Xandros and Paragon Software Shatter Last File Barrier Within a Multi-Platform Framework

Market Wire, June, 2006

Xandros, the leading provider of easy-to-use Linux alternatives to Windows desktop and server products, and Paragon Software Group, the leading provider of innovative software solutions in storage management and data safety, today announced that Paragon's "NTFS for Linux" is shipping with the upcoming Xandros desktop release. The technology shatters the last barrier to transparent file sharing within a multi-platform framework. Xandros users will now be able to edit and save their music, photos and documents to shared folders on any Windows or Mac PC.

"Xandros users could always view files on Windows machines and copy them to Xandros, and with the integrated Paragon file system technology, they can now edit and save to Windows as well in a completely transparent fashion," said Andreas Typaldos, Xandros CEO. "This makes Xandros the first Linux distribution to allow true coexistence between the Windows and Linux, which is huge in practical terms when you're collaborating in a typical mixed environment. For example, a user can upgrade a PC from Windows XP to Xandros instead of the expensive Vista and continue to read and write files on the existing Windows partition as before."

"Xandros has always been the leader in providing seamless compatibility between Windows and Linux, and we are delighted to contribute to the first desktop solution bridging the file gap between the two systems," said Konstantin Komarov, CEO of Paragon Software Group. "We are especially pleased to see our technology being put to use in the home computer space, where many households are experimenting with Linux on their second or third machine."

Features, pricing, and availability of the new line of Xandros Desktops, designed to enhance the consumer's digital life, will be announced shortly. The Paragon "NTFS for Linux" facility will be included with the fully featured version of the new Xandros Desktop and will be available for other editions through the Xandros Networks update service and store. For future product and purchase details, please visit www.xandros.com .

About Paragon Software Group

Paragon Software Group (PSG) is a German based company founded in 1994, with offices in USA, Germany, and Russia. Paragon Software Group is also active in Asian markets. PSG's products and services include System Technology (storage management and data safety), Smart Handheld Devices (dictionaries, games, utilities and handwriting recognition for SHD), Epocware (software for Symbian platform), Intelware (internet related software development). For additional information please contact us at www.paragon-software.com.

About Xandros

Founded in 2001 with headquarters in New York, offices in Frankfurt and Mumbai, and research and development facilities in Ottawa, Xandros, Inc. is the leading provider of easy-to-use Linux alternatives to Windows. Its Debian-based products range from standalone consumer desktops to end-to-end enterprise desktop, server, and management solutions featuring workflow automation and centralized, remote administration. Xandros pioneered low cost, graphical operating systems that leverage existing skill sets and provide seamless compatibility with Microsoft Windows programs and networks. For more information, please visit www.xandros.com .

Xandros® is a registered trademark of Xandros, Inc. All other trademarks and/or registered trademarks are the property of their respective owners.

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