CompuSonics Video Corporation Announces Major Development with Patent Portfolio

October 19, 2009

FARMINGTON HILLS, Mich., Oct. 19 /PRNewswire-FirstCall/ -- CompuSonics Video Corporation (OTC: CPVD), which engages in the ownership and licensing of various patents in the fields of digitalization and compression of audio and video files, announced today that the company has reached an out-of-court settlement regarding the company's patent portfolio. For several years, we believed our patents have been used by 50 companies or more widespread. The companies are among the world's largest electronics firms in the semiconductor, communications equipment, computer hardware, electronic instruments, computer peripherals, scientific and technical instruments, video storage and computer networks. The use of our patents is essential to the operation of thousands of products. From the time the patents were issued to date, the company estimates that over $100 billion worth of digitalization and compression of audio and video files, have made use of CompuSonics technology worldwide. CompuSonics Video Corporation is considering many options to bring back shareholder value, a few of them that are being discussed are a cash dividend per share with no restrictions and a stock buy-back program in the open market. Below is a list of the company's patent portfolio. Some of the patents listed have expired, but during the time they were active companies have violated CPVD's rights. Further details will be released soon.

The patents are related to the encoding and decoding of audio into digital MP3 format.

These patents can be regarded as "signposts" leading to the MPEG-2 and MP3 data compression standards.

US Patent 4682248: Audio and Video Digital Recording and Playback System

US Patent 4755889: Audio and Video Digital Recording and Playback System

US Patent 4636876: Audio Digital Recording and Playback System

US Patent 4472747: Audio Digital Recording and Playback System

European Patent EPO 237561: Audio and Video Digital Recording and Playback System

European Patent EPO 140957: Audio Digital Recording and Playback System

Canadian Patent 1237520: Audio and Video Digital Recording and Playback System

Canadian Patent 518409: Audio Digital Recording and Playback System

Japan Patent 2053230: Audio and Video Digital Recording and Playback System

Japan Patent 2596420: Audio and Video Digital Recording and Playback System

German Patent DE3486044: Audio Digital Recording and Playback System

About MPEG-1/MPEG-2

Mp3, short for MPEG-1/MPEG-2 Layer 3, is a format for storing digital audio. It uses an advanced type of audio compression, which reduces the file size with little reduction in audio quality. Mp3 is used in software applications, digital audio players, home stereo devices and music distribution over the Internet, but is also used for other purposes such as real-time digital audio transmissions over ISDN. An mp3 file (or simply an mp3) is a file that contains mp3-compressed audio data. It is played using an mp3 player. You can recognize mp3 files by their file-extension (the end of the filename), which is .mp3.

The mp3 format, (MPEG-1/MPEG-2 Layer 3) has been an ISO standard since 1993. Unlike other digital music formats, mp3 is backward and forward compatible ensuring that every mp3-file created in the past can be played on all current and future digital audio players. Reciprocally, old software and hardware devices can play an mp3 file created with the most recent software. As illustrated by the "mp3 - playing everywhere" initiative, consumers can be assured that their current investment in creating an mp3 content library will never be obsolete.

About Us

CompuSonics Video Corporation Founded in 1985 engages in the ownership and licensing of various patents in the fields of digitalization and compression of audio and video files. The company licenses and markets electrical engineering software products. CompuSonics, through its wholly owned subsidiary, Treesoft USA, Inc., develops and markets computer software, which enables its customers to manage, develop, and control their business operations. It provides computer aided design software, enterprise resource planning software, customer relationship management software, software customizing, and related services to small and midsize enterprises, including engineers, contractors, industrial manufacturers and suppliers, and industrial sales companies or departments. The company also offers training, support, and consulting services. The company was among the first to provide personal computers with the capability of digital disk video and audio recording, instant search, editing, sequencing and playback.

Safe Harbor Act

The statements included in this news release concerning predictions of economic performance and management's plans and objectives constitute forward-looking statements made pursuant to the safe harbor provisions of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1934, as amended. These statements involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Factors which could cause or contribute to such differences include, but are not limited to, factors detailed in the Company's Securities and Exchange Commission filings; economic downturns affecting the operations of the Company, adequate financing to achieve the new strategic plans, and the unavailability of general financing to complete management's overall plans and objectives. The forward-looking statements contained in this press release speak only as of the date hereof and the Company disclaims any intent or obligation to update these forward-looking statements.

SOURCE CompuSonics Video Corporation