PR 04/23 0839 SYNCRONYS SOFTCORP ANNOUNCES SERIES OF ACTIONS TO ... SYNCRONYS SOFTCORP ANNOUNCES SERIES OF ACTIONS TO REGAIN MARKET LEADERSHIP POSITION Plans Include: New Quality Assurance Programs, Strategic Alliances, July SoftRAM96 Introduction, Strengthened Financial Position, Senior Management Additions, Technology Review Panel, New Products CULVER CITY, Calif., April 23 /PRNewswire/ -- Syncronys Softcorp (OTC: SYCR) today announced a broad new range of actions and new corporate policies designed to re-establish the company's position as a leading developer and marketer of RAM compression software technology. The Company's 1996/97 growth strategy includes: the formation of at least two new strategic alliances; new product development and introduction; a strengthened financial position; senior management additions; implementation of new quality assurance programs; and a July introduction of a new generation of SoftRAM, SoftRAM96. Rainer Poertner, Syncronys Softcorp president and chief executive officer, stated, "Syncronys today is moving aggressively forward to build on its strengths and address past deficiencies. The Company paid a high price for unforeseeable technical problems that were encountered with the introduction of SoftRAM95 last year. We not only lost our momentum in the marketplace, but we also lost credibility. "We are, therefore, today announcing a number of policies and actions which we hope will enable us to once again earn the trust and confidence of those who purchase our products and own our shares. These policies not only include new, stringent quality assurance procedures, but also actions which we believe will position the company for long- term growth and profitability. "The company has recently completed two important strategic alliances and is also taking a number of steps to strengthen its financial position, reinforce its management capabilities and increase the flow of information to the investment community," Mr. Poertner added. Syncronys Softcorp 1995 to 1997: A Pioneer In An Emerging Technology "As Syncronys nears the completion of its first year of operations," Poertner said, "I believe that despite our recent difficulties, the company has accomplished more, and built a stronger foundation, than many newly public, emerging-technology development companies ever do. "In 1995 we developed and introduced SoftRAM -- a RAM compression software technology still very much in its infancy -- and established outstanding distribution channels. Despite strong initial sales and thousands of satisfied customers, we experienced a technology setback with the second generation version of SoftRAM, SoftRAM95, for which Syncronys has taken full responsibility. "In late 1995 and early 1996, we stood behind our product by agreeing to provide full refunds; offering free upgrades when available; eventually recalling the product altogether; and working constructively with all consumer or regulatory groups," Poertner said. "In short, Syncronys has done everything possible to act as a responsible corporate citizen. Syncronys has been tempered by its experience, and today we are looking ahead to the future ever more determined, smarter and stronger." Technology Progress Update Syncronys is a leading pioneer in the development of RAM compression software technology -- a technology that did not exist two to three years ago. Much like disk compression products, the early progress in RAM compression software has proven extremely challenging. This appears to be the case for many of the other entrants into the marketplace, who also seem to have experienced product delays. None-the-less, the market for RAM compression software technology, and its many potential applications, is believed to be considerable. The Company has experienced unanticipated delays in developing the patch, or upgrade, to correct the defect in SoftRAM95, as well as with the new SoftRAM96 (which comprises both a Windows 95 and Windows 3.1 version). While developing the SoftRAM95 upgrade, the Company encountered a complex series of technological challenges and identified and pursued several independent areas for substantial improvement to create a highly advanced next generation product of both versions. These independent components are by nature technologically novel and more extensive than originally expected. SoftRAM96, and the SoftRAM95 upgrade, are now entering early-stage component integration and testing phases. Development of these independent components is on schedule; however, the July introduction goal is contingent upon successful component integration into a fully functional end product. Accordingly, the Company will issue and make available a more detailed progress report next month. 