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Leading Department Store Selects IntelliVid Corporation for Intelligent Video Analysis Solution
Uses Innovative Approach to Address Loss Prevention Needs, Improve Shopping Environment

CAMBRIDGE, MA September 26, 2005 - IntelliVid Corporation, the leader in Intelligent Video Analysis solutions for retail loss prevention, today announced that a leading fashion-oriented department store has chosen its Video Investigator™ software to transform the retailer's existing closed-circuit television (CCTV) systems into a solution that enhances the shopping environment and pro-actively reduces inventory losses.

Video Investigator increases the value of this and other retailers' existing CCTV systems, enabling them to take an active role in preventing theft, rather than just recording it. The retailer selected Video Investigator after extensively testing and evaluating its capabilities under rigorous in-store conditions in multiple departments. Without exception, the product met or exceeded all of the criteria established, including the ability to detect potential losses that would otherwise be missed, and to track suspects across multiple cameras.

The retailer easily integrated the system into its existing CCTV infrastructure. Store loss prevention (LP) personnel now rely on Video Investigator's patented Intelligent Video Analysis (IVA) technology for several critical loss prevention activities, including tracking suspects and assets and monitoring high-value merchandise. These new capabilities are already improving the retailer's bottom line. In areas protected by Video Investigator, shrink has decreased by as much as 45%. The retailer reports that customers are satisfied because it has increased the use of open merchandising, enhancing the shopping experience.

The retailer is employing the Video Article Surveillance™ feature, which automates the monitoring of select high-value merchandise and alerts LP personnel to possible theft incidents, freeing them to focus on other loss prevention activities.

"We're putting systems in place to watch much of the merchandise that professional thieves seek out," said Patrick Sobalvarro, president and CEO of IntelliVid. "The CCTV system is now doing much more for the store, enabling the LP team to spend more time out on the sales floor working with store associates to provide better customer service. We're gratified to be able to help our customers put both video and human assets to more effective use."

About IntelliVid
IntelliVid provides intelligent video analysis solutions for the retail industry. Its Video Investigator software unleashes the full potential of existing surveillance systems, transforming them from passive recording devices into proactive theft prevention and store intelligence solutions. Video Investigator delivers bottom-line benefits to forward-thinking retailers. It automatically monitors store activities, and reveals important events to personnel, eliminating the time-consuming tasks of manually monitoring and searching surveillance video. It will also serve as a platform providing unprecedented insights into customer traffic, stock-outs, merchandising effectiveness and more.

Headquartered in Cambridge, Massachusetts, IntelliVid is backed by Intel Capital, Flagship Ventures, Egan-Managed Capital, and DFJ New England. Its customers include leaders in the department store, mass merchandise, and chain drug store segments.

All companies and products listed herein are trademarks or registered trademarks of their respective holders.

CONTACT:
George Cohen
George Cohen Communications
(617) 325-0011
george@gccpr.com

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