For the third quarter ended September 30, 2009, revenues were $6.4 million, a decrease of 31% from revenues of $9.3 million in the third quarter of 2008. Operating loss for the quarter was $1.1 million as compared to operating income of $0.7 million for the third quarter of 2008. Net loss for the quarter was $0.8 million, or $0.05 per share, basic and diluted, as compared to net income of $16.7 million, or $1.07 basic and $1.00 diluted earnings per share, for the third quarter of 2008. Net income for the third quarter of 2008 included a non-recurring income tax benefit of $16.4 million, or $1.05 per basic share and $0.98 per diluted share, from the reversal of a portion of the Company's valuation allowance for deferred tax assets. Adjusted EBITDA was a loss of $0.5 million for the third quarter of 2009 as compared to a gain of $1.1 million in 2008's third quarter. The Company defines Adjusted EBITDA as GAAP net income (loss) plus interest, income tax expense or benefit, depreciation, amortization and non-cash stock option expense. An explanation of management's use of this measure of results and a reconciliation of Adjusted EBITDA to the most directly comparable GAAP measure of net income (loss) is set forth at the end of this press release.

For the nine months ended September 30, 2009, revenues were $18.4 million, a decrease of 34% from revenues of $27.7 million in the prior year period. Operating loss for the nine months ended September 30, 2009 was $3.6 million as compared to operating income of $2.0 million for the first nine months of 2008. Net loss for the nine months ended September 30, 2009 was $2.8 million, or $0.18 per share, basic and diluted, as compared to net income of $18.1 million, or $1.16 basic and $1.08 diluted earnings per share, for the first nine months of 2008. Net income for the nine months ended September 30, 2008 included a non-recurring income tax benefit of $16.9 million, or $1.08 basic and $1.01 diluted earnings per share, from the reversal of a portion of the Company's valuation allowance for deferred tax assets. Adjusted EBITDA for the nine months ended September 30, 2009 was a loss of $1.7 million as compared to a gain of $3.5 million for the comparable 2008 period.

Michael Wellesley-Wesley, Chyron President and CEO, commented, "Our third quarter results reflect the continuing effects of the global recession and slump in ad spending and the resulting effects on broadcasters' capital spending plans. Third quarter revenues were in line with the experience of the previous nine months. Many of our broadcast customers have curtailed their capital equipment spending and have deferred or cancelled planned upgrade programs. We have adjusted to this new reality by reducing headcount and cutting salaries while continuing to push forward our product development as aggressively as possible. In the third quarter our investment in R&D amounted to 29% of revenue. We continue to view this period as an opportunity to build a strong foundation for future growth."

Mr. Wellesley-Wesley concluded, "Not all is gloom and doom, however. Our AXIS on demand hosted content creation services continue to generate widespread interest and are gaining real traction. Today we have five of the top twenty TV station groups as AXIS customers and I confidently expect other major TV station groups to join Fox, Scripps, Sinclair, Post Newsweek and Gannett as AXIS customers in 2010. We believe we are the leading Cloud Service Provider in the media content creation space. The low-cost variable business model of AXIS is an appealing alternative to our broadcast customers' current high fixed cost business model for graphics creation. AXIS delivers significant cost savings with no apparent diminution of quality or quantity of graphics produced. We are also seeing early signs of increasing demand for our broadcast systems and I expect our fourth quarter revenue to reflect this improvement. We believe that year-over-year comparisons should show improvement from this point forward."

Conference Call and Webcast: Third Quarter Financial Results:

Chyron Corporation management will host a conference call on Thursday, November 5, 2009, at 10:00 A.M. eastern time, to review the third quarter results. Participants using the telephone should dial (888) 680-0860 (U.S. and Canada) or (617) 213-4852 (International) and refer to passcode 88797349. Web participants are encouraged to go to either www.chyron.com or www.earnings.com at least 15 minutes prior to the start of the call to register, download, and install any necessary audio software. The replay numbers and passcode are (888) 286-8010 (U.S. and Canada) or (617) 801-6888 (International) and refer to passcode 43541059. The online archives will be available on both sites shortly after the conclusion of the call.