Re Contract

Orad Hi-Tec Systems
29 October 2004

Orad announces its largest European deal for 2004 - with RTS Serbia


Kfar Saba, Israel - October 27th, 2004 - Orad Hi-Tec Systems Limited (Symbol:
OHT), world leader in virtual sets, on-air graphics and sports production tools,
announced today a significant contract win from RTS Serbia, Serbia's public
channel and one of the largest broadcasters in Southeast Europe. The order is
for virtual set and 3D graphics equipment to be used to broadcast sport,
elections and other programming requiring sophisticated digital effects.


As part of the Agreement, Orad is to provide RTS Serbia with its high-end
virtual set system, CyberSet NT, which is powered by the DVG rendering platform
and utilizes the Xync infrared tracking system. Additionally, RTS Serbia placed
an order for Orad's CyberGraphics Reality system, which is a unique solution
allowing the introduction of 3D graphics into a conventional studio production.
Finally RTS Serbia is buying Orad's sports suite, including CyberSport for the
introduction of 3D tied to the field sport enhancements graphics and the Forum
video server.


'After a long and thorough analysis we selected Orad as our technology partner
for the next few years for digital enhanced programming,' said Mr. Nebojsa
Nedeljkovic, Director of Marketing of RTS. 'The decision was made easier after
we successfully used Orad's systems during the June 2004 Serbian Presidential
Elections and the Serbian local elections which took later that year' continued
Mr. Nedeljkovic.  'We also had the chance to use the CyberSport system during
the Serbian Football League coverage which allowed us to provide our customers
with much richer and more appealing content,' Mr. Nedeljkovic summarized.


Commenting on the deal, Mr. Avi Sharir C.E.O and President of Orad said: 'I'm
very pleased with our continued partnership with RTS Serbia. The fact that RTS
Serbia selected a wide range of our products, from virtual set to sports
enhancements, illustrates the superiority of our solutions and the total
solution which we provide our customers.'


This agreement, along with previous agreements with broadcasters such as HRT
Croatia, RTV Slovenia and Pink of Serbia, positions Orad as the leading supplier
at the Balkan area.


RTS is Serbia's public channel and one of the largest broadcasters in Southeast
Europe. RTS hosts 3 terrestrial channels and 1 digital satellite channel. RTS
broadcasts 108 hours of programming each day with a terrestrial network covering
a population of nearly 10 million viewers.



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 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
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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