MERLIN Software Announces Signing with Largest Linux Distributor in India

ALTAMONTE SPRINGS, Fla. - (BUSINESS WIRE) - March 06, 2000 - MERLIN Software Technologies International, Inc. (the "Company"), a leading provider of Linux based software applications and utilities including PerfectBackUP+ and HotWire Fax, today announced continued aggressive expansion of their global distribution network with the signing of an agreement with India's largest Linux distributor, G.T. Enterprises.

As one of India's major importers of software, and the largest distributor of Linux in that country, this agreement with GT Enterprises provides MERLIN with a distribution channel to the growing number of Linux users in India. According to research by IDC (International Data Corporation) E-commerce and Internet growth in India has been explosive and has fueled a 49% growth rate in the PC server market.

MERLIN Software continues to gain rapid acceptance as a premium provider of Linux software for all Linux operating systems. MERLIN has now signed agreements for distribution of PerfectBackUP+ in North America, Europe and Asia. MERLIN has also entered into a partnership agreement with Caldera Systems Inc. for distribution of PerfectBackUP+ with Caldera's award winning OpenLinux line of products and formed a strategic alliance with Turbolinux Inc. In recent months Turbolinux has been the number one operating system platform in China, outselling the upgrade version of Microsoft's Windows 98 and 2000, according to China's largest software retail store.

PerfectBackUP+ 6.2 is the most economical, powerful, network backup and crash recovery tool available. It provides backup scheduling and remote backup, recovery, encryption, robotics module, enhanced security and many other features with both a graphical and character interface for all major versions of Linux, including Caldera's OpenLinux 2.3, eServer 2.3, Turbolinux 4.0 and 6.0, versions 6.0 and 6.1 from RedHat , SuSE 6.0/1/2/3, Debian 2.0, Mandrake 6.1, and the latest Linux 1.0 release from Corel.

The agreement with GT Enterprises provides a license to GT to market, demonstrate, distribute and sell MERLIN's PerfectBackUP+ (TM) Linux backup and crash recovery software to their chain of distributors, resellers and retailers throughout India.'

MERLIN Software Technologies International, Inc. (MERLIN Softech), is a software publishing company that provides Linux, UNIX, Windows and Mac users with unique Linux and UNIX based software that dramatically improves a system's reliability and speed. MERLIN Softech has offices in Altamonte Springs, Florida and Burnaby, British Columbia.

For more information, contact:

MERLIN Software Technologies Inc.
405 Douglas Avenue, Suite 1305
Altamonte Springs, Florida 32714

Toll Free: (888) 414-3311
Phone: (407) 774-2914, Fax: (604) 320-7277

or

Terry Jeffrey
MERLIN Software Technologies International, Inc.
Suite 200 & 201 - 4199 Lougheed Hwy.
Burnaby, B.C. V5G 3Y6.

Toll Free: (877) 988-7227
Web site: www.merlinsoftech.com

Statements in this news release which are not purely historical are forward-looking statements, including any statements regarding belief, plans, expectations or intentions regarding the future. Forward-looking statements in this news release include the expectation that GT Enterprises will distribute PerfectBackUP+ pursuant to the terms of the announced agreement. Unforeseen factors could cause results to differ materially from expectations, and include risks that marketing efforts may not result in sales, or that the agreement with GT Enterprises is not consummated as signed, among other potential risks.

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