Arc Tangent, Inc. Introduces New Products Enhances Current Products
Targeting Small to Medium Size Businesses

Santa Barbara, CA -- April 3, 1992 -- Arc Tangent, Inc., the leading
producer of sophisticated mailing list management and desktop marketing
software for the PC and compatible, announces new products and updates to
their product line. As of April 1, 1992, new versions of the company's
leading products, Professional Mail (v2.05) and Zip++, and as of May 1, a
new product, Business Mail, will be available.

The Arc Tangent products are being updated to better focus on specific
segments of the business mailing marketplace. At the same time, the new
and revised Arc Tangent products address the changes in the United States
Postal Service regulations (such as 11-digit zip coding, barcoding and
revised discount structures for automation, etc.) that will soon confront
all business mailers.

The new version of Professional Mail is targeted to the 30,000 service
bureaus, lettershops, direct marketing consultants, or large business
mailers who need to take advantage of the money saving benefits of
sophisticated merge-purge, postal presorting and barcoding required by the
United States Postal Service and to maximize the new discount structure.
It also includes LAN capabilities and remote data entry.

Arc Tangent's new product, Business Mail is a scaled down version of
Professional Mail designed to meet the needs of 200,000 smaller companies
such as retailers, resellers, distributors, marketing/sales departments,
pr/ad agencies, government agencies, non-profit or educational
organizations, trade groups, associations and unions who typically mail
1,000 to 10,000 piece mailings on an event or project basis and do not
need networking capabilities.

Zip++ provides business mailers with access to the most current United
States National Database and the ability to compare and correct individual
addresses on their mailing list. It also will insert Zip+4+2 and CRRT
codes automatically. Zip++ can now be purchased quarterly.

Professional Mail .... Adding More Value 

Like the previous version, Professional Mail (version 2.05) is a
full-featured mailing solution with 1st/2nd/3rd class with 3/5 digit,
Zip+4, barcode and CRRT (carrier route) sorting. Multiple levels of
merge/purge and a sophisticated duplicate detection feature maintain the
accuracy of the list.

The new version has been certified by the United States Postal Service and
includes the latest regulation changes for 1st and 3rd class mailings,
updated delivery tables from the Domestic Mail Manual and delivery-point
barcode printing (ll-digit Zip+4+2 barcodes).

A major feature of Professional Mail is the automatic presort report which
compiles and calculates all the statistical information--number of
packages, tray requirements, exact mailing costs, etc.--required by the
United States Postal Service to complete their Form 3600.

Built into the new version is Novell LAN capability for up to 24 users,
remote data entry support and automatic city-state insertion. Professional
Mail also supports high-speed direct impression printing, 11-digit
Delivery Point barcodes, and access to dBASE or ASCII records.
Professional Mail is a completely menu-driven program with on-line help.
It provides the ability to write macros for repetitive tasks. Users can
easily produce their own customized labels, form letters and reports.

Previously, Arc Tangent sold Professional Mail ($695), the 24-user LAN
product LAN key ($2280), a remote data entry product Enter ($95), and the
automatic state and city entry Zip-City Database ($49) as separate
products. Together these products would cost over $3100. The new
Professional Mail, combining all of these features and updates in one
product, will be sold for only $995. Current Professional Mail users can
upgrade to the new version for $125 by calling (800)-350-8054.

Business Mail ... A new focus on smaller business 

Arc Tangent's new product, Business Mail, is geared for those users who do
not reach the highest volume levels to take advantage of every USPS sort
discount, but who will benefit from the ability to do 1st and 3rd class
with 3/5 digit, Zip+4 and barcode sorting. List Management features
include multiple levels of merge/purge duplicate detection and automatic
city-state insertion. It provides the ability to easily produce customized
labels, form letters and reports.

Important to this level of user is Business Mail's presort report feature
which automatically compiles all the necessary information to complete
Form 3600 as required by the United States Postal Service. It also
supports dot-matrix, laser and direct impression printers. dBASE or ASCII
records are easily accessible. Business Mail, like it's more sophisticated
cousin Professional Mail, is completely menu-driven, provides on-line help
and macro support for repetitive tasks.

