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Avis Offers DIRECTV Service in Vehicles Equipped with KVH TracVision A5 System


MIDDLETOWN, RI – July 5, 2005 – Heading down to Phoenix, Arizona on business? Taking the family to the Grand Canyon for vacation? Well, now you can stay entertained every mile of the way following today’s announcement by Avis Rent A Car that new Hummer H3 sport utility vehicles at Sky Harbor International Airport in Phoenix, Arizona, now offer DIRECTV® satellite TV programming in the car. Included in the Hummer H3 rental package will be access to more than 135 channels of live DIRECTV programming virtually anywhere you drive thanks to the award-winning TracVision® A5 satellite TV system from KVH Industries, Inc., (Nasdaq: KVHI). Avis, part of the Cendant Car Rental Group, a wholly owned subsidiary of Cendant Corporation, is the first automotive rental company to offer both the Hummer H3 and in-car satellite TV service from DIRECTV, Inc.

“We want to ensure that our customers have the best rental experience possible when they choose Avis. The addition of DIRECTV service and the TracVision A5 to our Hummer H3 fleet gives our customers an unparalleled level of choices,” explained Scott Deaver, executive vice president of marketing for the Cendant Car Rental Group, parent company of Avis.

Commenting on the new program, Martin Kits van Heyningen, KVH’s president and chief executive officer, said, “We are extremely pleased to be working with Avis and DIRECTV to bring the excitement of live DIRECTV programming to the new Hummer H3 and Avis customers as well as build on consumers’ growing interest in and demand for mobile entertainment. Rental fleets have historically been an excellent means of introducing consumers to new automobiles and accessories. The combination of market leaders like Avis, DIRECTV, Hummer, and KVH is creating a unique and entertaining car rental experience, and we look forward to the potential expansion of the program in the future.”

The TracVision A5 is a low-profile satellite TV system designed specifically for passenger vehicles. The TracVision A5 uses KVH’s patented hybrid phased-array technology to create an antenna with a rugged, sleek design suitable for vehicles traveling on open roads across the U.S. The system includes KVH’s ultra low-profile TracVision antenna, a 12-volt DIRECTV receiver designed for automotive use, an RF remote control, and exclusive access to DIRECTV’s TOTAL CHOICE® MOBILE programming. Recently, Cadillac announced that it had approved the TracVision A5 as an aftermarket accessory to be sold through its dealers nationwide.

“DIRECTV service, with its coast-to-coast coverage and more than 14.4 million customers, is leading the way in providing mobile consumers with the best television experience virtually anywhere they travel, whether by plane, RV, boat, or car,” commented Daren Benzi, DIRECTV’s vice president of sales development and strategy. “Working with KVH and Avis to bring DIRECTV service to the rental car industry is an exciting extension of our successful efforts to support mobile DIRECTV service within the automotive industry.”

Passenger entertainment is now among the most popular automotive accessories on the market today, with more than one-third of 2004 model year SUVs and minivans sold in the U.S. equipped with in-vehicle video screens, according to J.D. Power and Associates. Industry analyst Frost & Sullivan projects that by 2011, more than 3 million vehicles will be equipped with mobile satellite TV systems.

About KVH
KVH Industries, Inc., is the leading provider of in-motion satellite systems, having designed, manufactured, and sold more than 75,000 mobile satellite antennas for applications on boats, RVs, trucks, buses and automobiles. An ISO 9001-certified company, KVH has headquarters in Middletown, Rhode Island, with a fiber optic and military navigation product manufacturing facility in Tinley Park, Illinois, and a European sales, marketing, and support office in Kokkedal, Denmark.

About Avis
Avis Rent A Car System, Inc., and its subsidiaries operate the world’s second largest general-use car rental brand, providing business and leisure customers with a wide range of services at nearly 1,900 locations in the United States, Canada, Australia, New Zealand and the Latin American/Caribbean region. Avis is one of the world’s top brands for customer loyalty, ranking as the number one car rental company in the 2005 Brand Keys® Customer Loyalty Index. The company is part of Cendant Car Rental Group, a wholly owned subsidiary of Cendant Corporation (NYSE: CD), a diversified global provider of business and consumer services primarily within the real estate and travel sectors.

DIRECTV is the nation’s leading and fastest-growing digital television service provider with 14.4 million customers. DIRECTV and the Cyclone Design logo are registered trademarks of DIRECTV, Inc. DIRECTV (NYSE: DTV), a world-leading provider of digital multichannel television entertainment services, is approximately 34 percent owned by News Corporation Ltd.

This release may contain certain forward-looking statements that involve risks and uncertainties. Forward-looking statements include, for example, the functionality, characteristics, quality and performance of KVH’s products and technology; and customer preferences, requirements and expectations. The actual results could differ. Factors that may cause such differences include, among others, the appeal and acceptance of satellite TV-equipped rental vehicles to consumers as well as those discussed in KVH’s most recent Form 10-Q filed with the SEC. KVH assumes no obligation to update its forward-looking statements to reflect new information or developments.

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