Gateway Leverages Direct Business Model to Expand Digital Camera Line-Up in Time for the Holidays Gateway Adds Two New Options for High-Quality Digital Photography NEW YORK, Nov. 11 /PRNewswire/ -- Just two months after taking the country's camera market by storm with its first affordable, full-featured cameras, Gateway today launched two new models. While typical retailers and manufacturers have already locked down their holiday offerings, Gateway is launching hot new products just in time for the holiday season. (Logo: http://www.newscom.com/cgi-bin/prnh/20020930/LAM050LOGO ) The two- and four-megapixel cameras were unveiled today at the Gateway(R) store in New York City, where chairman and CEO Ted Waitt revealed the company's dramatic retail transformation and unveiled 14 new products for businesses and consumers. Gateway entered the digital camera market in late August with the same break-through pricing that made its 42-inch plasma TV the best seller in its category.(1) The company's digital camera line met with rave reviews and far outpaced the company's sales expectations. The four-megapixel Gateway(TM) DC-M42 provides exceptional image quality at just $249.99(2). The high-performance camera produces stunning film- quality prints and large images up to 11 by 14 inches. Robust and feature- rich, it's perfect for photographers who want advanced technology combined with outstanding value. The new two-megapixel model, the Gateway DC-T23 features an ultra-compact design that's slightly larger than a pack of gum. The Gateway DC-T23 is priced at just $129.99(2). "These new offerings are a testimony to the advantages of Gateway's direct business model, which has enabled us to launch hot new products just in time for the holidays," said Matt Milne, Gateway's senior vice president and general manager of consumer solutions. "Our cutting-edge cameras continue to push the envelope in performance and features, enticing a wider audience of users to upgrade from their old film cameras to the convenience and flexibility of digital photography." In addition to family and event photography, Gateway's digital cameras are an excellent tool for businesses. For example, they're ideal for human resource managers who produce corporate newsletters and real estate professionals who require photographs for showcasing residential and commercial properties. The two new models are easy to use and connect to a PC for printing, sharing via the Internet and storing. The cameras' USB connections make downloading images quick and easy. And unlike most competing brands, Gateway offers Accidental Damage Protection, which safeguards consumers from losing their camera due to unintentional drops and spills. Gateway DC-M42 In addition to the compact camera, Gateway is offering a new standard- sized model with high image resolution, 3x optical zoom and fast shutter speeds. This camera is ideal for families and professionals wanting an affordable camera with a rich feature set to make the most of their photo opportunities. Priced at only $249.99(2), the Gateway DC-M42 provides 4.1 MP photo quality for crisp, vivid photos. With a 12X (3X optical/4X digital) zoom, this high-quality camera can take incredibly sharp 11 x 14-inch photos in a variety of conditions. The Gateway DC-M42's large 1.6-inch TFT and one-touch quickview controls make it easy for users to preview photos and video clips, so they can be retaken if needed. With the ability to print up to 2304 x 1728 pixel images, the Gateway DC-M42 is ideal for large, high-quality prints. The Gateway DC-M42 offers several selectable modes; auto, fill, off, red- eye reduction and slow-sync flash modes to give additional options when shooting photos of people, architecture or scenic venues. This camera also has additional advanced shooting modes for portrait, landscape, night, sports and a self-timer with white balance modes of daylight, cloudy, sunset, tungsten and fluorescent. It comes with 11MB internal memory, an SD/MMC expansion slot, two AA alkaline batteries, photo editing software, USB and A/V cables and a wrist strap. Gateway DC-T23 The Gateway DC-T23 pocket-size digital camera brings more features to the company's entry-level model. This all-in-one digital camera, mini-movie and webcam comes with 16MB of internal memory and is so easy to use, it turns on and off with just a slide of the lens cover. Its extremely compact size enables it to capture photos with single-handed operation. At only $129.99(2), the camera's price is as tiny as its size, yet its features are huge. The 2MP camera provides beautiful 4 x 6-inch stills with a 1600 x 1200 standard resolution. It provides 4X digital zoom, multiple flash modes and a 1.5-inch TFT