Theater Xtreme Projector Sales Surge With Mitsubishi Models

Theater Xtreme Projector Sales Surge With Mitsubishi Models

Retailer Reports HC3000U Model Grabbed 45 Percent Sales Share in 2006

NEWARK, Del., Nov. 14 /PRNewswire-FirstCall/ -- Theater Xtreme Entertainment Group (BULLETIN BOARD: TXEG) , a Newark, Del.-based home cinema retailer and franchisor of home cinema design and installation centers, today announced sharp increases in sales of Mitsubishi Digital Electronics America home theater front projectors at Theater Xtreme outlets this year.

Theater Xtreme said Mitsubishi models now rank as its top brand. In particular, the HC3000U high-definition, 720p home-theater DLP projector, has accounted for 45 percent of Theater Xtreme's projector sales so far in 2006.

"The HC3000U, priced under $2,000, offers remarkable quality at an affordable price, and customers see the difference on screen and in their wallets," said Theater Xtreme CEO Scott Oglum. "Our stores have as many as 10 projectors on display with screen sizes ranging from 80 inches to over 10 feet. Our large selection and unique merchandising strategy helps consumers identify the best value quickly."

Theatre Xtreme is selective of the manufacturers it chooses to display in its retail stores. Mitsubishi's high performance features coupled with aggressive prices helped propel sales. Theater Xtreme looks forward to continued growth with Mitsubishi's products throughout 2007.

Marty Lash, Mitsubishi Digital Electronics America's sales manager for home theater projectors, said the HC3000U's brisk sales at Theater Xtreme pointed to the growing importance of Theater Xtreme as a Mitsubishi outlet.

"TheaterXtreme is one of the few national retailers to focus exclusively on the real-movie-theater-for-the-home marketplace," Lash stated. "We are gratified that our projectors are selling so well in their stores, and glad to be on board early in their national expansion plan."

Stemming from the success of its HC3000U, Mitsubishi recently introduced its HC5000BL 1080p home theater projector. The HC5000BL has already begun to receive accolades from the press and is priced under $4,500. The HC5000BL is expected to be a top seller at Theater Xtreme. Preparing for anticipated holiday demand, Theater Xtreme placed its largest advance order of projectors in its history.

"Both the HC3000U and the forthcoming HC5000BL are prime examples of Mitsubishi's bold entree to the mid-market home theater space," said Ken Warren, Theater Xtreme's President and Chief Operating Officer. "They're going for a dominant position and we're thrilled to be a growing retail channel for them."

To be added to Theatre Xtreme's investor contact lists, please contact Haris Tajyar at htajyar@irintl.com or 818-382-9700.

About TheaterXtreme Entertainment Group, Inc.

TheaterXtreme currently has 10 stores located in seven states, with an additional 14 stores under development. Theater Xtreme designs, sells, and installs affordable, large-format, front projection home cinemas through both its company-owned design centers and through franchised design and installation centers. Its home cinema packages feature OneView(TM), a media controller that combines on-screen movies, music, photos, games, and Internet access with the touch of a button. The company focuses on middle-income consumers in the home entertainment marketplace, emphasizing value and performance across its line of home cinema audio, video, furnishings, and accessories.

About Mitsubishi Digital Electronics America Presentation Products Division

Mitsubishi Digital Electronics America's Presentation Products Division markets an extensive line of professional presentation, front-projection home entertainment display systems and monitors, and is known for its award-winning, high-quality, accurate color reproduction technology. Products are sold through authorized distributors, resellers, dealers, and system integrators throughout the United States. Mitsubishi Digital Electronics America is located at 9351 Jeronimo Road, Irvine, Calif., 92618. For more information, please call 888-307-0312 or visit http://www.mitsubishi-hometheater.com/.

SAFE HARBOR STATEMENT REGARDING THEATER XTREME ENTERTAINMENT GROUP (THE COMPANY) -- Some of the information presented in this press release constitutes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements represent the Company's judgment regarding future events, and are based on currently available information. Although the Company believes it has a reasonable basis for these forward-looking statements, the Company cannot guarantee their accuracy and actual results may differ materially from those the Company anticipated due to a number of known and unknown uncertainties, of which the Company is not aware. Factors which could cause actual results to differ from expectations include, among others, the ability of the Company to sell franchises, success of the franchise stores, location of stores, delay or loss of key products from vendors, disruption of product delivery from overseas suppliers, changes in regard to significant customers or suppliers, increased competition from companies with more expertise or experience, technological improvements in the home theater market which may render the Company's offerings obsolete, less competitive, or too expensive, material reduction in the demand for home theaters, and lack of sufficient capital to allow the Company to achieve its strategic objectives. For additional information concerning these and other important factors that may cause the Company's actual results to differ materially from expectations and underlying assumptions, please refer to the reports filed by the Company with the Securities and Exchange Commission.

COMPANY CONTACT:
Justin Schakelman
Theater Xtreme Entertainment Group
+1-302-455-1334
justin@theaterxtreme.com
www.theaterxtreme.com

MITSUBISHI CONTACT:
Nancy Napurski
Lionheart Communications
+1-310-283-0704
nnapurski@lionheartpr.com

INVESTOR/MEDIA CONTACT:
Haris Tajyar
Investor Relations International
+1-818-382-9702
htajyar@irintl.com
www.irintl.com

Source: Theater Xtreme Entertainment Group

CONTACT: Justin Schakelman of Theater Xtreme Entertainment Group,
+1-302-455-1334, justin@theaterxtreme.com; or Nancy Napurski of Lionheart
Communications, +1-310-283-0704, nnapurski@lionheartpr.com, for Mitsubishi; or
Investor/Media, Haris Tajyar of Investor Relations International,
+1-818-382-9702, htajyar@irintl.com, for Theater Xtreme Entertainment Group

Web site: http://www.mitsubishi-hometheater.com/

Web site: http://www.irintl.com/

Web site: http://www.theatrextreme.com/

-------
Profile: intent