1 component digital fiber optic transport system; and DL1200 single-channel non-compressed fiber optic transmission equipment.

Resellers and specific sales territories of the new network include:

-- A.F. Marcotec (Germany, Poland, Hungary, Austria, Czech Republic,

Slovak Republic and Bulgaria)

-- Skyline Communications (Belgium, Netherlands and Luxembourg)

-- Mapatz Systems Engineering LTD (Israel)

-- Electro Acoustics (Singapore)

-- Advance Communication Equipment Company LTD (Hong Kong and

Peoples Republic of China)

-- Shanghai TV & Radio International Company LTD (Peoples Republic

of China, Hong Kong and Taiwan)

-- Wavetech (South Korea)

-- Woo Jin Technology Inc. (South Korea)

-- Panpipe International (Taiwan)

"Prior to establishing our reseller network, we relied on direct customer selling. Without knowledgeable resellers, it was difficult to market our technology overseas. To help meet our sales goals and increase business in Europe and Asia, our initial steps were to grow our sales department with new personnel who specialize in international liaison. They, in turn, established relationships with experienced companies throughout the world to distribute our main product lines to our primary customers -- television broadcasters and telephone operations -- as well as to new industries within their specific geographic areas," said Harold E. "Hal" Charnley, President and Chief Executive Officer, Artel Video Systems.

"These nine distributors underscore our commitment to meeting and fully supporting a worldwide customer base. We extend a warm welcome to our new international distributors and look forward to long and prosperous relationships with all of them," he added.

According to John Curtis, Vice President, International Sales, "Europeantelecommunications deregulation is mandated to occur in 1998, opening major new opportunities for Artel. For example, the UK market -- which is already substantially deregulated -- is ahead of the U.S. in employing D1 services. Thus, we expect the Artel MegaLink product that's already deployed in Europe to be eagerly adapted. In addition, major infrastructure investments in telecommunications and video media are underway in Malaysia, Singapore, China, and other countries along the Pacific Rim. Artel's partners in these areas are well positioned to succeed in these markets with our DigiLink, MegaLink and SL4000 products."

Artel Video Systems, Inc.

Headquartered in Marlborough, MA, Artel Video Systems designs, manufactures and sells broadcast quality fiber optic video transmission equipment. Artel's products offer solutions to a wide range of applications where totally transparent transmission of video, audio and data over fiber is required. Artel currently lists among its customers television broadcasters, Regional Bell Operating Companies, foreign telephone and telegraph systems, educational and medical institutions, cable television systems operators and U.S. government facilities as well as members of the Artel Link Program, a network of value-added resellers.

Additional information on the company and its products is available on the World Wide Web at http://www.artel.com, by calling Brenda Trapani at 508-303-8200 (ex 250), or by writing to the company at: 237 Cedar Hill Street, Marlborough, MA 01752.

CONTACT: Paula Goldstein

Geltzer & Company, Inc.

(212) 575-1976