SOURCE: Synergetic Technologies, Inc.

May 29, 2007 09:00 ET

Synergetic Technologies, Inc. Signs New Ad Insertion Agreements in Selected Hotels in the Disneyland Area of Orange County California for Summer Deployment

Installations Have Already Begun in Over 100 Hotels in California and Are Expected to Be Completed by September; The Goal Is to Generate Over Two Million Ad Spots per Month in the Hotel Market Targeting Business and Leisure Travelers

SALT LAKE CITY, UT--(Marketwire - May 29, 2007) - Synergetic Technologies, Inc. (PINKSHEETS: SYGG), a provider of Digital Video Ad Insertion Technology, announced today that its wholly owned subsidiary Ad Systems Inc. (www.adsystemscatv.com) with vendors Crystal-Clear TV (www.crystal-clear.tv) and MegAvail Inc. (www.megavail.com) are beginning to install and sell advertising on Ad Systems' proprietary digital ad insertion system in selected hotels in the Disneyland area.

The companies have agreed to begin installing in the California market. The deal calls for the immediate deployment in the first 100 hotels on the west coast. Once the systems are installed, MegAvail has in place advertising agreements with advertisers and agents to sell the ad inventory. The deployment will begin to generate reoccurring revenue from ad sales of nearly 2.3 million 30-second commercial spots on cable networks such as ESPN, CNN, USA and Discovery. The dollars generated will come from traditional ad sales from national, regional and local advertisers. Ad Systems has also a per-inquiry revenue model that follows a hotel guest home to create an out-of-room revenue stream. Revenue generated from a "per-inquiry" and an online mall model can create a consistent inflow of revenue once a guest makes a purchase. The "out-of-room" model extends advertising revenue outside the hotel and into the travelers' homes and offices via a percentage of revenue share agreement. Commissions are paid for products ordered through their system or originating from web addresses or 800 numbers.

Bob Hall, Chairman of Synergetic Technologies, Inc., said, "We have a significant opportunity for growth and have selected a niche market rollout that we believe will have huge financial benefit for our company and its shareholders. We are targeting a share of the nearly 10 billion advertising dollars spent in cable TV annually."

Rhonda Hunter, President of Crystal-Clear TV, stated, "This is the technology we need to secure our future growth. By including Ad Systems in each of our cable head-ends we not only expect to generate additional revenue from advertising in our existing systems but we also expect to deploy more equipment with this added benefit included. These new capabilities will definitely provide a marketing edge that will help grow our DirecTV hotel base."

About Synergetic Technologies, Inc.

Synergetic Technologies, Inc. is a provider of video ad insertion technology and digital video systems for video streaming services for cable, satellite and IP delivery. For additional information, please visit

www.sygg-inc.com
www.adsystemscatv.com
www.stockinformationsystems.com/c/sygg/index.html.
Safe Harbor Statement Under The Private Securities Litigation Reform Act of 1995: The statements in the press release that relate to the company's expectations with regard to the future impact on the company's results from new products in development are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The results anticipated by any or all of these forward-looking statements may not occur.

Contact Information

  • Contact:
    Synergetic Technologies, Inc.
    J. Michael Heil
    801-263-1697
    or
    Crystal-Clear TV Inc.
    Rhonda Hunter
    714-433-3500

    Investor Relations:
    Alexander Lindale L.L.C.
    696 West 1st Ave. Suite #1
    Midvale, Utah 84047
    801-201-4691