MODERN MERCHANDISING LAUNCHED Modern Times Group MTG AB (OM Stockholm Exchange: MTGA, MTGB; Nasdaq: MTGNY), a leading international media group, today announced the establishment of Modern Merchandising. Its first products will be the Bar Game and the Bar Drink Book, which will soon be available for purchase in Sweden. Both products are based on "The Bar," the successful Swedish interactive docusoap that has been sold to Norway, Denmark, Portugal and Australia. The objective of establishing Modern Merchandising is to take advantage of the brands being built within MTG and to license attractive rights. Licensing rights for merchandise connected with purchased TV series, children's programs, etc will be used correspondingly. "We have an unbeatable opportunity to utilize our channels for marketing - from TV and radio to newspapers, Internet and mobile services," says Claes Kalborg, president of Modern Merchandising. Kalborg has worked for ten years in this industry, most recently as vice president for Plus Licens, a licensing agent in Scandinavia and Eastern Europe for companies like Warner Consumer Products, Universal Studios and Lucas Film. The first consumer products in retail stores from Modern Merchandising will be the Bar Game and the Bar Drink Book. The docusoap "The Bar" is in its second season of success on TV3 in Sweden and on the Swedish part of the Internet portal Everyday.com. Participants struggle to run a bar in a real restaurant. They are followed 24 hours a day by cameras, both in the bar and in the apartment, where they all reside together. All of the goings-on can be seen directly on Everyday.com. A summary is aired for 30 minutes each day on TV3. Every Saturday, an hour-long live broadcast is aired, in which TV and web viewers vote to exclude one of the participants. The one participant left at the end of the season will receive SEK 1,000,000. This successful format is being used this fall for TV3 in Norway and TV3 in Denmark, as well as on Everyday.com in these countries. Pearson Television Worldwide Production has recently purchased the rights for production in Australia and Portugal. A significant number of other production companies and television channels have also shown interest. The Bar Game is based on the same concept as the show," says Kalborg. "You have to get people in the Bar, sign up musicians, serve and sell. The vote to exclude players is also part of the game." Experienced game maker Joel Sevelin, with the company ALF, has constructed the game. It will be sold shortly in Sweden through Toys 'R' Us and BR Leksaker (formerly Stor & Liten). The Bar Drink Book contains recipes, information about mixing drinks and e. g. how beer is brewed. A CD, The Bar Music CD, will also be produced by Warner Music containing music chosen by the Bar participants. The participants will also record one song themselves. Modern Merchandising is part of MTG's business area Modern Studios. Modern Studios comprises all MTG production and distribution companies. For further information, please visit www.mtg.se info@shared value.net, or contact Hans-Holger Albrecht, President and CEO of MTG, at +46 8 562 000 50. Modern Times Group MTG AB has six business areas: Viasat Broadcasting (free and pay TV comprising 18 television channels in eight countries), Radio (seven networks in five countries) Publishing (daily financial newspaper, magazines, and books), Modern Interactive (traditional home shopping, e-commerce, Internet, and teletext), 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 OM Stockholm Exchange's O list (symbols: MTGA and MTGB) and on the Nasdaq International Market in New York (symbol MTGNY). Modern Times Group MTG AB Skeppsbron 18, Box 2094, SE-103 13 Stockholm, Sweden Tel. +46-8-562 000 50. Fax. +46-8-20 50 74. (Publ) Registration no. 556309-9158 www.mtg.se ------------------------------------------------------------ This information was brought to you by BIT http://www.bit.se The following files are available for download: http://www.bit.se/bitonline/2000/10/02/20001002BIT01280/bit0001.doc http://www.bit.se/bitonline/2000/10/02/20001002BIT01280/bit0002.pdf