exv99w1

Exhibit 99.1

For Immediate Release

ShopNBC Q3 Adjusted EBITDA Rose to Positive $0.6 Million from
a Loss of $5.6 Million as Net Sales Increased 11% to $132 Million

MINNEAPOLIS, MN — November 18, 2010 —

— Net sales increased 11% to 132 million
— Positive adjusted EBITDA of $0.6 million vs. ($5.6) million
— Gross Profit increased 19% to $47 million
— E-commerce sales penetration increased 680 bps to 40.5%

ShopNBC (NASDAQ: VVTV), the premium lifestyle brand in multi-media retailing, today announced financial results for its fiscal third quarter ended October 30, 2010. The company will host a conference call and webcast to review its results today at 11:00 a.m. ET. Details provided below.

SUMMARY RESULTS AND KEY OPERATING METRICS
($ Millions, except average price points)


	Q3									YTD
	For the three months ending									For the nine months ending
	10/30/10			11/1/09			Change			10/30/10			11/1/09			Change
Net Sales	$	132.3		$	119.4			10.8	%	$	383.4		$	372.6			2.9	%
EBITDA, as adjusted	$	0.6		$	(5.6	)		N/A		$	(5.7	)	$	(18.2	)		68.8	%
Net Loss	$	(5.8	)	$	(12.9	)		55.0	%	$	(24.5	)	$	(33.2	)		26.2	%

Homes (Average 000s)		76,768			73,063			5.1	%		76,032			73,097			4.0	%
Net Shipped Units (000s)		1,317			1,186			11.0	%		3,590			3,084			16.4	%
Average Price Point	$	93		$	95			-2.5	%	$	99		$	114			-13.3	%
Return Rate %		20.8	%		21.9	%	-110		bps		20.2	%		21.8	%	-160		bps
Gross Margin %		35.6	%		33.2	%	240		bps		36.5	%		33.1	%	340		bps
internet Net Sales %		40.5	%		33.7	%	680		bps		39.8	%		31.5	%	830		bps
New Customers - 12 month rolling		562,510			486,474			15.6	%		N/A			N/A
Active Customers - 12 month rolling		1,110,187			959,508			15.7	%		N/A			N/A

“Our experienced multi-channel team achieved another consecutive quarter of improved performance,” said Keith Stewart, CEO of ShopNBC. “Sales growth of 11%, gross margin improvements, and lower transactional costs contributed to a $0.6 million adjusted EBITDA profit in the third quarter. New and active customers in the quarter continued to engage, interact and shop across our multiple channels with e-commerce sales penetration of 40.5%, up 680 basis points compared to last year. This overall progress is a validation of our continued focus and efforts to turn the company around while executing on new strategies for growth.”

Mr. Stewart, added: “Going forward, we will continue to focus on customer-centric strategies that will help us build on our existing base. We intend to improve operating processes and gain added efficiencies through disciplined execution and lower transactional costs. Lastly, as the year comes to a close, we anticipate entering into negotiations with several of our cable and satellite affiliates — representing approximately 25% of our household footprint — to further reduce distribution costs and improve our channel positioning.”

“We are committed to delivering long-term sustained growth. As part of these efforts, we are launching a proactive investor relations outreach program and have recently retained a New York-based IR firm to assist us in that effort.”

Third Quarter 2010 Results

Third quarter revenues rose 11% to $132.3 million vs. Q3 2009. The company continued to make progress in its strategy to drive transaction volumes through the reduction of its net average selling price, which decreased 2.5% to $93 vs. $95 in the year-ago quarter while net shipped units increased by 11%. E-commerce sales, which carry lower transaction costs, grew to 40.5% of total company sales in the quarter, from 33.7% in Q3 2009.

Customer trends continued to improve with new and active customers increasing 15.6% and 15.7%, respectively, on a 12-month rolling basis vs. Q2 2009. Return rates for the quarter declined to 20.8% vs. 21.9% in Q3 2009, reflecting improvements in overall customer satisfaction and the benefit of strategic pricing changes.

Gross profit increased 19% to $47.1 million and gross profit margin improved 240 bps to 35.6% vs. 33.2% last year, largely driven by merchandise margin rate improvements across several key categories.

Adjusted EBITDA was positive $0.6 million compared to an adjusted EBITDA loss of $5.6 million in the year-ago period, driven by increased sales, improved gross margin and lower operating expenses.

Operating expenses in the third quarter decreased approximately 1% to $50.8 million, due to lower transactional costs and the impact of prior-year itemized non-recurring expenses.

Net loss for the third quarter was reduced to ($5.8) million compared to a net loss of ($12.9) million for the same quarter last year.

Liquidity and Capital Resources

The Q3 quarter-end cash and cash equivalents balance was $20.6 million, including $5.0 million of restricted cash. The cash and cash equivalents balance declined $2.3 million from the second quarter, driven by working capital use in the quarter. On a year-to-date basis, cash and cash equivalents have decreased $1.4 million.

