July 12, 2001


Hong Kong – July 12th, 2001
   Hong Kong Cable Television Limited announced today it has selected Nagravision, the digital TV and broadband Internet division of the Kudelski Group, as the partner for its migration to digital television broadcasting. Under the deal, Nagravision will act as the integrator for the full system and provide its internationally proven Conditional Access Solution for Hong Kong Cable’s digital migration plan.

To lead the migration to digital television broadcasting in the SAR and to combat pirated viewing, Hong Kong Cable will begin to migrate to digital broadcasting in August and complete phase one of the conversion, of over 200,000 subscribers in close to half the homes in Hong Kong, by April 2002.

Nagravision will provide the Conditional Access system and act as system integrator to make sure the ambitious migration timeframe can be achieved effectively. With support from Nagravision, Hong Kong Cable will also be ready to enhance the first phase with interactivity.

"After careful review, we are convinced Nagravision is the best solution provider to support our move from analog to digital," said Mr Eric Lo, Hong Kong Cable’s Vice President of Cable Subscription Services. "We need a partner to provide a turnkey solution, while making sure we get the best in Conditional Access. Furthermore, we made sure the chosen company has enough expertise to meet a very tight timeframe and to provide all future enhancements we should need in future".

"Hong Kong Cable is a well known cable operator in the region. Its move toward a digital system will allow for an improved offering to subscribers while ensuring HKC has the means and tools to protect the integrity of its service," said Ronald Wing, Vice President, Business Development and Marketing, Nagravision. "To have been selected for such a difficult market, by such an important player, is yet another endorsement of the unbeaten security our Conditional Access Solution can offer. Furthermore, I am convinced this deal will help further expand our presence in China".

About Hong Kong Cable Television Limited

Hong Kong Cable Television Limited is Hong Kong’s leading pay television service provider, offering a 31 channel service, to about 540,000 subscribers. The Company is a wholly-owned subsidiary of i-CABLE Communications Limited, Hong Kong’s only fully integrated communications company that owns and operates one of the two broadband networks with near universal coverage; creates its own multi-media contents; and offers pay television and Internet access including broadband services concurrently.

About Nagravision S.A.

Nagravision (www.nagra.com) is a leading provider of open conditional access, advanced management tools and integrated solutions for cable, satellite, terrestrial and MMDS, FTTH and xDSL operators worldwide. These advanced solutions provide digital TV and content providers with the tools to operate and manage a range of interactive broadband services that include e-commerce, interactive program guides and multimedia-on-demand including VOD.

Nagravision’s digital and analog conditional access technologies are currently being utilized by leading operators worldwide representing over 25 million digital and analog subscribers. Nagravision is a division of the Switzerland-based Kudelski Group (SWX "KUD") and has offices in the United States, Singapore, Shanghai, Brazil, India, Spain, the UK and Switzerland.

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This document is provided for informational purposes only. Nagravision and Hong Kong Cable make no warranties, express or implied, in this document. The names of actual companies and products mentioned herein may be the trademarks of their respective owners.