1996/1997: Strategies For Growth The Company said the key components of its 1996/97 growth strategy are to: -- Reinforce its corporate foundation and infrastructure in the first six months of this year to fortify its considerable software development and marketing capabilities; -- Capitalize on that foundation by introducing new software products beginning in mid-1996 and throughout the year; and -- Continue in 1997 to build on an existing base of growing sales with new products and increased market penetration. Reinforce its corporate foundation: goals for the first six months of 1996 include: 1. Form strategic alliances to enhance product research and development capabilities. The Company today announced it has recently formed its first two strategic alliances with leading-edge software development companies, both of which have extensive expertise in performance and productivity enhancement technologies. -- Pittsburgh, Pennsylvania-based Jump Development Group, Inc. has licensed its award-winning RAM Charger Macintosh (Mac) memory management software to Syncronys for North American and European distribution. Approximately 80,000 copies of RAM Charger have been sold to date and RAM Charger is currently the best selling Macintosh title in Japan. Additionally, Robert Thornton, head of Jump, has been appointed Vice President - Mac Development at Syncronys, where he will be responsible for leading a dedicated Jump team in the development of all new Syncronys Mac software products. -- San Mateo, California-based PowerPro Software, Inc. has entered into a development relationship with Syncronys to develop system and productivity software for the Windows utility market. PowerPro's flagship product, Quick Restart, has sold in excess of 120,000 copies since its introduction. PowerPro founder and President Ravi Narayan, is leading a dedicated PowerPro team to develop new Syncronys software products for the Windows platform. The first such product is well advanced and Syncronys expects to make an announcement on this product next month. 2. Strengthened financial position. To support accelerated expansion, new product development and marketing, the Company is actively evaluating alternatives for a capital infusion which could include equity, debt or some combination. 3. Additional senior management. To manage the aggressive growth envisioned in the second half of 1996 and in 1997, the Company is recruiting for one or more senior level executives in operations, technology and/or marketing. 4. Implementation of new, stringent quality assurance (QA) programs. These programs will include the establishment of a technical advisory panel. The Company is instituting a new system of stringent internal, external and independent product testing and evaluation, both scientific and consumer-driven, with deliberate redundancies built in to guarantee the technical quality of all new products. To assist with QA and setting strategic technical direction, Syncronys has retained James A. Storer, Ph.D., professor of computer science at Brandeis University, to assemble a panel of leading computer and software technology experts that will serve to evaluate and review all new products. 5. Resolution of litigation. The Company expects to settle most civil claims and regulatory inquiries, and is in final disposition discussions on most claims. Any unresolved claims will be vigorously contested. 6. Proactive communications with Wall Street, and the financial and trade media. To enhance communications with its key constituencies, Syncronys has retained strategic communications counsel to advise the Company on communications issues and policy. Capitalize on a reinforced foundation: Syncronys' distribution channels remain strong, and its initial product introduction goals include: 1. MacAccess in June. MacAccess will allow the user to read, write and format Mac disks in any PC under DOS, Windows 3.1 and Windows 95. This program works with 3/ floppies and all removable media including CD-ROMs, Syquest cartridges, Optical media and ZIP media. 2. RAM Charger in June. Based on the existing Jump Development product, the Syncronys version will be the latest release of this award- winning product which manages memory and maximizes RAM on the Mac platform. 3. SoftRAM96, and the SoftRAM95 upgrade, in July (see above for the product status). Additionally, the Company has several innovative software technology products in various stages of development set for introduction during the second half of 1996, most of which will be announced throughout this summer. These new products substantially improve computer and network performance in diverse consumer and business PC applications. Continue to build in 1997: Syncronys intends to continue expansion of its R & D and marketing capabilities internally, and through various alliances or acquisitions, entering 1997 with a strong revenue base and broadened proprietary technology platform. The infrastructure being reinforced today is designed to support far higher levels of sales and operations through 1997. Except for the historical information contained herein, the matters discussed in this news release are forward looking statements that involve risks and uncertainties, including, but not limited to competitive and newer technologies, unforseen technological difficulties in R & D, shifting and unknown market demand for Company products, reliance on and availability of key personnel, availability of additional sources of capital, and uncertainties regarding litigation. Headquartered in Culver City, California, Syncronys is a leader in the business of providing memory enhancement and other performance- improving software for PCs. Syncronys maintains a web home page at http://www.syncronys.com. -0- 4/23/96 /CONTACT: Rainer Poertner, CEO, or Dan Taylor, EVP Marketing, 310-842-9203, both of Syncronys Softcorp, or Media/Analysts: John Shaw of Sitrick And Company, 310-788-2850/ (SYCR) CO: Syncronys Softcorp ST: California IN: CPR SU: