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TiVo to Acquire Leading Platform for Improving TV Advertising Effectiveness Based on Connecting Same TV Household Viewing Data and Purchase Data

Acquisition of TRA to Provide TiVo With Unique Insights Into What TV Viewers Watch and Buy

ALVISO, CA--(Marketwire - Jul 17, 2012) - TiVo Inc. (NASDAQ: TIVO), a leader in the advanced television entertainment market, today announced that it has agreed to acquire TRA, Inc., maker of the first and leading platform with the world's largest database that directly links information from the same households as to what viewers watch with what they buy. TRA matches television exposures from 1.5 million TV homes with specific purchase transactions. The acquisition is expected to create a powerful combination of insights that will offer the TV advertising industry Internet-level measurement and accountability accelerating TiVo's position in the billion dollar television analytics business. The unit will be known as TiVo Research and Analytics (TRA). The consummation of the acquisition of TRA is subject to customary closing conditions.

Tom Rogers, CEO and President of TiVo said, "TV has long been the best medium for advertisers to influence what consumers buy. TRA has proven its platform can determine the effectiveness of TV advertising by connecting the exposure of ads to actual purchases, helping advertisers identify the right audience and get the most out of their ad dollars. TRA has driven a substantial client list of advertisers, agencies and networks with this proposition. With this new level of unique audience insights and analytics, TiVo will be able to provide insights nobody else has in an industry increasingly seeking alternative ways to measure audience behavior accurately while increasing efficiencies in media spending."

Mark Lieberman, Chairman and CEO of TRA, stated, "TiVo has been a valued investor and data partner of TRA for several years, making this combination a natural next step for TRA. TiVo understands that the existing measurement tools, which haven't kept up with advances in technology, just don't get the job done. We share TiVo's vision and prescription for the future of measurement and are eager to continue providing world class solutions to the industry." 

"As an industry, we need to keep moving forward on targeting and effectiveness. Starcom MediaVest Group has partnered with TRA for over three years to deliver in both these regards and bring our clients the most efficient and effective television investment possible. We look forward to the potential of an even bigger impact through the powerful combination of TiVo and TRA," comments Laura Desmond, Global CEO of Starcom Mediavest Group.

"At CBS, we have used the TRA Media TRAnalytics® platform since its inception as the solution to demonstrate increased accountability in television. We are pleased to see these two leading innovators come together to continue their efforts to connect viewing with purchases and prove the ROI of television," said David Poltrack, Chief Research Officer of CBS Corp.

TRA has more than 45 brand clients and 27 network clients including CBS, A&E Television Networks, ION Media, Procter & Gamble, Oscar Mayer and Starcom MediaVest Group, among others.

TiVo will pay approximately $20 million for TRA. TiVo expects the transaction to close this month. TRA's revenue is on track to increase significantly in 2012. TiVo expects the transaction will be accretive to Adjusted EBITDA* in its next fiscal year if planned synergies are realized.

* TiVo's "EBITDA" means income before interest income and expense, provision for income taxes and depreciation and amortization. TiVo's "Adjusted EBITDA" is EBITDA less expense for stock-based compensation. EBITDA and Adjusted EBITDA are not measures of financial performance under generally accepted accounting principles, or GAAP.

About TiVo
Founded in 1997, TiVo Inc. (NASDAQ: TIVO) developed the first commercially available digital video recorder (DVR), and today TiVo is a global leader in advanced television service offering products on multiple platforms and devices. TiVo offers its service directly to consumers, and also distributes its technology and services through solutions tailored for cable, satellite and broadcasting companies. Since its founding, TiVo has evolved into the ultimate single-solution media center by combining its patented DVR technologies and universal cable box capabilities with the ability to aggregate, search and deliver millions of pieces of broadband, cable and broadcast content directly to the television. TiVo also continues to weave itself into the fabric of the media industry by providing interactive advertising solutions and audience research and measurement ratings services to the television industry www.tivo.com

TiVo and the TiVo Logo are trademarks or registered trademarks of TiVo Inc. or its subsidiaries worldwide. © 2012 TiVo Inc. All rights reserved. All other trademarks are the property of their respective owners.

About TRA, Inc.
TRA, Inc. (www.traglobal.com) is the leading media marketing and analytics software company whose products help advertisers, agencies and television networks improve advertising targeting, accountability and return on media investment. TRA's web-based Media TRAnalytics® platform matches the TV advertising households actually receive with the products the same households actually buy, enabling TRA's clients to find "The Right Audience®" while providing an unmatched level of transparency, measurement, media planning/selling and improved ROI. Licensed users of the Media TRAnalytics® platform include 4 of the top 10 advertisers, 45 of the top 100 brands, as well as the top agencies and networks. TRA is certified under ISO 27001, the information security management system standard published by the International Organization for Standardization (ISO) designed to ensure security controls for protecting information assets. TRA owns U.S. Patent No. 7,729,940, entitled "Analyzing Return on Investment of Advertising Campaigns by Matching Multiple Data Sources"; U.S. Patent No. 8,000,993, U.S. Patent No. 8,060,398 and U.S. Patent No. 8,112,301, all entitled "Using Consumer Purchase Behavior for Television Targeting."

This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements relate to and include, among other things, the quotes contained in this release, TiVo's agreement to purchase TRA, Inc., the likelihood that the acquisition of TRA will be consummated and the timing of closing, the future combination of TRA and TiVo's audience research and measurement businesses and any related cost synergies, future increases in TRA's revenues, and the accretive effect of the acquisition to TiVo's Adjusted EBITDA. Forward-looking statements generally can be identified by the use of forward-looking terminology such as, "believe," "expect," "may," "will," "intend," "estimate," "continue," or similar expressions or the negative of those terms or expressions. Such statements involve risks and uncertainties, which could cause actual results to vary materially from those expressed in or indicated by the forward-looking statements. Factors that may cause actual results to differ materially include the failure of the acquisition to close, risks and uncertainties related to TRA's business, our ability to accurately forecast the performance and synergies of the combined business in the amounts or in the timeframe anticipated, our ability to integrate TRA's business into TiVo's in a timely and cost-efficient manner, the effects of disruption from the transaction on relationships with employees, customers or other business partners, and delays in development, competitive service offerings and lack of market acceptance, as well as the other potential factors described under "Risk Factors" in the Company's public reports filed with the Securities and Exchange Commission, including the Company's Annual Report on Form 10-K for the fiscal year ended January 31, 2012, Quarterly Report on Form 10-Q for the quarter ended April 30, 2012 and Current Reports on Form 8-K. The Company cautions you not to place undue reliance on forward-looking statements, which reflect an analysis only and speak only as of the date hereof. TiVo disclaims any obligation to update these forward-looking statements.