IMSI and ValuSoft to Increase Distribution Ties in 2001; Software Developer and Republishing Partner Strengthen Commitment During the Launch of TurboCAD v7

Business Wire, Jan 23, 2001

Business Editors and High-Tech Writers

NOVATO, Calif.--(BUSINESS WIRE)--Jan. 23, 2001

IMSI(R), (OTCBB:IMSI), developer of design software including TurboCAD(R) and FloorPlan3D(R) and owner of ArtToday.com and Design.NET, Tuesday announced that it will increase its product offerings through republishing partner ValuSoft, during 2001.

In the first quarter of 2000, IMSI and ValuSoft signed an agreement that allowed ValuSoft to market and sell IMSI's products under the ValuSoft brand name into the retail channel. That partnership has proven to be a strong one throughout 2000 and IMSI and ValuSoft have just agreed upon an aggressive product release schedule for 2001.

"ValuSoft has done a tremendous job getting our products placed with key retailers such as CompUSA, Best Buy, Office Depot, Target and other leaders in the software retail market," said Geoffrey Koblick, founder and CEO of IMSI. "We look forward to increasing the product offerings for ValuSoft and the subsequent rise in sales for the year ahead."

"ValuSoft has experienced tremendous growth in the last year," said Jeremy Goldberger, vice president of worldwide sales at ValuSoft.

"Our revenue contribution in the consumer software industry has increased 175 percent from April to November 2000 and we are pleased to have the IMSI product line contributing to this success. Retailers enjoy the IMSI product line because it sells at all times throughout the year. IMSI contributed 20 percent to our revenue last year and we expect the same kind of success in 2001."

ValuSoft currently distributes IMSI TurboCAD v6.5, TurboCAD Professional v6.5, TurboCAD Designer v6.5, Ultimate FloorPlan Design Suite v6.0, Flow!, TurboProject Deluxe, Microcookbook, Print Workshop Deluxe, Print Workshop Premium, Ultimate Dreamhouse 3D and Ultimate FloorPlan Plus.

IMSI and ValuSoft are launching both the TurboCAD v7 Standard and Professional version into the retail channel this month, as well as the Designer version later this quarter. "This release of TurboCAD v7 is the product we have been building up to for the past 15 years," said Robert Berry, IMSI director of CAD.

"Never before have we packed so many features, updates and training guides into one package. There are over 75 improvements in the latest version."

In addition to launching TurboCAD v7 in the first quarter of 2001, IMSI and ValuSoft plan to release the newest version of IMSI's award-winning 3D design software, FloorPlan3D Design Suite v6, in the spring of 2001.

IMSI and ValuSoft are scheduled to introduce a number of additional new products in 2001 geared towards the multimedia and desktop publishing arena. The new products include the TurboCAD v7 series, HiJaak Deluxe, OrgChart Maker and a new release of TurboProject.

"Having ValuSoft focus on the retail channel has allowed IMSI the opportunity to focus its efforts in other channels such as e-direct marketing and the corporate, government and education sectors," said Kathleen Mountanos, vice president of sales at IMSI.

"It's one of the best decisions we made in 2000 and we look forward to even greater success in the upcoming year. We're dedicated to supplying ValuSoft with a strong product line for the retail channel."

About ValuSoft

ValuSoft specializes in bringing value-priced, exciting consumer software to the marketplace. ValuSoft titles are available at most mass merchants including: Wal-Mart, Target, K-Mart, Office Depot, Office Max, Best Buy, Babbage's, CompUSA and other fine stores. Visit ValuSoft online at: www.valusoft.com.

About IMSI

IMSI owns and operates three business divisions: Design Software, ArtToday.com and Design.NET. The company's Design software division is based on award-winning TurboCAD computer aided design software (winner of PC Direct Editor's Choice -- see TurboCAD.com) and FloorPlan3D home design software (winner of PC Magazine Editor's Choice -- see FloorPlan.com).

The company has sold more than two million units of these software products to date and has invested 15 years in the development of this technology. ArtToday.com is a wholly owned subsidiary of IMSI and offers 1 million images, photos, fonts and other digital content over the Internet. Design.NET's charter is to offer home design online with 3D viewing and editing. Visit IMSI at: www.imsisoft.com.

Safe Harbor Statement

This announcement contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Actual results could differ materially from those projected in the forward-looking statements as a result of various factors including the ability of the company to successfully commercialize its new technologies as well as risk factors set forth under "Factors Affecting Future Operating Results" in the company's annual report on Form 10-K and such other risks detailed from time to time in the company's reports filed with the Securities and Exchange Commission. The company undertakes no obligation to publicly release the result of any revisions to these forward-looking statements, which may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.