The suggested retail price for Business Mail is $695. An upgrade path from
Business Mail to Professional Mail is provided for those users who grow to
need networking capabilities, remote data entry features, 2nd class and
CRRT sorts. This upgrade is available for $395. Current Professional Mail
customers, who do not need the sophisticated features of the new
Professional Mail but need to stay current with the new Postal Service
requirements can upgrade to the new Business Mail product for $95.

Zip++ ... New capabilities for business mailers 

Zip++ contains the most current USPS National Database published on CD-ROM.
It provides the correct street, city, state, zip and CRRT for every
address in the United States and will automatically correct individual
addresses in a mailing list. The latest release of Zip++ includes the
ability to insert Zip+4+2, to add the Delivery Point to each address
individually and provides business mailers with the ability to meet the
USPS September '92 deadline for 11-digit coding and the new delivery point
barcode. Zip++ also generates the USPS 3553 CASS report required for Zip+4
mailings.

Call routines can be written to access Zip++ from custom applications,
including dBASE applications. A high processing speed of over 100,000
records/hour is an important feature for large scale mailers.

The suggested retail price for the April edition of Zip++ is $295. To meet
the needs of a high percentage of Zip++ customers who buy updates to Zip++
and the national database (required for carrier route mailings), Arc
Tangent offers a Zip++ Subscription package of four quarterly updates for
$995 or a savings of $185 off the single-unit price.

Technical support for the Professional Mail, Zip++ or Business Mail is
free. It includes a quarterly technical bulletin, access to a 24 hour BBS
and a guaranteed response within 4 hours of a call.
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Desktop Marketing Software Comes of Age 

Direct marketing techniques have grown in importance in the marketer's
arsenal of strategic tools. Most businesses and non-profit organizations
are increasingly using the mail to directly market their products and
services to their customers and prospective customers. Advertising,
newsletters, and announcements are sent regularly to customers, prospects,
and members. Businesses and organizations of all types and sizes maintain,
rent, trade or purchase mailing lists to improve their marketing
communications efforts through cost effective and proven direct marketing
techniques and the US mail.

In 1995, the United States Postal Service expects 200 billion pieces of
mail to pass through it's system. Responding to this trend, the USPS
recognizes that 95 percent of that mail must be automated with Zip+4 zip
codes and barcodes and has already begun to vigorously promote the use of
mail automation by revising its rate and discount structures as well as to
set new regulations for Zip+4 zip codes and barcodes.

The mail list management market has traditionally been served by mail list
service bureaus utilizing mid-range and mainframe software and hardware on
the high end and general purpose PC software such as database managers and
word processors, or mailing specific PC software such as inexpensive
labeling programs for the low end incidental mailer. Today, the market is
undergoing a quiet revolution thanks to the growing power and
accessibility of the personal computer. As a result, a new category of
software solution has been born--desktop marketing software.

In much the same way that desktop publishing has fostered more direct
control over graphic production, desktop marketing will bring "hands-on"
control to a company's direct marketing efforts. In particular, the
availability of sophisticated mail list management software for the
personal computer offers the marketer the ability to manipulate and market
test business lists without having to rely on expensive outside services.
Full featured desktop mail management software also offers a significant
cost savings by dramatically lowering postage costs through automation.

The Universe of Business Mailers 

The United States Postal Service has identified 7.3 million business
mailers in the United States that could benefit from automation. The
Postal Service classifies all mailers into five categories: National, Key
and Major, Growth and Medium, Local, and Households.

The National or Key and Major categories of mailers will still continue to
use large service bureaus and are unlikely to buy a PC product for the
purpose of direct marketing. Likewise, those businesses that fall into the
Household category cannot realize the full cost benefits of automation and
can satisfy their mail management needs with low end mailing label
software or simple database management programs.

