June 8, 2005

HIGH-DEFINITION MOVING QUICKLY INTO
COMMERCIAL INSTALLATIONS


LG Electronics Cites FCC Regulations and Display Technologies as Key Drivers

Federal Communications Commission (FCC) regulations requiring virtually all TVs to include digital television (DTV) tuners by 2007 applies not only to consumer sets, but also to TVs installed in commercial applications - from classrooms and boardrooms to sports bars and stadiums.

"High-definition displays have been moving rapidly into business applications, driven by advances in large-screen plasma and LCD (liquid crystal display) technologies," said Ron Snaidauf, vice president, Commercial Products, for LG Electronics USA, Inc., whose Zenith subsidiary developed the transmission system at the heart of the FCC's DTV standard.

Now, another key driver is emerging for systems integrators and AV communications customers. At InfoComm 2005 here this week, Snaidauf explained that new FCC regulations require DTV tuners in virtually all TVs sold during the next three years. The phased-in "FCC DTV Tuner Mandate" started July 1, 2004, and requires DTV tuners in 50 percent of 36-inch and larger sets sold in the United States.

Effective July 1, 2005, 100 percent of 36-inch and larger sets and 50 percent of 25- to 35-inch sets sold in the United States will be required to incorporate DTV demodulators. With this mandate, more than 15 million DTV sets are expected to be sold to U.S. consumers in 2005. The rule will apply to all 25- to 35-inch TVs by July 2006 and all TVs 13 inches and larger in 2007.

"TVs with analog (NTSC) tuners will also have digital (ATSC) tuners. With the new FCC DTV regulations taking effect, LG is leading the way with integrated HDTV displays for commercial markets," Snaidauf said.

About LG Electronics USA
Based in Englewood Cliffs, N.J., LG Electronics USA, Inc., (LGEUS) is the North American subsidiary of LG Electronics, Inc., a $38-billion global force in consumer electronics, information technology and communications products. LGEUS comprises four core business areas: consumer electronics, home appliances, mobile phones and information technology products, all marketed under its "LG: Life's Good" theme. The LGEUS Commercial Products division serves the business, industrial, education, lodging, healthcare and GSA markets. For more information, please visit www.LGcommercial.com.

CONTACTS:
LG Electronics: John Taylor (847) 941-8181, jtaylor@lge.com
Clara Chang (201) 816-2011, clarachang@lge.com
Brent Tongco (312) 397-6007, brent.tongco@ogilvypr.com