Softek Achieves Record Revenues for Sixth Consecutive Quarter With Growth in Data Mobility Solutions

Vienna, Virginia, October 24, 2005 – Softek™ Storage Solutions, the leader in non-disruptive data migration solutions, today announced it achieved record revenues during the second quarter of fiscal year 2006, ending September 30, 2005. It was the company’s sixth consecutive period of realizing record quarterly revenues, as well as the second consecutive quarter for realizing positive earnings before interest, taxes, depreciation and amortization (EBITDA).

Quarterly new license revenues increased 90 percent over the prior year period. Revenue growth was driven by the company’s data migration and data replication offerings, particularly in open systems products as the number of sales transactions increased 50 percent compared with the prior quarter. In addition, revenues from data recovery solutions for mainframe platforms doubled.

During the quarter, Softek announced two new products, bringing first-to-market data migration functionality to enterprise customers. In July, the company introduced a jointly developed software product with EMC, Logical Data Migration Facility (LDMF), the industry’s first data migration software that relocates data non-disruptively at the dataset-level on storage arrays operating within mainframe environments. LDMF is currently completing beta testing, with GA shipments planned in the next month.

In September, Softek announced UNIX support for the company’s Transparent Data Migration Facility (TDMF) product, with the unique ability to keep UNIX-based applications on-line during data migrations. TDMF UNIX is host-based data migration software that utilizes patent-pending technologies to dynamically ‘switchover’ the I/O of source volumes to target volumes during the data migration process. The new software is presently shipping to customers using the HP-UX operating system, with support for AIX and Solaris beginning next month.

“We are pleased with our continued growth this quarter, which again demonstrates that our strategy for enabling non-disruptive data movement in both open systems and mainframe environments is resonating well with our customers and partners,” said Steven Murphy, president and chief executive officer. “We are on pace to achieve our financial goals for the current fiscal year and are excited at the potential contributions from our recently introduced enterprise data migration products.”

About Softek
Softek provides non-disruptive data availability solutions that enable companies to see, move and recover data, regardless of server platform or storage vendor. The company offers a family of host-based enterprise data migration software, utilizing synchronous, asynchronous and point-in-time copy replication technologies, and covering UNIX, Windows and z/OS platforms.

Since 1996, Softek data migration, data replication and storage resource management solutions have helped more than 700 enterprise customers improve data availability while reducing the risk, cost and complexity associated with optimizing multi-vendor storage infrastructures.

Softek Storage Solutions Corporation is an independent software company based in Vienna, Virginia. Technology partners include EMC, Fujitsu, HP and IBM and StorageTek, in addition to VARs and distributors worldwide. For further information, visit www.softek.com.