SoftArc's FirstClass Now World's Leading Group Communication Software --
One Million User Licenses Sold

--SoftArc's FirstClass Leapfrogs Lotus Notes in Licenses Sold;
Offers More Functionality Than Mail-Only Solutions--

MARKHAM, Ontario, September 12, 1994--SoftArc Inc., a leading developer and
manufacturer of cross-platform, enterprise-wide group communication
software, today announced the sale of the Company's 1,000,000th FirstClass
user license. As of this week, SoftArc has 1,183,000 users of its
FirstClass groupware/e-mail package. The sale of an additional 1,000,000
user licenses is soon to be announced.

In the three years FirstClass has been available, the Company has
experienced 300 percent year-to-year revenue growth, as well as 200
percent growth in its year-to-year installed user base. SoftArc recently
relocated its Scarborough, Ontario operations to a larger corporate
headquarters just outside Toronto, Ontario. This expansion was fueled by
SoftArc's growth in fiscal 1993, which increased employee headcount by
over 300 percent.

Recent sales that pushed SoftArc over the 1,000,000 user mark make
FirstClass the market-leading client/server e-mail and conferencing
software for LANs and WANs, with a substantially larger installed base
than Lotus Notes (Notes has 800,000 users worldwide). Moreover, SoftArc's
current user figure does not take into account an additional 1,000,000
user license sale to a large U.S. broadcaster--for use internally and as
part of a yet-to-be announced on-line service.

SoftArc's customers use FirstClass to solve a variety of real-world
problems. "FirstClass is our workgroup solution of choice because it meets
all of our varied communication needs in one powerful intuitive package,"
explained Steve Hall network engineer of Wellfleet Communications, a
FirstClass installation. "Wellfleet uses the system as a general
communication tool, not just as a person-to-person e-mail package. We run
FirstClass on both our PCs and our Macs, and the product acts identically
and integrates seamlessly. Our remote users connect via modem pool to
retrieve and send messages, as well as to access corporate data. We chose
FirstClass over all other cross-platform products because it does more --
at virtually the same cost."

Paul Lenk, groupware manager at Booz, Allen & Hamilton, agreed: "As an
international management and technology consulting firm, Booz, Allen
needed an easy way for our consultants to tap our various 'pockets' of
internal expertise. Traditional e-mail was not a solution because it
relies on point-to-point correspondence and requires a predefined
audience. FirstClass' conferencing features allow our consultants to
gather from all over the world to share information and ideas--creating a
single knowledge database."

FirstClass is sold on a per-user license basis. Pricing starts at $79/user
in quantity five and drops as low as $15/user in quantity 1000. The
FirstClass server is priced at $95 and includes a license for two users.
Special network protocol support, gateways and remote user licenses are
available separately. SoftArc offers free upgrades and free technical
support for all registered FirstClass owners, as well as a competitive
trade-in offer for sites interested in upgrading to FirstClass from
competing e-mail and groupware systems.

"SoftArc has experienced unprecedented growth in the past year, due to the
success of our FirstClass communication product," said Steven Asbury,
president of SoftArc. "It is gratifying to be expanding so
rapidly--especially at a time when competitors such as CE
Software/Powercore are experiencing stagnant revenues. Our customers feel
SoftArc is a thriving company with a superior product. There are a number
of new players in the groupware market, but FirstClass is one of the
oldest and most successful."

Asbury continued: "SoftArc has a simple formula for success in this
competitive market: offer a product that competes with Lotus Notes in
functionality and price it to be competitive with basic e-mail packages.
Our customers find this combination compelling."

SoftArc is a leading developer and manufacturer of group communication
software. SoftArc's award-winning product, FirstClass, is a
cross-platform, enterprise-wide, group communication system that
integrates state-of-the-art e-mail with group conferencing, access to
existing corporate databases, forms processing, real-time discussions and
on-line communications functions. FirstClass offers the same ease of use,
functionality and robust performance over network or modem, and operates
in Macintosh, Windows, WS, OS/2 and terminal emulation environments. The
product is available in 12 different languages and is used by businesses,
educational institutions, governments and private individuals in more than
30 countries worldwide. SoftArc is headquartered at:

100 Allstate Parkway
Markham, Ontario, L3R 6H3 Canada.
Telephone: 905-415-7000,   Fax: 905-415-7151
SoftArcOnline: 905-415-7070
Internet: sales@softarc.com

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