CDON BIGGEST CD STORE ON THE INTERNET CDON is now Scandinavia's biggest store for CD music sales over the Internet. The retailer reached this position with investments of less than SEK 10 million by Modern Times Group MTG AB, its parent company. CDON is part of the Modern Interactive business area, comprising the Group's e-commerce, home shopping, and fulfillment and logistics activities. "We will continue pursuing our strategy: sales showmanship and cost control. Today, this is particularly important if you are going to have any chance of making money in e-commerce," says Hans-Holger Albrecht, President and CEO of MTG. CDON was launched in 1998 and currently operates in Sweden, Norway, Denmark, Finland, Estonia, and the Netherlands in close cooperation with the Internet portal Everyday.com. Additional outposts in Europe are in the works. The service will become available this fall via Viasat's digital TV platform. CDON offers record buyers a catalog of 80,000 titles. Soon, the company will launch a major marketing campaign using media under MTG's umbrella: from TV channels, to radio stations and Internet sites. "In this campaign, we want to show how anyone, regardless of the site they have used before, can make purchases at CDON quickly and easily, and from a much broader range than is available at any conventional record store," Hans-Holger Albrecht explains. CDON has been built with minimal capital expenditure. Sales have grown at a consistently fast pace. This autumn, twice as many records have been sold monthly as were sold in each month of the first half of 2000. Today there was a sharp rise in the number of visitors and sales at CDON. CDON is part of MTG's key strategy for e-commerce, in which cost- efficiency is achieved by means of an array of shared services for TVShop and other retailers in the ON family (including DVDON for DVDs and GAMERSON for games), providing common order processing, customer care, invoicing, and logistics. You'll find CDON at www.cdon.com For additional information, visit www.mtg.se, send e-mail to info@sharedvalue,net, or contact: Hans-Holger Albrecht, President of MTG, +46 8 5620 0050 Modern Times Group MTG AB has seven business areas: Viasat Broadcasting (free and pay TV comprising 18 television channels in eight countries), Radio (seven networks in five countries), New Media (the Everyday interactive TV portal, Internet portal, and teletext service), Publishing (financial news and media services, other magazine and book publishing), Modern Interactive (traditional home shopping, e-commerce, and logistics), SDI Media (subtitling and dubbing services), and Modern Studios (content production and film library). Modern Times Group MTG AB's class A and B shares are listed on the OM Stockholm Exchange's O list (symbols: MTGA and MTGB) and on the Nasdaq National Market in New York (symbol: MTGNY). ------------------------------------------------------------ This information was brought to you by BIT http://www.bit.se The following files are available for download: http://www.bit.se/bitonline/2000/10/11/20001011BIT01020/bit0001.doc http://www.bit.se/bitonline/2000/10/11/20001011BIT01020/bit0002.pdf