Orad Hi-Tec Systems 03 January 2006 Orad Hi-Tec Systems Limited ("Orad" or the "Company") Orad enters into an agreement with Shanghai Media Group Orad Hi-Tec Systems (Symbol: OHT) has entered into an agreement with Shanghai Media Group (SMG), located in one of China's most vibrant cities, to provide its Maestro graphics and Xync systems to SMG's new News Center. SMG is seeking to centralise and expand its TV news output and has therefore chosen to provide their new News Centre with a complete end-to-end solution. Orad has agreed to provide SMG with a comprehensive solution, including Orad's 3Designer creation suite, the newly released HDVG, Xync tracking technology for the insertion of real time graphics, and a comprehensive package of visualisation enhancement from Orad partners. In addition, Orad has agreed to provide its full Avid iNews and Control Air DM integration package to allow journalists, editors and controllers to interact via Avid's end-to-end news system. Avi Sharir, Orad's President and CEO, believes this agreement with SMG represents another breakthrough for the Company: "SMG and Orad have been co-operating since 1999. SMG already use many of Orad's systems and technologies, and we are very happy that they have chosen Orad again for their prestigious new News Centre, the first ever in China to use an Avid end-to-end news solution. SMG reaches more than 80 percent of the total population of China through their bouquet of news channels. This new agreement proves that our graphics, camera tracking and the new HDVG video graphics hardware are becoming the standard in China, and with over 100 systems already installed in there, we are solidifying our position as the leading real time graphics solution in the Greater China market," concluded Mr. Sharir. About ORAD Founded in 1993, Orad is a world leader in TV production technology and rapidly increasing its position in the Virtual Reality industry. Orad's line of products include virtual sets, on-air graphics systems, virtual advertising, sports production solutions and hardware for the Virtual Reality industry. Orad has received extensive worldwide recognition for its systems at a wide-range of events including the 1999/2000 Emmy Award for the 'Implementation of Real Time Virtual Imaging for Live Events on Television'. Orad is a publicly traded company in the Prime Standard on Frankfurt's Wertpapierborse Prime Standard and Alternative Investment Market of the London Stock Exchange (symbol: OHT). www.orad.tv For further information contact: ORAD Hi-Tec Systems Ltd Ofir Benovici, 972 9 7676 862 Director of Marketing ofirb@orad.tv Israel Shore Capital Graham Shore, London, UK 44 20 7408 4090 Haubrok Investor Relations Michael Kempkes, Frankfurt, Germany 49 211 30126102 This information is provided by RNS The company news service from the London Stock Exchange