EchoStar's DISH Networkô Acquires Kelly Broadcasting Systems

EchoStar Communications Corporation (NASDAQ: DISH, DISHP) announced the acquisition of Kelly Broadcasting Systems, Inc., (KBS) based in New Jersey, further solidifying the position of EchoStar as the leading television provider of international and foreign-language programming in the United States. Michael Kelly, President and Owner of KBS, will be named Senior Vice President of International Programming and Operations at EchoStar. EchoStar will issue approximately 255,000 shares of DISH Class A common stock and pay $3.5 million in cash for 100 percent ownership of KBS. KBS offers programming from Greece, Brazil, Holland, India, Egypt and other Middle Eastern countries. ""EchoStar's DISH Networkô is already the industry leader in delivering our US customers their favorite international programming, and the acquisition of Kelly Broadcasting will only further strengthen and enhance the diversity of our ethnic and foreign-language channel offerings,"" said Charlie Ergen, Chairman and CEO of EchoStar. ""Kelly Broadcasting is very pleased to make this announcement today,"" said Kelly. ""The agreement between KBS and DISH Network is a merger of synergies and will deliver great benefit and added value to the ethnic communities in the United States. KBS has been a long time supplier of foreign language programming, special events and international sports to DISH Network, and we believe that this merger validates EchoStar's commitment to expanding its leadership position in foreign language programming."" Kelly added, ""The combination of KBS and EchoStar's programming assets will deliver greater value and more programming choices to existing DISH Network subscribers and will introduce new programming categories to the more than 31 million foreign-language speakers in the United States."" EchoStar Communications Corp., includes three interrelated business units:- DISH Network is EchoStar's state-of-the-art direct broadcast satellite system that is capable of offering over 500 channels of digital video and CD-quality audio programming, including DolbyÆ Digital surround sound, high-speed interactive television and data services, all on a single dish, as well as offering fully MPEG-2/DVB compliant hardware and installation. DISH Network was ranked number one in customer satisfaction among satellite/cable TV subscribers by the J.D. Power and Associates 1999 Cable/Satellite TV Customer Satisfaction Study. EchoStar will launch the EchoStar VI satellite in the spring of 2000 that will offer DISH Network customers expanded programming services, local channels, Dolby Digital surround sound, interactive television and more. - EchoStar Technologies Corporation designs, distributes and oversees the manufacturing of DBS set-top boxes, antennas and other digital equipment for DISH Network and various international customers that include Bell ExpressVu Canada and the Via Digital system in Spain. ETC provides construction, oversight and project integration services for customers internationally. ETC also oversees EchoStar Data Networks Corporation in Atlanta, Georgia, a leading supplier of MediaStreamÆ technology for distributing Internet content over satellite networks. - Satellite Services provides the delivery of interactive video, audio and data services to business television customers and other satellite users. These services include satellite uplink, satellite transponder space usage and other services. Satellite Services also administers SKY VISTA, a direct broadcast satellite service offering popular digital satellite television programming to viewers in Alaska, Hawaii, Puerto Rico and the US territories in the Caribbean. DISH Network, which currently serves over 3.4 million customers, is a trademark of EchoStar Communications Corporation. EchoStar is included in the NASDAQ-100 Index (NDX) which contains the largest non-financial companies on the NASDAQ Stock Market. DISH Network is located on the Internet at www.dishnetwork.com.