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      STACKER NOTE                                         STACKER NOTE
               STAC ELECTRONICS PURCHASES OCEAN ISLE SOFTWARE
      ReachOut Is First In Stac's New Family Of Enterprise Storage and
                      Communication Management Products
      STAC FAX  1129 (10-31-1994)
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      SAN DIEGO, Calif., October 31, 1994 - Stac* Electronics
      (NASDAQ:STAC), the leading supplier of compression products for
      data storage and communications, today announced that it has
      acquired privately-held Ocean Isle Software for $20 million in
      cash.  Ocean Isle develops and
      markets both modem and LAN versions of its award-winning
      ReachOut* software -- the industry's fastest remote control and
      file transfer product that allows users to access their data
      remotely.
      
      Gary Clow, chairman and chief executive officer of Stac, said
      ReachOut will be the first in a forthcoming family of integrated
      enterprise storage and communication management products that
      will expand Stac's position beyond its pre-eminence in data
      compression. Stac is best
      known for its line of Stacker* data compression products that
      automatically doubles the storage capacity of Windows, DOS,
      Macintosh and OS/2 computers.
      
      "Stac's vision is to manage all the storage in the enterprise,
      and ReachOut will provide end users access to the storage on
      their desktop and on the LAN through a remote modem or LAN
      connection," said Clow.
      
      ReachOut is fast becoming the leading product in the mobile
      computing category and is also being widely accepted by
      corporations for network help desk support.  It has won numerous
      awards including number one ratings in Byte, InfoWorld, LAN
      Times, LAN Magazine and NSTL Software Digest.  "ReachOut, like
      Stacker, is considered the best product in its category, and now
      we intend to make ReachOut the number one selling product," said
      Clow.
      
      "With ReachOut as the strongest product in the category and
      Stac's strong relationship with Microsoft, we believe that
      together we can now really propel ReachOut's sales," said Jim
      Kendall, Ocean Isle's president and chief executive officer. "As
      corporate customers now evaluate ReachOut against the
      competition, they will now take into consideration Stac's proven
      industry leadership and Microsoft's 15% ownership of thecompany."
      
      According to Elisabeth Rainge, an analyst who follows the remote
      control segment of the remote access software market for IDC
      (Framingham, Mass.), "The market for ReachOut and its major
      competitors is now worth almost $94 million, and will grow
      approximately 30% annually for the next three years."
      
      Matt Cain, industry analyst for the Meta Group (Stamford, Conn.),
      believes the entire remote access software market is more than
      $700 million today.  "The growth in the remote control segment is
      being fueled by the increase in remote node technology as part of
      the network infrastructure," said Cain.
      
      Stac Electronics is the leading supplier of high performance
      compression products for data storage and communications.
      Implemented in software and silicon, Stac's products are sold
      direct from the company and through retail and OEM sales
      distribution channels.
      
      Stac, Stacker and ReachOut are trademarks or registered
      trademarks of Stac Electronics.  All other trademarks are the
      property of their respective owners.  Actual compression results
      may vary.
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      Copyright 1994 Stac Electronics
