June 26, 1998.

KYE SYSTEMS BOUGHT FROM ABBYY AN OPEN LICENSE FOR FINE READER LIGHT

As a result of David YangÆs business trip to the KYE Systems Corp. office in Taipei (Taiwan) in 1996, the OEM-contract was signed in 1998.

ABBYY declares about the signing of the contract with Taiwan KYE Systems Corp. company on buying an open license to bundle FineReader 3.0 Light with all Genius scanners, delivered in Russia and other countries of the former CIS.

KYE Systems Corp. is a world famous producer of periphery devices, sold under Genius trademark. Up to the present moment ABBYY had an OEM-agreement with KYE Systems Corp. official distributors in Russia û ELST and CITILINK companies, who distributed FineReader with Genius at their own expense. From now on CDs with FineReader will be edited in China, and bundled with scanners produced at Taiwan and China plants. Technical support for FineReader users will be given by ABBYY.

ABBYY production was chosen not by chance. Generally recognized in the world market (during 5 months the program got the Editors choice from PC Shopping magazine (Germany), ZD Internet Magazine (USA) and Personal Computer Word magazine (England), the 1998 Win 100 award from Windows Magazine (USA)) FineReader allows to get high recognition quality, is simple in installation and in work, and has a friendly interface.

This contract can be considered a sign of increase of Russian market share in the world companies turnover. The increase of the number of Genius peripheral devices sold in Russia was obvious, and that is why investing money and creating a special delivery for Russia, KYE Systems Corp. hopes to improve its positions in this country.

The contract came into effect on June 10, 1998. From that time on, KYE Systems Corp. offers to their Russian distributors Genius scanners bundled with FineReader 3.0 Light.

David Yang, president of ABBYY, says: "We are glad that computer brands pay more and more attention to Russian market and Russian production. Integration into world computer industry is of mutual profit both to Russian and foreign companies."

Further information:
Information Service, ABBYY:
+7 095 263 6658, +7 095 263 6659, fax +7 095 263 6278

ABBYY specializes in development of software for linguistics, semantics, electronic lexicography, and optical character recognition. The results of a company survey by Dator agency since 1995 placed ABBYY among the three most professional software development firms in Russia, and in 1997 ABBYY the first system and applied software in Russia.

ABBYYÆs products include: the FINE READER line of OCR/ICR/OMR software that allows the automatic input of texts, tables, forms into computer, FINE READER TOOLKIT that allows developers to integrate OCR into their solutions; LINGVO CORRECTOR 11 language spell checker; LINGVO - English-Russian/Russian-English electronic dictionaries; LINGVO MORPHOLOGY and LINGVO FULLTEXT RETRIEVAL - 7 language full-text and fuzzy retrieval system, index and search system LINGVO INTERNET INDEX SERVER, etc.

Trademark References: ABBYY, BIT Software, Lingvo, FineReader, Scan&Read, Scan&Translate are registered trademarks and DOCFLOW, Try&Buy are trademarks of ABBYY - BIT Software. Other trademarks are the property of their respective owners.