Additionally, the company recently announced that it entered into $25 million term loan with a lending group led by Crystal Financial LLC. The loan has a 5-year maturity, bears a variable interest rate, which will initially be set at 11%, and will be used to finance general working capital needs. The loan replaces a previous $20 million revolving credit facility, and is secured primarily by the company’s inventory and accounts receivable.

Conference Call / Webcast Information

Conference Call Dial-In: 1-800-369-2063 (pass code: 7467622; keypad: SHOPNBC)

Webcast URL: https://e-meetings.verizonbusiness.com conference number 8656218, pass code: SHOPNBC. An archived version of the webcast will be available for 30 days.

Call Replay: 1-800-867-1929 with pass code 81810, available for 30 days.

About ShopNBC

ShopNBC is a multi-media retailer operating with a premium lifestyle brand. Over 1 million customers benefit from ShopNBC as an authority and destination in the categories of home, electronics, beauty, health, fitness, fashion, jewelry and watches. As part of the company’s “ShopNBC Anywhere” initiative, customers can interact and shop via cable and satellite TV in 76 million homes (DISH Network channels 134 and 228; DIRECTV channel 316); mobile devices including iPhone, BlackBerry and Droid; online at www.ShopNBC.com; live streaming at www.ShopNBC.TV; and social networking sites Facebook, Twitter and YouTube. ShopNBC is owned and operated by ValueVision Media (NASDAQ: VVTV). For more information, please visit www.ShopNBC.com/IR.

EBITDA and EBITDA, as adjusted

EBITDA represents net loss for the respective periods excluding depreciation and amortization expense, interest income (expense) and income taxes. The company defines Adjusted EBITDA as EBITDA excluding non-operating gains (losses); non-cash impairment charges and write-downs; restructuring, rebranding, and chief executive officer transition costs; and non-cash share-based compensation expense. The company has included the term “Adjusted EBITDA” in our EBITDA reconciliation in order to adequately assess the operating performance of our “core” television and internet businesses and in order to maintain comparability to our analyst’s coverage and financial guidance, when given. Management believes that Adjusted EBITDA allows investors to make a more meaningful comparison between our core business operating results over different periods of time with those of other similar companies. In addition, management uses Adjusted EBITDA as a metric measure to evaluate operating performance under its management and executive incentive compensation programs. Adjusted EBITDA should not be construed as an alternative to operating income (loss) or to cash flows from operating activities as determined in accordance with generally accepted accounting principles and should not be construed as a measure of liquidity. Adjusted EBITDA may not be comparable to similarly entitled measures reported by other companies.

Forward-Looking Information

This release contains certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on management’s current expectations and accordingly are subject to uncertainty and changes in circumstances. Actual results may vary materially from the expectations contained herein due to various important factors, including (but not limited to): consumer spending and debt levels; interest rates; competitive pressures on sales, pricing and gross profit margins; the level of cable and satellite distribution for the company’s programming and the fees associated therewith; the success of the company’s e-commerce and new sales initiatives; the success of its strategic alliances and relationships; the ability of the company to manage its operating expenses successfully; the ability of the Company to establish and maintain acceptable commercial terms with third party vendors and other third parties with whom the Company has contractual relationships; changes in governmental or regulatory requirements; litigation or governmental proceedings affecting the company’s operations; and the ability of the company to obtain and retain key executives and employees. More detailed information about those factors is set forth in the company’s filings with the Securities and Exchange Commission, including the company’s annual report on Form 10-K, quarterly reports on Form 10-Q, and current reports on Form 8-K. The company is under no obligation (and expressly disclaims any such obligation) to update or alter its forward-looking statements whether as a result of new information, future events or otherwise.


Contact Information:
Investor/Media Relations		Investor Relations
Anthony Giombetti		Norberto Aja & David Collins
agiombetti@shopnbc.com		vvtv@jcir.com
612-308-1190		212-835-8500

VALUEVISION MEDIA, INC.
AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(In thousands except share and per share data)


	October 30,			January 30,
	2010			2010
	(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents	$	15,674		$	17,000
Restricted cash and investments		4,961			5,060
Accounts receivable, net		57,312			68,891
Inventories		51,997			44,077
Prepaid expenses and other		4,029			4,333

Total current assets		133,973			139,361
Property and equipment, net		26,651			28,342
FCC broadcasting license		23,111			23,111
NBC Trademark License Agreement, net		1,734			4,154
Other Assets		1,386			1,246

	$	186,855		$	196,214


LIABILITIES AND SHAREHOLDERS’ EQUITY

Current liabilities:
Accounts payable	$	51,618		$	58,777
Accrued liabilities		44,493			26,487
Deferred revenue		728			728

Total current liabilities		96,839			85,992

Deferred revenue		607			1,153
Long Term Payable		1,937			4,841
Accrued Dividends — Series B Preferred Stock		8,903			4,681
Series B Mandatorily Redeemable Preferred Stock		12,531			11,243
$.01 par value, 4,929,266 shares authorized; 4,929,266 shares issued and outstanding