The 4.4 million businesses that fall in the Growth and Medium and the Local
categories represent those business mailers most likely to currently use
personal computers, utilize direct marketing techniques and therefore
benefit from automation and PC-based mail list management software
solutions.

The market opportunity for sophisticated PC-based mail list management is
great. The current drive toward automation will undoubtedly continue,
increasing the dependence of mailers on computers and software. And, as
computer hardware development and cost continues to narrow the gap between
mainframes and personal computers, businesses who mail more than a few
thousand pieces of direct marketing mail per year will not be able to
afford not to automate.

Arc Tangent Satisfies the Demands of Desktop Marketers 

Arc Tangent, Inc., the leading producer of sophisticated mailing list
management and desktop marketing software for the PC and compatible, has
positioned itself to meet the demanding needs of the business mailers who
will embrace the new technologies to handle their own mailings
economically, efficiently and effectively. Working hand-in-hand with the
USPS, the company has focused it's development efforts on the
aforementioned categories of business mailers, Growth and Medium and
Local, and has identified two segments roughly corresponding to
sophisticated mailers and incidental mailers.

Sophisticated mailers are defined as enterprises spending less than
$100,000 a year in postage and more than $2500 a year in postage.
Incidental mailers are defined as enterprises spending less than $2500 a
year in postage and more than $500.

Arc Tangent's new product strategy recognizes the distinct differences in
each of these market segments and, in the Spring of 1992, Arc Tangent
released an enhanced version of it's well known products, Professional
Mail and Zip++, as well as a new product called Business Mail.

Sophisticated mailers, whose alternatives are mainframe software and
service bureaus, look for advanced features, large capacity in terms of
the number of names handled, and performance in terms of speed and
accuracy. These business's also realize an enormous cost with each trip to
a service bureau and might not have the ability to invest in expensive
mainframe software and hardware. PC-based Professional Mail is a
full-featured mailing solution, certified by the USPS, and offers
1st/2nd/3rd class with 3/5 digit, Zip+4, barcode and CRRT (carrier route)
sorting as well as multiple levels of merge/purge. It also includes LAN
capabilities and remote data entry.

Incidental mailers, on the other hand, often do not know what presorting,
merge-purge, or address correction can do for them. Consequently, they
tend to use simple mailing label software and generic PC software not
specifically designed for mailing list management, like dBASE, Paradox,
and WordPerfect. Accordingly, Arc Tangent has introduced a scaled down
version of Professional Mail called Business Mail which is geared for
those users who do not reach the highest volume levels to take advantage
of every USPS sort discount, but who will benefit from the ability to do
1st and 3rd class with 3/5 digit, Zip+4 and barcode sorting. List
management features include multiple levels of merge-purge duplicate
detection and automatic city-state insertion and the ability to easily
produce customized labels, form letters and required USPS reports.

Zip++ addresses both market segments. Zip++ contains the most current USPS
National Database published on CD-ROM. It provides the correct street,
city, state, zip and CRRT for every address in the United States and will
automatically correct individual addresses

in a mailing list. The latest release of Zip++ includes the ability to
insert Zip+4+2, to add the Delivery Point to each address individually and
provides business mailers with the ability to meet the USPS September 1992
deadline for 11-digit coding and the new delivery point barcode. Zip++
also generates the USPS 3553 CASS report required for Zip+4 mailings. Arc
Tangent also offers a Zip++ Subscription package of four quarterly
updates.

The family of Arc Tangent desktop marketing products allow an organization,
with a list of only a few hundred names or as large as half a million
names, to keep total control of its direct marketing mailings by allowing
the marketer to generate customized letters and save money on postage by
correcting addresses automatically, eliminating duplicates and testing
market segments without having to rely on expensive outside sources. Arc
Tangent products help the marketer generate more sales, not only through
more frequent and personalized contact with existing or prospective
customers, but through greater control over outbound marketing and the
interpretation of its results.

Arc Tangent is a privately held California corporation with offices located
in Santa Barbara, CA. The company's first product was introduced in 1986
and since then, they have become the dominant PC software provider to the
mail processing industry.

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