CANAL+ GROUP LAUNCHES WITH NAGRAVISION AND SMARDTV THE WORLD'S FIRST HD DIGITAL TERRESTRIAL USB KEY DECODER FOR PAY TV

• CANAL+ premium and HD content now securely available on PCs
• Nagravision provides broadcasters an end-to-end solution to deliver protected content to the PC
• SmarDTV USB key provides anytime, anywhere viewing of DTT programming bouquets
  DTT operators worldwide may use new USB key to access untapped target audience

Paris, France and Cheseaux, Switzerland – September 11th, 2008 – CANAL+ Group, leader in the programming and distribution of pay TV offerings in France, Nagravision, a Kudelski Group company (SWX:KUD.VX) and the leading provider of content protection and value-added service technology and SmarDTV, the leading removable device security company, joined forces to successfully deliver the world’s first HD digital terrestrial (DTT) USB key decoder for pay television viewing on personal computers.

Launched in August by CANAL+ under the name LA CLE CANAL+, the device offers subscribers a seamless experience bundling the CANAL+ Group's premium content with more than 18 DTT free-to-air and local channels. The entire content protection for encrypted premium programming, including rights management on the PC, relies on the Nagravision and SmarDTV solution.

Representing a major worldwide innovation, CANAL+ subscribers can connect the USB key to PCs for anytime, anywhere viewing of the company's DTT programming bouquet. Plugged into a USB port on the PC and without needing a connection to the Internet, the device allows access to TV programs on a PC. CANAL+ offering includes live viewing, recording of premium content with the PC acting as a PVR, a program guide and two mini antennas for an optimal reception. The device decrypts the content using Nagravision's conditional access system in a SIM form factor and no external set-top box is needed. The complete solution is available through Nagravision, today.

“LA CLE CANAL+ new service complements our existing offers perfectly, giving subscribers guaranteed continued access to the rich variety of Canal+ Le Bouquet content in high quality HD on their PC wherever they are,” said Jean-Christophe Dekeyser-Donze, Business Development Director for PCTV of the CANAL+ Group. “Additionally, it allows us to reach new target groups who aren’t currently subscribers to the Canal+ service, particularly young adults or frequent and regular Internet users who don’t watch much TV.”

"CANAL+ Group leveraged the technology leadership of Nagravision and SmarDTV to take a lead in the digital television industry by offering yet another method for subscribers to access their programming, anytime and anywhere,” said Pierre Roy, EVP of the Kudelski Group and COO of Nagravision. “We congratulate them on the launch of LA CLE CANAL+."

“With this revolutionary Nagravision/SmarDTV solution, DTT operators worldwide seeking to reach previously untapped audiences can offer similar services as the CANAL+ Group,” said Eric Chaubert, CEO of SmarDTV.

CANAL+ Group's LA CLE CANAL+ solution based on Nagravision conditional access and SmarDTV USB HD DTT USB key decoder will be revealed with a live demonstration on the Nagravision stand 1.D69 at the IBC2008 trade show.

About CANAL+ Group
CANAL+ Group is a major player in the programming and production of pay TV offerings and is present on all broadcasting networks in order to be easily available to a wide public. CANAL+ LE BOUQUET lies in the heart of its offering; built around the CANAL+ general premium channel, it includes six channels with specific editorial lines and identities. CANAL+ Group also broadcasts approximately 20 channels covering the most required themes on television (cinema, sports, documentary, youth, etc.). CANAL+ Group also distributes CANALSAT, the first digital bouquet in France. CANALSAT is present on satellite, ADSL and mobile TV. Overall, the CANAL+ Group offerings total 10.5 million subscriptions. CANAL+ Group is also a pioneer in the new on-demand and mobile TV sectors and plays a major role in the production and distribution of feature films via its STUDIOCANAL affiliated company.
The website www.clecanalplus.fr provides more information about the technical specifications, pricing and subscriber requirements for LA CLE CANAL+.

About the Kudelski Group
The Kudelski Group (SWX: KUD.VX) is a world leader in digital security and convergent media solutions for the delivery of digital and interactive content. Its technologies are used in a wide range of services and applications requiring access control and rights management to secure the revenue of content owners and service providers for digital television and interactive applications across broadcast, broadband and mobile delivery networks. The Kudelski Group is also a world technology leader in the area of access control and management of people or vehicles to sites and events. It additionally offers professional recorders and high-end hi-fi products. The Kudelski Group is headquartered in Cheseaux-sur-Lausanne, Switzerland. Please visit www.nagra.com for more information.

About SmarDTV
SmarDTV, a Kudelski Group company, is an international leader in pay television technology. SmarDTV designs and manufactures highly secure, interchangeable modules and associated enabling technologies, which provide authorized access to scrambled television services. SmarDTV CAMs and CableCARDs are used daily by millions of subscribers around the world. SmarDTV is headquartered in Switzerland with development and sales offices in France, Germany, and Singapore. Please visit www.smardtv.com for more information.

About Nagravision
Nagravision, a Kudelski Group company, is the leading supplier of open conditional access systems, DRM and integrated on-demand solutions for content providers and digital TV operators over broadcast, broadband and mobile platforms. Its technologies are currently being used by more than 120 leading Pay TV operators worldwide securing content delivered to over 92 million active smart cards and devices. Please visit www.nagravision.com for more information.

For further information please contact:

Ariane Esfandi
Responsable Communication CANALSAT et Nouvelles Technologies Groupe
+33 01 71 35 01 66
[email protected]

Ivan Schnider
Nagravision Head of Marketing Communications
+41 21 732 09 40
[email protected]

Dawn Danaher
Media Relations for Nagravision Americas
+1 714 378 5841
[email protected]

Conor Ryan
Head of Marketing SmarDTV
+41 (0)21 732 04 04
[email protected]

Catherine Hugon
Kudelski Group Corporate Communications
+41 21 732 01 81
[email protected]