TCL & Digital Radio Express, Inc Announce Long Term Strategic Alliance

February 1, 2007 San Jose, California, TCL, China’s largest consumer electronic products manufacturer and Digital Radio Express, Inc. (DRE) have entered into a long term strategic alliance of which the first announcement is a joint product development and cooperation agreement employing DRE’s FMeXtra™ technology.

The agreement covers the design, development, manufacture and marketing of a range of consumer digital appliances. In addition, TCL with DRE’s support will initiate a plan to create a new era of business using the new digital wireless broadcast technology FMeXtra for transmitting data, video and audio for information application systems and products. As part of this plan TCL will implement FMeXtra in several key Chinese radio stations to demonstrate and test the capabilities of the FMeXtra digital wireless broadcast system.

First products from the cooperative agreement are expected mid 2007 and will be marketed under the available brands of TCL Group in the U.S. market. TCL spokesperson Mr Zhen Hong said, “ We believe this alliance will promote the current TCL corporate international collaboration initiative and will lead to significant success in this area. “

DRE’s President Norman Miller indicated that the strengths of TCL in the worldwide industrial and consumer products market will have a significant impact on establishing FMeXtra as a key part of digital radio broadcasting throughout the world. In addition with TCL’s consideration of FMeXtra to create a new digital broadcast based media business, it provides TCL with the ability to offer a broad range of high value digital consumer appliance products to the Chinese market that are also applicable to the worldwide market.

About TCL
Founded in 1981, TCL Corporation is one of the biggest consumer electronic group in china. It has three subsidiaries which went public in the TCL Group: TCL Group Company Limited (SZ.000100), TCL Multimedia Technology Holdings (HK.1070)and TCL Communications Technology Holding Ltd. (HK.2618)

The TCL Group, with the headquarters located in the southern china city Huizhou, has maintained high speed development since the 1990s,and the total revenues reached to RMB 50 billions in 2004. The company has more than 55 thousands employees in around 145 countries. In 2004, through acquiring Thomson color television business, TCL founded the TTE company, which has become the biggest color TV company in the world, and its sales volume of Color TV of TTE reached nearly 23 millions; The mobile phone division became the global mobile phone supplier for the European, South America, Southeast Asia and China market by acquiring the Alcatel Mobile business. At present, TCL Group has formed business units focusing on the multimedia electronics, telecommunications and digital electronic business including the household appliances, key components, energy sources and culture business.

Since the acquisition of the Thomson Color TV and Alcatel Mobile phone business in 2004, TCL has built up a worldwide business framework including 4 research and development headquarters,18 research and development centers and nearly 20 production bases and OEM companies, while TCL has established the sales organizations in about 45 countries and areas to sell color TVs of TCL, Thomson, RCA brands etc. , and mobile phones of TCL, and Alcatel brands. in 2005, One of the TCL subsidiaries, TTE, sold more than 22 millions color TVs ranking the first in the world. In the mean time, TCL Oversea business revenues has exceeded the china domestic market revenues, which makes TCL become a truly international company.
As one of the most valuable brand, assessed by famous brand-evaluation organization, the value of TCL_ brand has exceeded RMB 33.6 billions in 2005. TCL_ target is to become the world leading consumer electronic provider and a world-class, internationally competitive corporation.
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About Digital Radio Express
Digital Radio Express, Inc. (DRE) is a privately held Silicon Valley based company founded in 1997. DRE has made significant contributions to the development of digital radio broadcast and receiver technology. DRE has been granted numerous patents in wireless digital communications, particularly in the field of AM and FM digital radio broadcasting. DRE is currently focused on bringing its advanced digital communication knowledge to further expand the digitization of the FM spectrum, offering significant performance, economic and novel future application enhancements to FM radio broadcasters. DRE's FMeXtra digital subcarrier technology is a major milestone in expanding digital capabilities for FM radio worldwide.