P R E S S   R E L E A S E

VSR Receives New Patent for PanamorphTM Anamorphic Lens Technology

Waterford, Mich., February 19, 2004 – Visual Systems Research, Inc. (VSR) today announced that the U.S. Patent and Trademark Office has issued a new patent to VSR for key technologies relating to its Panamorph anamorphic lens products. Panamorph lenses are used for converting digital projectors to the wide screen formats of HDTV and major motion pictures, bringing high performance wide screen imaging into homes and commercial venues.

"We are very pleased with this addition to our patent portfolio since it represents technologies critical to the growth of anamorphic optics in the digital projection industry, especially for home theater markets," commented Shawn Kelly, VSR's chief executive officer. "These technologies support features in both our Panamorph lenses and in forthcoming products from our technology integration partners that insure the highest performance from wide screen applications."

The new patent represents the eleventh issued patent for VSR for optical technologies specific to electronic imaging systems. For more information about VSR, please visit www.visr.com. For more information about Panamorph lenses, please visit www.panamorph.com.

Panamorph is a trademark of Visual Systems Research, Inc.