Total liabilities		120,817			107,910

Commitments and Contingencies

Shareholders’ equity:
Common stock, $.01 par value, 100,000,000 shares authorized; 32,796,077 and 32,672,735 shares issued and outstanding		328			327
Warrants to purchase 6,022,115 shares of common stock		637			637
Additional paid-in capital		318,932			316,721
Accumulated deficit		(253,859	)		(229,381	)

Total shareholders’ equity		66,038			88,304

	$	186,855		$	196,214

VALUEVISION MEDIA, INC.
AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except share and per share data)
(Unaudited)


	For the Three Month Periods Ended						For the Nine Month Periods Ended
	October 30,			October 31,			October 30,			October 31,
	2010			2009			2010			2009
Net sales		132,283		$	119,441		$	383,437		$	372,588
Cost of sales		85,234			79,774			243,495			249,172

Gross profit		47,049			39,667			139,942			123,416

Operating expense:
Distribution and selling		42,752			41,774			133,815			130,898
General and administrative		4,445			4,264			14,007			13,200
Depreciation and amortization		2,997			3,507			10,215			10,723
Restructuring costs		412			126			838			715
Rebranding costs		39			—			39			—
CEO transition costs		—			1,567			—			1,867

Total operating expense		50,645			51,238			158,914			157,403

Operating loss		(3,596	)		(11,571	)		(18,972	)		(33,987	)

Other income (expense):
Interest income		—			2			51			365
Interest expense		(2,203	)		(1,350	)		(6,148	)		(3,328	)
Gain on sale of investments		—			—			—			3,628

Total other income (expense)		(2,203	)		(1,348	)		(6,097	)		665

Loss before income taxes		(5,799	)		(12,919	)		(25,069	)		(33,322	)
Income tax (provision) benefit		(15	)		—			591			157

Net loss		(5,814	)		(12,919	)		(24,478	)		(33,165	)
Excess of preferred stock carrying value over redemption value		—			—			—			27,362
Accretion of redeemable Series A preferred stock		—			—			—			(62	)

Net loss available to common shareholders	$	(5,814	)	$	(12,919	)	$	(24,478	)	$	(5,865	)


Net loss per common share	$	(0.18	)	$	(0.40	)	$	(0.75	)	$	(0.18	)


Net loss per common share—assuming dilution	$	(0.18	)	$	(0.40	)	$	(0.75	)	$	(0.18	)

Weighted average number of common shares outstanding:
Basic		32,781,462			32,332,278			32,721,377			32,569,618

Diluted		32,781,462			32,332,278			32,721,377			32,569,618

VALUEVISION MEDIA, INC.
AND SUBSIDIARIES

Reconciliation of EBITDA, as adjusted, to Net Loss:


	For the Three Month Periods Ended						For the Nine Month Periods Ended
	October 30,			October 31,			October 30,			October 31,
	2010			2009			2010			2009

EBITDA, as adjusted (000’s)	$	578		$	(5,630	)	$	(5,656	)	$	(18,152	)
Less:
Non-operating gain on sale of investments		—			—			—			3,628
Restructuring costs		(412	)		(126	)		(838	)		(715	)
CEO transition costs		—			(1,567	)		—			(1,867	)
Rebranding costs		(39	)		—			(39	)		—
Non-cash share-based compensation		(616	)		(741	)		(2,114	)		(2,530	)

EBITDA (as defined) (a)		(489	)		(8,064	)		(8,647	)		(19,636	)


A reconciliation of EBITDA to net loss is as follows:

EBITDA, as defined		(489	)		(8,064	)		(8,647	)		(19,636	)
Adjustments:
Depreciation and amortization		(3,107	)		(3,507	)		(10,325	)		(10,723	)
Interest income		—			2			51			365
Interest expense		(2,203	)		(1,350	)		(6,148	)		(3,328	)
Income taxes		(15	)		—			591			157

Net loss	$	(5,814	)	$	(12,919	)	$	(24,478	)	$	(33,165	)


(a)		EBITDA as defined for this statistical presentation represents net income (loss) for the respective periods excluding depreciation and amortization expense, interest income (expense) and income taxes. The Company defines EBITDA, as adjusted, as EBITDA excluding non-operating gains (losses); non-cash impairment charges and writedowns, restructuring, rebranding and CEO transition costs; and non-cash share-based compensation expense.

Management has included the term EBITDA, as adjusted, in its EBITDA reconciliation in order to adequately assess the operating performance of the Company’s “core” television and Internet businesses and in order to maintain comparability to its analyst’s coverage and financial guidance when given. Management believes that EBITDA, as adjusted, allows investors to make a more meaningful comparison between our core business operating results over different periods of time with those of other similar companies. In addition, management uses EBITDA, as adjusted, as a metric measure to evaluate operating performance under its management and executive incentive compensation programs. EBITDA, as adjusted, should not be construed as an alternative to operating income (loss) or to cash flows from operating activities as determined in accordance with GAAP and should not be construed as a measure of liquidity. EBITDA, as adjusted, may not be comparable to similarly entitled measures reported by other companies.