Egan Systems' Tech 2020 Opens Negotiations With South African IT Giant Dimension Data

Business Wire, Nov 3, 1998

ORLANDO, Fla.--(BUSINESS WIRE)--Nov. 3, 1998--

Talks Include Expanding Egan Systems' Focus Into

Internet-Related Services

Tech 2020, Ltd., a subsidiary of Egan Systems, Inc. (OTC BB:EGNS) held negotiations with Dimension Data to provide Y2K remediation services for the clients of its Asian subsidiary, Datacraft Asia. Dimension Data is South Africa's largest Information Technology (IT) company, with reported 1998 turnover at US$900M+.

Tech 2020 plans to meet with Datacraft officials in Hong Kong to facilitate contract negotiations. Asian multinational Datacraft is the region's leading communications and networking systems integration company. Datacraft has 43 offices in Singapore, Malaysia, Hong Kong, China, India, Taiwan, Indonesia, Thailand, New Zealand, Vietnam and the Philippines.

The negotiations were arranged through the South African Trade Office in Orlando and included discussions for Tech 2020 to enter Internet-related services through Tech 2020 partner, Intermost Ltd. If successful, this would mark the entry of Egan Systems into Internet-related services, which owns 51% of the joint venture.

South African Consulate, Frank Clear, said, "Egan Systems and its subsidiary, Tech 2020, are well-positioned for South African firms to both invest in and do joint ventures with. Egan Systems has the capabilities to be far more than just a Y2K company, as today's negotiations proved."

Tech 2020, Ltd. is a joint venture between Egan Systems (51%) and Intermost Ltd. (49%). The joint venture has been authorized in China to work on systems upgrading, integration, remediation, technical support, supervision, marketing, training and software development. Tech 2020 factories have been established in Beijing and Shenzhen.

Egan Systems, Inc. (OTC BB: EGNS) produces ICOBOL and VX COBOL as well as tools to assist in making programs written in these languages Year 2000 compliant. Egan also provides software migration and Year 2000 services to companies preferring to outsource these tasks. The Company owns controlling interest in Tech 2020, Ltd., which handles Year 2000 services in China. Egan Systems, Inc. is a publicly-traded, fully-reporting company located in Holbrook, NY with research and design facilities in Raleigh, NC.

More information can be found on the Company's website: www.egns.com. Investor information can be found on: www.MarketManagement.com or calling Thomas Tedrow, Tedrow Communications Corporation at: 800/777-8098. Analysts can reach Ed Egan, President of Egan Systems at: 800/645-9898 or 516/588-8000.

"Safe Harbor"' Statement Under The Private Securities Litigation Reform Act of 1995: The statements in the press release that relate to the company's expectations with regard to the future impact on the company's results from new products in development are forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995. The results anticipated by any or all of these forward-looking statements may not occur.