TSI Software's Mercator For R/3 Release 1.4 Receives SAP Certification For R/3 Application Link Enabling

Business Wire, August 25, 1997

WILTON, Conn.--(BUSINESS WIRE)--Aug. 25, 1997--

Newest version of Mercator for R/3 provides SAP

customers "rollback and recovery" when integrating R/3

with legacy and third-party applications

TSI International Software Ltd. (NASDAQ:TSFW), one of the leading providers of software for business application integration, announced today that SAP(tm) AG has certified the newest release of Mercator (r) for R/3(tm) (release 1.4) as an Application Link Enabling (ALE) Converter. Certification was performed at SAP's headquarters in Walldorf, Germany using R/3 release 3.1g, the latest release of SAP's widely-used client/server application.

ALE Converters are a critical technology for building asynchronous interfaces between non-SAP systems and the R/3 Business Framework. An ALE Converter is used to create a "wrapper" which allows a non-SAP system to interoperate with R/3 as a component in the SAP framework using BAPIs, ALE, and IDocs, which represent SAP's strategic interface technologies. Using a certified ALE Converter, such as Mercator for R/3, can eliminate the need for complex interface programming and reduce the time and cost associated with interface development and maintenance.

The previous release of Mercator for R/3 (release 1.3) was the first ALE Converter to be certified by SAP and is currently in use by R/3 customers worldwide. Mercator for R/3 has also found broad acceptance among SAP's Complementary Software Partners (CSP's) as a tool for BAPI-enabling their applications.

Release 1.4 of Mercator for R/3 includes new features for designing and managing R/3 interfaces. These include graphical tools for defining transaction workflows and automatic rollback and recovery of ALE transactions with robust error handling capabilities. Mercator for R/3 also adds value in roles other than that of an ALE Converter. The drag-and-drop graphical interface simplifies conversion of legacy data for use with SAP's Initial Data Transfer programs and can be used for the creation of BDC and EDI interfaces as well.

"Mercator for R/3 has already proven its value in the market as a tool for R/3 integration," said Connie Galley, President and CEO of TSI Software. "With this latest release of Mercator for R/3 we will be in a position to further extend our value to SAP's R/3 customers and CSP partners of SAP, while aligning them with SAP's strategic interface technologies."

About TSI International Software Ltd.

TSI International Software is a leading provider of software for "business application integration"--the seamless connection of computer applications. TSI Software's flagship product, Mercator(r), is an important component of an array of business application integration solutions. These include transformation of electronic commerce data to and from applications, integration of Web applications with back-office systems, and integration of enterprise applications, such as SAP's R/3, with legacy and third-party applications.

TSI Software's products are in productive use worldwide by companies integrating their internal applications or conducting business electronically. TSI Software is headquartered in Wilton, Connecticut and is publicly traded on NASDAQ under the symbol TSFW. More information on TSI Software can be found on the Internet at www.tsisoft.com -0-

SAP and R/3 are trademarks or registered trademarks of SAP AG. Mercator is a trademark of TSI International Software Ltd. All other products and company names mentioned are the property of their respective owners.

Forward Looking Statements

This press release includes forward-looking statements that involve risks and uncertainties including, but not limited to, statements regarding the effects or influence of Price Waterhouse or the strategic alliance on TSI or Mercator, the results or effects of the strategic alliance, the results of any collaborative development effort, the results of integration of Mercator with Price Waterhouse's SAP Templates, and the effects of Mercator on Price Waterhouse or it's clients. Readers should also refer to the risk disclosures outlined in TSI's Registration Statement (No. 333-27293) and TSI's Form 10-Q for the quarter ended June 30, 1997. Actual results may differ materially from management expectations.

CONTACT: Schwartz Communications TSI International Software

Jennifer Willman/Ed Harrison Steve Rosen

(617) 684-0770 (203) 761-8600

jwillman@schwartz-pr.com srosen@tsisoft.com