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E-COMMERCE AND INTERACTIVE TELEVISION product MERGER

PRESS RELEASE

Ottawa, September 16, 1997: RES International Inc. has signed a partnership agreement with IC Television Inc. to integrate the technologies and products of both companies and bring them to market. Release of common products is expected in less than six months.

RES Inc., an Internet-based electronic commerce software company, has developed electronic commerce software products: RES-Reach (TM) which allows access to all data bases through the Internet without having any purchased software at the client computer; RES-Cybermall, an advanced commercial system for e-commerce for consumers - TV viewers - the first copy is operational on the regional Hierapolis facility at the Museum of Civilization in West Quebec.; and RES-Purchaser, the most advanced (business to business) e-commerce software system.

IC Television Inc. (Interactive Cyber TV) of Montreal has developed, and holds Canadian and international intellectual property rights for a hand-held computer which takes cash cards, smart cards, and supports secure interaction with Internet-enabled TV sets or set-top boxes. This allows consumers to receive the best selected information from the NET through the TV, and the smart card gives consumers secure access to this information. The business of IC Television Inc. will be in production of the hand-held units on a royalty basis, the production and sale of access devices to interactive TV services, and the design and sale of a large program of smart cards for consumers. Applications are in hotel systems (Motorola development), interactive loyalty TV Plus systems, Electronic TV games, Data Broadcasting, interactive voting, education, and e-commerce over the Internet through Televisions.

IC Television has received signed commitments for approximately $ 5 million in revenue from major customers in Europe and North America, including Téléciel (Digital Television, France), and TF1 - TPS (Interactive Home Shopping Network). DEN-O-TECH of Montreal has initial orders for 5,000 units to be supplied to Motorola in the US to work with a new set-top unit for hotels (digital TV and NET TV in the same unit). For the remainder of 1997 and 1998 IC Television is presently negotiating a contract for an additional 500,000 units worth $45 million. Further, IC Television will issue 3 million cards at $6.00 each for revenue of $18 million. The unit cost of these Integrated Circuit Cards is $2.00 each.

The letter of intent calls for joint development efforts with a view to combining operations and technologies as well as marketing. Commitments from investors for up to $ 5 Million are in hand and are subject to: finalizing the partnership agreement prior to September 30, 1997; regulatory approvals; Board approval; and due diligence.

RES Inc. is traded on the Canadian Dealing Network (CDN) in Toronto (symbol RESZ).

For further information:

Jean-Marc Drouin, Electronic Commerce Product Manager
RES Inc., 600, 100 Sparks St.
Ottawa, ONT K1P 5B7
T: 613/238-3690
F: 613/235-5889
http://www.res.ca


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