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2007'02.04.Sun
Tvia Announces Availability of Flat-Panel TV Manufacturing Services and Knock-Down Kits
August 01, 2006

Tvia Provides Project Management Services Delivering Low-Cost, High-Quality LCD and Plasma TVs, SKD and CKD TV Kits to Major Consumer Electronics Companies Worldwide
    SANTA CLARA, Calif., Aug. 1 /Xinhua-PRNewswire/ --
Tvia, Inc. (Nasdaq: TVIA), a leading provider of digital
display processors for advanced flat-panel TVs, broadcast
digital DVRs, consumer displays, and monitor products,
today announced a new OEM manufacturing service. Tvia is
the first and only digital display processor company to
ship flat-panel TVs, CKDs (complete knock-down kits) and
SKDs (semi knock-down kits) to brand name consumer
electronics companies, enabling these customers to lower
manufacturing costs, reduce time to market, and devote
fewer resources to production of LCD and Plasma TVs. 

    (Logo: 
http://www.newscom.com/cgi-bin/prnh/20050419/SFTU130LOGO )

    Tvia's manufacturing service solves an urgent problem
for consumer electronics companies that want to benefit
from China's low-cost manufacturing base, but face
challenges in locally managing project schedules, ensuring
product quality, and delivering documentation. By providing
world-class engineering resources, project management, and
experienced manufacturing partners, Tvia allows brand names
outside China to quickly and easily tap low-cost
manufacturing inside China. Tvia delivers to its customers
turnkey TVs, CKD (complete knock-down) or SKD (semi
knock-down), which refers to television products sold in
kit form for later reassembly. Tvia leverages its
manufacturing clients in China which are currently
manufacturing TVs utilizing Tvia TV designs, to build TVs,
SKDs and CKDs for major brand names worldwide at
significantly lower costs.

    "Major consumer brands outside of China now have a
local, experienced team to help them manage their product
build, ensuring that deadlines are met, QA test plans are
run, quality of the product is correct, technical
specifications are met, and all required documentation is
delivered," said Eli Porat, CEO of Tvia Inc. "Our
manufacturing partners in China are equally thrilled because
they gain not only additional clients, but also Tvia
resources experienced in how to satisfy the requirements of
consumer companies outside China. In essence, Tvia has
become a factory-less TV company as well as a fabless
semiconductor company."

    Mr. Porat continued: "We realized that there was a
hole in the market -- that even though China can produce TVs
at a low cost, nobody was providing local project
management. Tvia was providing its manufacturing partners
with complete LCD and Plasma TV designs using Tvia's
TrueView digital display processors, as well as the
engineering resources and project management to get
production lines up and running quickly. So it was a
natural progression for Tvia to offer management of the
complete TV build, and that created a win-win situation for
everyone." 

    Tvia will continue to generate revenue based on the
increased production of TVs utilizing Tvia's TV designs
integrated with Tvia's digital display processor as the
primary source of revenue per TV. By providing the SKD,
CKD, or complete TV for major brand name customers around
the world, Tvia will also receive additional revenue per TV
over and above the revenue generated by the chip. This new
product offering increases the amount of revenue generated
per TV for Tvia significantly.

    Acceptance from the consumer electronics industry of
Tvia's turnkey contract manufacturing program has been
demonstrated by the recent shipments of major quantities of
TVs to customers in Japan, Korea, India, Europe, and the
United States. Additionally, Tvia recently signed a
manufacturing agreement with Konka, one of the three
largest consumer electronics manufacturers in China, to
build SKDs and CKDs for several major global consumer
brands and large retail chains in the United States. 

    About Tvia: Tvia, Inc. is a fabless semiconductor
company that designs and develops digital display
processors for digital LCD, PDP, HD, SD, and
progressive-scan TVs, as well as other broadcast and
consumer display products. Tvia owns and operates the
world's leading independent TV design center, providing
manufacturers with proven TV system designs, and allowing
manufacturers to produce the highest quality flat-panel
television at a significantly lower cost with the shortest
time to market. The combination of Tvia's TrueView display
processors and leading TV system designs gives Tvia's
manufacturing customers the advantage for building the most
cost-effective, highest quality display solutions on the
market. More information about Tvia is available at
http://www.tvia.com .

    For more information, please contact:

     Diane Bjorkstrom,
     Chief Financial Officer 
     Tvia, Inc.
     Tel:   +1-408-982-8593
     Email: dbjorkstrom@tvia.com

SOURCE  Tvia, Inc.

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