Leading Projector Manufacturers Fujitsu, Hitachi, Panasonic, Sanyo and Sony Join Forces with Epson to Educate the Market about
Benefits of Three-Panel, Liquid Crystal Display Technology

LAS VEGAS --(Business Wire)-- Jan. 7, 2005 Using Three Projection Panels Instead of One, 3LCD Delivers Brilliant Pictures with Natural Image Quality, Razor-Sharp Detail and Rich Color that is Free of Color Breakup Five of the world's leading and most-recognized consumer and business electronics manufacturers -- Fujitsu, Hitachi, Panasonic, Sanyo and Sony -- have joined forces with Epson to educate consumers and video display professionals about the significant benefits of three-panel, liquid crystal display (3LCD) technology. The 3LCD Group is being unveiled at the International Consumer Electronics Show 2005.

"3LCD is clearly the dominant microdisplay technology worldwide when you look at the total number of customers who have purchased front and rear projection products so far," according to Dr. William Coggshall, Pacific Media Associates. "Based on our calculations, over nine million projection products using 3LCD technology have been purchased to date, surpassing any other microdisplay technology on the market, and that figure continues to grow at a rapid pace."

As this technology continues to advance and the overall number of 3LCD product offerings continues to expand over the next several years, the 3LCD Group's mission will be to educate consumers and professionals about its benefits through promotional activities, product demonstrations and industry news updates. Furthermore, it will communicate the features of 3LCD technology that make it unique to other display systems on the market.

"The explosive popularity of high resolution digital video formats such as DVD and HDTV, along with a steady increase in projection-based business applications, have contributed to a massive surge in demand for front projectors and large-screen televisions," said Kazuhiro Kaizaki, president, Hitachi Home Electronics. "And, as the number of products has increased dramatically, so has a new level of confusion among shoppers and AV professionals who are trying to sort through an overwhelming selection of display technologies. We're very excited to be working with these major manufacturers who share our vision in a unified program that will help the industry better understand the benefits of 3LCD technology and why it serves as the foundation for so many reliable, next-generation, high definition products."

In addition to the 3LCD Group's official unveiling, several other promotional elements and activities will be introduced that will be shared among participating companies, which include a 3LCD logo that will appear prominently on new products featuring this technology, and in industry-wide marketing materials, as well as the launch of an educational Web site, http://www.3lcd.com. The Web site will not only highlight the benefits of the technology in general, but also communicate how 3LCD projection actually works through detailed text and illustrations, showcasing the ever-growing array of 3LCD products on the market and providing 3LCD-related news and product announcements across the industry.

The 3LCD Group is also producing collateral materials and advertisements for consumers and industry professionals that further reinforce many of the core benefits of 3LCD products as shown at CES. These include:

-- "No Color Breakup" - since this technology simultaneously projects three full-time red, green and blue images, there is no color breakup or "rainbow effect" to potentially cause viewers eyestrain or visual fatigue. Full-time color along with 12-bit processing also makes some 3LCD products capable of producing up to 68.7 billion colors.

-- "Superior Greyscale" - 3LCD products provide a broad range of neutral grey tones. In fact, one of the latest 3LCD-based front projectors on the market produces up to 10 quintillion steps of greyscale gradation.

-- "Excellent Contrast" - 3LCD products feature very competitive contrast ratio levels, with dozens of models routinely reaching 1000:1 or more. Most recently, 3LCD technology has been able to achieve up to 6000:1.

-- "Brilliant Images" - Many 3LCD business products currently on the market are capable of achieving brightness ratings as high as 5,000 ANSI lumens and above.

The 3LCD Group is showcasing this technology and several 3LCD-based products at CES 2005 in booth #S-26933. Examples include several projection televisions and home theater front projectors, including a 1080p-native resolution 3LCD front projector and 1080p-native resolution projection television.

Following is a list of statements about the 3LCD Group/technology from some of the participating manufacturers:

"Every major microdisplay technology realizes picture quality improvements by employing a three-imager design," said Jim Hall, director, Business Projector Marketing and Product Management, Epson America. "Some technologies reserve this design for only their highest end products, but 3LCD-based display manufacturers ingeniously pack this powerful imaging maxim into every tiny 3LCD projection engine they build."

"As the U.S. market leader in microdisplay televisions, Sony has always been committed to providing consumers with video products that exceed their expectations," said Mike Fidler, senior vice president in Sony Electronics' Home Products Division. "3LCD technology fulfills this role by offering an ideal balance between superior performance, overall reliability and manufacturing efficiency."

"Fujitsu General is very pleased to be a part of the 3LCD Group to educate dealers and end users about the benefits of 3LCD technology," said Tedd Rozylowicz, president and chief operating officer, Fujitsu General America Inc. "Fujitsu General is committed to high-performance home entertainment display technology, and our flagship model LPF-D711, which uses full HD (1,920 x 1,080) 3LCD technology, will be another great option for our customers who expect the best. We can now leverage our expertise into full HD front projection technology and even larger screen sizes with our new LPF-D711, which also incorporates our new AVM-II digital video processor used in our industry-leading Plasmavision(R) plasma displays."

Commenting on his company's commitment to 3LCD technology, Dr. Katsumi Terada, senior engineering manager, Projector Business Unit, Sanyo Electric Co., Ltd., said, "From the start of our liquid crystal projector business, we used a 3-panel LCD system, and were soon able to gain the trust of our customers and grow our business. Going forward, we intend to answer the needs of our users by leveraging the benefits of 3LCD to develop a full lineup of projection products, from small to large. We firmly believe it is the best projector technology available on the market today."

About the 3LCD Group
The 3LCD Group consists of industry-leading projector manufacturers dedicated to educating consumers and video imaging professionals about the benefits and unique features of 3LCD technology. Participating manufacturers use the 3LCD logo, currently under license from Epson, positioning it prominently on their products and marketing materials.

About Epson
Epson offers an extensive array of award-winning image capture and image output products for the consumer, business, photography and graphic arts markets. The company is also a leading supplier of value-added point-of-sale (POS) printers and transactions terminals. Founded in 1975, Epson America Inc. is the U.S. affiliate of Japan-based Seiko Epson Corporation, a global manufacturer and supplier of high-quality technology products that meet customer demands for increased functionality, compactness, systems integration and energy efficiency. Epson America Inc. is headquartered in Long Beach, Calif.

Note: Epson is a registered trademark of Seiko Epson Corporation. All other trademarks are property of their respective owners.