STATE OF THE ART INC. Forms Strategic Relationship with BDO Seidman LLP to Market its New Line of Acuity Financials Software; BDO Seidman LLP Offices in Major Metropolitan Cities Will Participate

Business Wire, April 8, 1996

IRVINE, Calif.--(BUSINESS WIRE)--April 8, 1996--Accounting software developer STATE OF THE ART INC., and one of the nation's leading accounting and consulting firms, BDO Seidman LLP, Monday announced their formation of a strategic venture to market, sell and support Acuity Financials(tm), STATE OF THE ART's new line of client/server accounting solutions.

Acuity Financials software is a native, 32-bit Microsoft(r) Windows(r) 95 application designed for Microsoft(r) SQL Server(tm) and Windows NT(tm), targeted at the needs of medium-size businesses.

Expanding the relationship that they have had with STATE OF THE ART for more than nine years as an M-A-S 90 Authorized Reseller and Consultant, BDO Seidman LLP will be one of the first Authorized Resellers and Consultants for Acuity Financials. They will be instrumental in launching this product into the market with STATE OF THE ART.

The objectives of this strategic relationship include creating and executing joint marketing plans, selling and implementing Acuity Financials, and cooperating on strategies, geographic expansion and vertical industry initiatives.

This strategic relationship includes BDO Seidman LLP offices located in major metropolitan areas across the United States, which will provide complete needs analysis, sales, implementation, customization and support services.

"We are raising our long-standing relationship with BDO Seidman LLP to a new level," said David Hanna, President and CEO for STATE OF THE ART. "The firm's broad experience in the client/server arena provides middle market businesses with an affordable client/server alternative," continued Hanna.

"Acuity Financials is an essential component of our firm's overall information technology consulting strategy," said BDO Seidman LLP Vice Chairman, Jack Suzar. "The timing couldn't be better to move our relationship forward to a new level. STATE OF THE ART is a solid, market-driven organization utilizing only high quality consultants and resources to deliver leading edge client/server solutions. We are proud of this expanded relationship."

Starting with BDO Seidman LLP, STATE OF THE ART will forge a series of channel relationships aimed at serving the unique needs of medium-size businesses demanding client/server accounting software solutions. For nearly 15 years, STATE OF THE ART has marketed its products through both CPA firms and value-added resellers.

Founded in 1981, and with headquarters in Irvine, Calif., STATE OF THE ART INC. develops, markets and supports accounting software for middle market companies. Its 32-bit client/server solution, Acuity Financials, is designed for Microsoft(r) SQL Server(tm) and Windows NT(tm) environment.

Its award-winning M-A-S 90(r) accounting software runs under a number of operating systems and offers a broad range of applications for virtually any type of business. It also sells DOS- and Windows-based BusinessWorks(tm) accounting software for small businesses. STATE OF THE ART stock is traded on the NASDAQ National Market System under the symbol of SOTA. STATE OF THE ART can be reached at 800/854-3415 or on the World Wide Web at http://www.stateoftheart.com.

With executive offices in New York City, BDO Seidman LLP is one of the nation's leading accounting and consulting firms with over 40 offices and 1,700 partners and staff located throughout the United States. It is the U.S. member firm of BDO, the world's seventh largest accounting and consulting organization, with over 450 member firm offices in more than 75 countries, with approximately 15,000 partners and staff.

BDO Seidman LLP is well positioned to help both privately owned businesses and management controlled public companies achieve their goals. Since its inception in 1910, BDO Seidman LLP has maintained a tradition of service to and friendship with the entrepreneurial market. The firm has established practice areas specifically designed to meet the various challenges and explore the new business opportunities its clients encounter. BDO Seidman LLP can be reached at 212/885-8000 or on the World Wide Web at http://www.bdo.com.

Note to Editors: Acuity Financials, M-A-S 90, BusinessWorks and STATE OF THE ART are either trademarks or registered trademarks of STATE OF THE ART INC.

CONTACT: Agency contact

Cathy Ross, 714/863-3204

Stephanie Silverman, 714/863-3206

or

STATE OF THE ART

Jodi L. Jones, 714/450-3868

or

BDO Seidman LLP

Sheri Warren Sankner, 212/885-8302