Profile: ValueVision Media Inc (VVTV.O)

ValueVision Media, Inc., incorporated on June 25, 1990, is an integrated multi-channel retailer that markets, sells and distributes its products directly to consumers through various forms of electronic media. The principal electronic media activity is its television home shopping business, which uses on-air spokespersons to market brand name and private label consumer products. The Company’s live around the clock television home shopping programming is distributed primarily through cable and satellite affiliation agreements and the purchase of month-to-month full- and part-time lease agreements of cable and broadcast television time. In addition, it distributes its programming through a company-owned full power television station in Boston, Massachusetts and through leased carriage on full power television stations in Pittsburgh, Pennsylvania and Seattle, Washington. It also markets an array of merchandise through its Internet retailing Websites, www.ShopNBC.com and www.ShopNBC.TV.

The Company has a license from NBC Universal, Inc. (NBCU) for the worldwide use of an NBC-branded name and the peacock image. Pursuant to the license, the Company operates its television home shopping network under the ShopNBC brand name and operates its Internet Website under the ShopNBC.com brand name. Through its merchandise-focused television programming, the Company sells a range of products and services directly to consumers. Products are presented by on-air television home shopping sales persons and guests; viewers may then call a toll-free telephone number and place orders directly with the Company or enter an order on the ShopNBC.com Website. The Company’s television programming is produced at its Eden Prairie, Minnesota facility and is transmitted nationally via satellite to cable system operators, satellite dish owners and to the Company’s broadcast television station WWDP TV-46 in Boston, Massachusetts.

Products sold on ValueVision Media, Inc.’s television network and Internet shopping Website include jewelry, watches, consumer electronics, housewares, apparel, cosmetics, seasonal items and other merchandise. Jewelry merchandise assortment includes gold and gemstone jewelry for men and women. Consumer electronics include desktop and notebook computers and related accessories, as well as home electronics, such as liquid crystal display (LCD) televisions and digital cameras. Watches, coins and collectibles consist of men’s and women’s watches, collectible coins and other collectible items. Apparel, fashion accessories and health and beauty categories include clothing and footwear for women, handbags and other fashion accessories, cosmetics and other personal care items. Home and all other products include products for the home, such as mattresses, sheet sets, lamps and other home furnishings.

As of February 2, 2009, the Company has entered into affiliation agreements with parties representing approximately 1,400 cable systems that require each operator to offer its television home shopping programming substantially on a full-time basis over their systems. It served approximately 74.1 million subscriber homes, or approximately 71.7 million average full-time equivalent (FTE). The television home shopping programming was carried by 1,400 broadcasting systems on a full-time basis and 45 broadcasting systems on a part-time basis.

ShopNBC.com provides customers with an array of consumer merchandise, including all products being featured on the television programming. The Website includes a live Webcast feed of television programming, an archive of recent past programming, videos of individual products that the customer can view on demand and clearance and auction sites.

The Company competes with QVC Network, Inc., HSN, Inc and The American Collectibles.