display for previewing photos. The camera measures only 3.4 (W) x 1.6 (H) x 1.2 (T) inches. The Gateway DC-T23 camera also comes with a SD/MMC expansion slot, two AAA alkaline batteries, a wrist strap and PC software for editing, cropping, enlarging and adding effects to photos. Gateway Digital Photo Creator Gateway Digital Photo Creator, a comprehensive, easy-to-use solution kit, has everything required to edit, enhance and share digital photos. With Gateway Digital Photo Creator, users can add music, titles and transitions to slide shows and record them to a CD or DVD for watching on a home DVD player. This solution comes with Gateway's Survive & Thrive(TM) Digital Photo Learning products and includes a TV/PC 6-in-1 media reader with a remote to instantly watch a slide show on a TV or transfer the images to a PC. This $200 value is available now for $99.99(2). Other options available for Gateway digital cameras include an accessory kit encompassing rechargeable batteries, a charger, carrying pouch, a table tripod starting at $29.99(2) as well as 128MB or 256MB SD cards. New Survive & Thrive Learning Titles Gateway offers a number of its unique Survive & Thrive(TM) solutions to educate customers on how to get more out of digital technology(3). These four-part solutions provide education through a combination of instructor-led training in Gateway stores, interactive CD-ROM, online learning and a handy reference guide. Gateway is adding three new titles to its Survive & Thrive learning series including The Senior's Guide to PC Basics, Your Lifestyle Guide to Digital Photography and The Senior's Guide to Digital Photos, Music, Movies and More. The first title, The Senior's Guide to PC Basics, makes getting started on a PC simple and stress free. It's available for $99.99(2). As a special holiday offer, Gateway is offering Your Lifestyle Guide to Digital Photography for just $49.99(1). This title educates consumers on how to understand digital camera basics, develop photo-editing skills and how to design and print high-quality images at home. The Senior's Guide to Digital Photos, Music, Movies and More, priced at $99.99(2), teaches seniors how to turn their PCs into a digital studio, how to use their digital camera to take great photos and how to enhance their photography with image editing software. In addition, the book provides simple instructions on how to create movies to share with family and friends. Availability and Warranty The new Gateway digital cameras are available now by phone, on gateway.com and at Gateway stores. All of the cameras come with a standard one-year warranty with optional upgrades to three-year limited warranties(4), Accidental Damage Protection and other services.(4) About Gateway Since its founding in 1985, Gateway (NYSE:GTW) has been a technology and direct-marketing pioneer, using its call centers, web site and retail network to build direct customer relationships. As it transforms itself from a leading PC company into a branded integrator of personalized technology solutions, its range of Gateway-branded products is expanding to include thin TVs, digital cameras, tablet PCs, and enterprise products, all of which are designed to work seamlessly together with the company's award-winning line of PCs. Gateway is America's second most admired computer company, according to Fortune magazine(5), and its products and services received more than 125 awards and honors last year. Visit http://www.gateway.com/ for more information. (1) Gateway had the best selling home plasma display model for the period 11/02-8/03. Source: The NPD Group and Gateway. (2) Gateway Terms and Conditions of Sale apply. All offers subject to change without notice or obligation and may not be available through all sales channels. Prices exclude shipping and handling. Applicable taxes extra. (3) Online training: Instructor-led courses subject to availability. Course material purchase and Internet access required. In-store training: Courses subject to change, may vary by location and are not offered as vocational or job training. Club memberships non- transferable. Refunds not allowed for upgrades. All training: Gateway training is not offered as vocational or job training. (4) Limited warranties and service agreements apply; visit gateway.com or call 1-800-846-2000 for a free copy. May not be available in all locations. Accidental Damage Protection not available in New York. (5) Source: Fortune magazine, March 3, 2003 issue. http://www.newscom.com/cgi-bin/prnh/20020930/LAM050LOGO http://photoarchive.ap.org/ DATASOURCE: Gateway CONTACT: Media, Lisa Emard, +1-858-848-3426, Web site: http://www.gateway.com/

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