Re Contract

Orad Hi-Tec Systems
14 October 2004

Orad Takes Pole Position in Automotive Industry Visualisation Market

Signs major deals with Volkswagen and Peugeot



Orad Hi-Tec Systems Limited (Symbol: OHT), a world leader in the virtual reality
and broadcasting markets today announced its first success in the automotive
industry with high profile sales to Peugeot S.A and Volkswagen A.G.



As part of Orad's strategy to apply its core technology to other markets other
than the broadcasting industry, extensive R&D efforts were made to enable Orad's
penetration into the automotive industry, which represents the second largest
market segment of the visualisation industry.



The DVG (Digital Video Graphics) rendering platform is at the heart of the Orad
solution. Thanks to its unique architecture, an unlimited number of DVG units
can be chained together to increase performance and meet the most demanding
real-time rendering requirement. This capability makes the DVG a unique and
powerful 3D real-time visualisation system tailored for the needs of the
automotive industry.



'Such an extremely highly performing system plays a key role in maximising the
visualization needs during a vehicles design phase,' said Orad President and
C.E.O Mr. Avi Sharir. 'Displaying 3D car models on huge screens allows those
involved in the design process to view a model of a car from unlimited angles
with extremely high quality output results.  Such tools have become essential in
the automotive industry' Sharir added.



For automotive manufacturers, visualizing complex models with great fluidity and
quality is essential for productivity, thereby enabling a reduction in the
development time for any given car. Issues raised and corrected during the
design phase can greatly reduce production costs as well improve the overall
quality of the designed vehicle.



For Volkswagen, Orad installed a total of 18 DVG nodes at the 'Whole Vehicle
Development Mock-Up Center,' where the car manufacturer utilises the system for
developing and designing the car's engines, body floors and front compartments.



'The Automotive industry represents a great opportunity for Orad,' continued
Sharir. 'Although we are relative newcomers to this fast growing market, I was
pleased with the amount of interest our solutions raised during the past few
months. Signing these agreements with both Peugeot and Volkswagen after a long
and thorough evaluation process has opened the door to new deals with other key
manufacturers in this market and is an additional validation for the quality of
our product and the genuine advantages it provides our customers,' summarised
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 lines 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 on Frankfurt's Neuer Markt and Alternative Investment Market of the
London Stock Exchange (symbol: OHT).



www.orad.tv





For further information contact:


ORAD Hi-Tec Systems Ltd
Avi Sharir, Israel                                972 9 7676 862


Shore Capital
Graham Shore, London, UK                          44 20 7408 4090


Haubrok Investor Relations
Michael Kempkes, Frankfurt, Germany               49 211 30126102






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