P R E S S   R E L E A S E

DIGITAL PROJECTION ANNOUNCES 2ND GENERATION 16:9 ASPECT RATIO

1280 x 720 Native Resolution Projector Features Seven-Segment Color Wheel

KENNESAW, Ga., (July 22, 2004) - Digital Projection Inc. (DPI), an Emmy* Award-winning manufacturer of high-performance projection systems, announced the launch of its second-generation single-chip DLP(tm) projection display, the iVision HD-7. The 1280 x 720 native resolution display will be exhibited at CEDIA Expo (Booth #1828, September 8 to 12, Indianapolis, IN). Specifically designed for a wide variety of home cinema, media and entertainment applications, the iVision HD-7 delivers 1,000 ANSI lumens and 3000:1 contrast ratio in an ultra-compact and portable chassis. It is equipped with a standard 1.75-2.25:1 zoom lens, but the versatile projector can also be outfitted with either a 1.0:1 fixed, wide-angle lens or a long-throw, 2.5-3.5:1 zoom lens. The most dramatic improvements in picture quality experienced with the second-generation iVision HD-7-more distinct black areas and shadow detail-are credited to the application of a new seven-segment color wheel. The imaging benefits of this technology are especially important for discerning clients in the home integration market.

"The iVision HD has been an incredible performer for small-to-medium sized home entertainment venues," said George Walter, home cinema marketing manager for Digital Projection, Inc. "The seven-segment color wheel iVision HD-7 provides a dramatically improved image, making it one of the most compelling projectors under $20K." Digital Projection's single-chip DLP(tm) home cinema projector lineup also includes the new iVision sx+ and, by Q4 2004, the dual-lamp dVision HD-7 and dVision sx+. The company's lineup of single-chip DLP(tm) displays complements its 3-chip DLP(tm) offerings, which includes the performance-driven MERCURY HD and 2K resolution Reference Displays.

The new iVision HD-7 will begin shipping in Q3 2004. About Digital Projection International Founded in 1989, Digital Projection International (DPI) has been instrumental in the development and application of Digital Light Processing(tm) technology by Texas Instruments for projection systems. DPI introduced the world's first 3-chip DLP(tm) projector in 1997, and has since delivered expert system engineering and world-class customer services and maintained its position as the digital imaging pioneer.

DPI's groundbreaking projection research and development has garnered the admiration of industry professionals around the world. This has included many awards, including two Emmy® Awards for Outstanding Achievement in Engineering Development by the Academy of Television Arts and Sciences. DPI remains the first and only projector manufacturer to win the coveted award. Today, DPI manufactures and distributes an extensive line of ultra high-performance 3-chip and single-chip DLP* projection systems. These projectors are the reference standard for demanding applications such as large-venue, live-event staging, Fortune 5000, Homeland Security, education, medical and scientific research, command and control, digital cinema, commercial entertainment, religious venues and elite home cinema.

A UK-based company, DPI's worldwide headquarters is located in Manchester, England, and its North American headquarters is located in Kennesaw, Georgia.

(tm)DMD and DLP are registered trademark of Texas Instruments. Emmy* is a registered trademark of The Academy of Television Arts and Sciences.