Wang Global Wins $14.7 Million Pension Benefit Guaranty Corporation Contract for Premium Accounting System

Business Wire, Oct 27, 1998

BILLERICA, Mass.--(BUSINESS WIRE)--Oct. 27, 1998--

Wang Global Continues Work on Award-Winning PBGC System

Wang Global (NASDAQ:WANG), a leading international networked technology services and solutions company, announced today that the Pension Benefit Guaranty Corporation (PBGC) (Washington, D.C.) has awarded Wang Government Services (McLean, Virginia), a subsidiary of Wang Global, a five-year contract valued at $14.7 million to continue providing support services for PBGC's Premium Accounting System (PAS).

Under the PAS follow-on contract, Wang Global will provide services to support PBGC's premium business requirements, including: lockbox operations, data capture, mailings, customer service and records management as well as software lifecycle support, quality assurance, and audit support.

The PAS contract covers one base year valued at $2.7 million, plus four option years for a total of five years estimated revenue generation at up to $14.7 million over the life of the contract. PBGC's choice of Wang Global ensures continued and uninterrupted customer service to the approximately 60,000 pension plans served by PBGC. The PAS follow-on contract will continue the partnership established between PBGC and Wang Global during the implementation and subsequent operation of the Premium Accounting System Service Center which was established, staffed, and operated by Wang Global as part of the original PAS contract awarded in 1993.

PBGC received a 1997 Computerworld Smithsonian Award for Achievement in Information Technology for the innovative and successful application of technology in the implementation of the premium Accounting System. In addition, the Association of Information Resource Management Directors awarded PBGC a Technology Excellence Award that recognized the quality of the Wang Global-supplied Premium Accounting System.

"We are delighted that PBGC selected Wang Global to continue our work on the Premium Accounting System, and we are proud of our solid track record for quality services on this award-winning system," said James Hogan, president, Wang Government Services. "This is truly a great example of understanding our customer's culture and mission, and living up to our commitment of putting our customer first," Hogan added.

Wang Global is also currently providing operation and management support of PBGC's Participant Records Information System Management (PRISM) Automated Letter Generation System which produces up to two million notices per year to retirees and beneficiaries. This contract includes the provision of general information at various stages of the benefit process, benefit entitlement statements, annual newsletters, brochures, and requests for benefit information.

About PBGC

PBGC is a federal agency established under Title IV of the Employee Retirement Income Security Act of 1974 to protect the retirement income of individuals and their beneficiaries who are covered under private sector, defined benefit plans. PBGC's programs are intended to encourage the continuation and maintenance of voluntary private pension plans for the benefit of the plan recipient; ensure timely and uninterrupted pension benefit payments under Title IV-covered plans; and maintain insurance premiums at the lowest level consistent with the corporation's Title IV obligations. PBGC currently protects the pension benefits of more than 42 million participants in approximately 60,000 pension plans.

About Wang Global

Headquartered in Billerica, Massachusetts, Wang Global is a leading international networked technology services and solutions company providing a comprehensive range of information technology services for today's network-centric business environments. With annualized revenues in excess of $3.0 billion, Wang Global designs, installs, operates and maintains global computing and telecommunications networks for some of the world's largest multinational companies. Services include systems architecture design, installation, warranty, help desk, maintenance, software support, and management of enterprise networks to the desktop. Wang Global integration services provide business solutions primarily for the banking industry as well as defense and civilian government agencies. Wang Global employs more than 20,000 professionals and has subsidiaries and affiliates in over 40 countries. Wang Government Services is a subsidiary of Wang Global. Information about Wang Global and its services can be found on the World Wide Web at www.wang.com.

Wang Global is a trademark and Wang is a registered trademark of Wang Laboratories, Inc. Other product names and company names referenced are trademarks of their respective companies.

This press release contains forward-looking statements that involve a number of risks and uncertainties. Among the important factors that could cause actual results to differ materially from those indicated by such forward-looking statements are changes in the mix of the company's services business, competitive pressures, general economic conditions and the risk factors detailed in the company's periodic reports and registration statements filed with the Securities and Exchange Commission.