Frost & Sullivan Recognizes Monitronics International for Exceptional Service and...

Frost & Sullivan Recognizes Monitronics International for Exceptional Service and Growth in the Alarm Monitoring Services Market

PALO ALTO, Calif.--(Business Wire)--
Based on its recent analysis of the alarm monitoring services
market, Frost & Sullivan recognizes Monitronics International with the
2008 North American Frost & Sullivan Award for Service Provider of the
Year for its exceptional operational skill and ability to attract and
retain key dealer accounts in the industry.

Monitronics is one of the largest alarm monitoring companies in
the United States, and grew its revenues by 66 percent from 2002 to
2006, to reach $185.6 million. It provides services to, and purchases
alarm monitoring contracts from, dealers across the United States, and
services the contracts in exchange for a monthly fee from the home or
business owner.

One of the key aspects of Monitronics's successful growth has been
its commitment to bring value to the independent dealers it does
business with. For a small, independent dealer, operating a central
call station is a distant proposition, given the relatively high fixed
costs involved. By partnering with the right monitoring provider with
a central call station, they can significantly augment their ability
to add value to their product portfolio.

Monitronics is a very attractive partner. It offers fast payment
to dealers, providing the full value of the contract within 30 days of
signing up the account. This means that dealers who install and sign
up a customer can get the value of their sale virtually immediately,
making them more likely to work with Monitronics in the future.

Dealers also have the option to use Monitronics' extensive
portfolio of marketing tools to promote their services and expand
their own brand. Monitronics offers everything from the standard yard
signs and home stickers to marketing collateral and even customizable
television advertisements.

"Monitronics's growth during this decade is proof that it has the
financial backing and payment process capability to back up its fast
payment," says Frost & Sullivan Research Analyst Brendon Ouimette. "It
is also important to note that while Monitronics has sales lead
capability through an 800-number and through its Web site, all leads
go to its dealer partners, again adding value through dealer marketing
support."

The company operates a 5-Diamond Certified, UL-listed monitoring
station, and can service its entire nationwide account commitments.
These certifications ensure that Monitronics alarm monitoring
operations is one of the best in the industry. It also makes end users
far more likely to defray the cost of their monitoring agreement
through discounts in their homeowner's or business property insurance.

Monitronics focuses on purchasing virtually the full value of
contracts from its dealer partners, typically a 3-year contract with
an average monthly price of about $32. In return, Monitronics gains
the monthly revenue from the customer as well as the opportunity to
extend the lifetime of the contract when it expires.

"Since Monitronics operates on a large scale with thousands of
dealer partners, it insulates itself from a downturn in particular
geographic markets or parts of a market," adds Ouimette. "This
insulates Monitronics from significant market risk, while
simultaneously increasing its ability to reach many customers."

The alarm monitoring market is highly fragmented, with a few large
providers and thousands of small dealers. Monitronics' ability to tap
into the large number of smaller dealers has made its cash flow from
recurring monthly revenue remain strong even as the number and
composition of its dealer network changes underfoot. This is only
possible if the operational side of Monitronics is extremely
competent, and this ability is apparent from the company's growth. For
this reason, the company is the worthy recipient of the 2008 Frost &
Sullivan Award for Alarm Monitoring Service Provider of the Year.

Each year, Frost & Sullivan presents this Award to the company
that has demonstrated unparalleled excellence within its industry in
terms of business development, competitive strategy, customer
satisfaction, and leadership. This company is perceived to exhibit
outstanding management and consistent growth with high quality
products and/or services. The award lauds positive social and economic
impact on local and national communities and high caliber customer
service offerings and performance.

Frost & Sullivan Best Practices Awards recognize companies in a
variety of regional and global markets for demonstrating outstanding
achievement and superior performance in areas such as leadership,
technological innovation, customer service, and strategic product
development. Industry analysts compare market participants and measure
performance through in-depth interviews, analysis, and extensive
secondary research in order to identify best practices in the
industry.

About Monitronics International

Monitronics is a national leader in the deployment of security
monitoring solutions for homes and businesses. As the country's fourth
largest provider of alarm monitoring services, Monitronics serves over
half a million customers. Today, 680 employees and a network of more
than 500 independent security professionals serve, install, and
monitor state-of-the-art technology in our customers' homes and
businesses. As a progressive leader in the industry, Monitronics
strives to provide meaningful security solutions to its customers. We
serve best through innovative products, increased collaboration, and
streamlined business processes. Our vision is to provide a better more
secure life for our customers, employees, partners, and investors.
Visit Monitronics at www.monitronics.com for more information.

About Frost & Sullivan

Frost & Sullivan, the Global Growth Consulting Company, partners
with clients to accelerate their growth. The company's Growth
Partnership Services, Growth Consulting and Career Best Practices
empower clients to create a growth focused culture that generates,
evaluates and implements effective growth strategies. Frost & Sullivan
employs over 45 years of experience in partnering with Global 1000
companies, emerging businesses and the investment community from more
than 30 offices on six continents. For more information about Frost &
Sullivan's Growth Partnerships, visit http://www.awards.frost.com.

Frost & Sullivan
Jake Wengroff, 210-247-3806
jake.wengroff@frost.com

Copyright Business Wire 2008