New Channel Manager Hired to Support Commercial Sales Growth; Focus on Supporting OEM and Reseller Partners with ZyLAB Paper Filing Solution

July 26, 2004 - McLean, VA - ZyLAB, an established market leader of document imaging and information retrieval software, today announced that it is experiencing a growth explosion as Federal agencies and commercial organizations seek out its affordable knowledge management solutions. During the past two years, the company has grown by almost 1,000 percent; fueled in large part by Federal government agency sales. To help focus on building up its commercial sales, ZyLAB also today announced that it has hired industry veteran Mike Holp as its new channel manager.

In addition to the remarkable growth, ZyLAB accomplishments during the past 12 months include: launched ZyIMAGE 5.0 and additional technology solutions, achieved the stringent Department of Defense (DoD) 5015.2 STD records management certification, selected as a finalist in the Government Computer News "Best New Technology" awards at FOSE 2004 for ZyIMAGE 5.0, and added new accounts with several intelligence agencies, Department of Commerce, Department of the Treasury's Tax and Trade Bureau (TTB), Ammons Scientific, R&F Metals, Montgomery County, Riggs Bank, ING Direct, DC Government Office of the Auditor, National Agricultural Library, Federal Air Marshal Service, TruSecure, and many more organizations.

Prior to establishing a presence in the Washington, D.C. metropolitan area last year, ZyLAB had a small office in Denver, Colorado. Seeing more and more requests by government agencies for its software, ZyLAB relocated its North American headquarters to McLean, Virginia. Today, the office has over 10 sales and support staff. Having established success in the Federal government sector and with the economy slowly rebounding, ZyLAB is now focused on driving the same success within the commercial market.

To support commercial sales, Mike Holp will focus his efforts on selling ZyLAB's Paper Filing solution via Original Equipment Manufacturers (OEM) and resellers such as IKON Office Solutions, Livenote, and Sharp. Instead of filing information in a traditional filing cabinet, organizations file everything electronically in the Paper Filing Server. The Server uses an advanced search engine making sure that users can retrieve all filed documents in seconds. Documents are viewed in their original format on a computer screen as if they are still on paper. In addition, the advanced "hit highlighting" enables users to see and identify key words. An average Paper Filing Server can store up to 3.000.000 pages and can be used by up to 1,000 users at the same time.

"We are very excited about the last 12-24 months and anticipate equal success moving forward," said Dr. Johannes Scholtes, president of ZyLAB North America LLC. "We believe our Federal business will continue to grow at a high rate now that we are embedded within almost every agency. At the same time, we are hiring industry veterans like Mike Holp to build out our commercial business with the goal of achieving a 50/50 balance in sales. We think we can do this in the next couple of years."

About ZyLAB
Founded in 1983, ZyLAB is the leading provider of document imaging and paper filing software that helps Global 2000 companies and governments digitally file and manage millions of pages of paper and electronic documents. ZyLAB's comprehensive investigative capabilities, with its high quality search and retrieval features supporting over 200 languages, gives users the ability to organize and easily share all information online.

With over 7,000 installations worldwide and over 300,000 users, ZyLAB has a wide breadth of experience and knowledge across a variety of different industries and business applications. Our clients include such US Government organizations as the FBI, Department of Homeland Security, Department of the Treasury, Department of Justice, SEC, Department of Agriculture, Department of Commerce, IRS, Nuclear Regulatory Commission, Department of Labor, State Department, Amtrak's OIG, Office of Personnel Management, Department of Defense and all branches of the US military, as well as such well known companies as the New York Stock Exchange, Pepsico, Riggs Bank, Anheuser-Busch, and Walt Disney. The company has offices located in McLean, Virginia, and in the U.K., Germany, Spain, France, the Netherlands, Singapore and Australia to provide local service to its global client base. For more information visit www.zylab.com - digital archiving

Media Contact:
Evan Weisel
Welz & Weisel Communications
P: 703-323-6006
evan@w2comm.com