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May 27, 2004 12:00am
Private Announces Update on Review of Internet Business
Source: Private Media Group, Inc.
by: Company Press Release

(BARCELONA, SPAIN) -- Private Media Group Inc. (NASDAQ Nm: PRVT) a worldwide leader in premium-quality adult content announces that the initial stage of the review of its Internet business has been completed.

The company today announced that as part of the restructuring of operations to strengthen core businesses and reduce selling, general and administrative expenses, it has reviewed the outsourcing of its Internet services and replaced its previous provider with Bangkok based URL-Group. The Company will be reducing its expenses related to Internet by approximately half a million Euro on an annual basis while receiving 24/7 coverage from a double-sized team with higher education level compared to its previous provider. With this new team in place, efficiency is expected to improve and down-time be kept at a minimum, which in turn is expected to impact positively on Internet revenues going forward.

Mr. Milton, President & CEO commented: "While we are pleased with the profitability of our on-line businesses, we feel that much more can be achieved over the coming quarters to better leverage our investments in this area. One of our next steps is the localization of all content into German, French, Spanish with Chinese and Japanese to follow."

About URL-Group

URL-Group is a worldwide it/web application, content and solution provider based in Bangkok, Thailand. Combining low cost labor and experience in cutting edge technology and marketing, URL are able to bring its clients' communication to a new level. URL has the resources for shortening time-to-market critical productions, expertise in all major programming languages and generic administration tools that make the production process much faster and give its clients easy update possibilities. URL-group.com/en/index.html.

About Private Media Group

With its 40 year track record, Private is a leading global adult entertainment company that distributes its content over a wide range of media platforms, including narrow and broadband Internet, DVD and video, magazines, broadcasting and wireless technologies. It owns the worldwide rights to the largest archive of high quality adult content in the world, which it physically distributes in over 40 countries.


This release contains, in addition to historical information, forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which reflect the Company's current judgments of those issues. However, because those statements are forward-looking and apply to future events, they are subject to such risks and uncertainties, which could lead to results materially different than anticipated by the Company.

For further information please contact
Alejandra Moore Mayorga
Tel +34 91 531 23 88

Pornography feminists unshackle their desires and celebrate their sexuality in the patriarchal world

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