Technology Leaders Join Forces

San Diego, California, March 4, 2001 - Enghouse Systems Limited [TSE: ESL] and ESRI, industry leaders in spatial asset management and geographic information system (GIS), today announced they are teaming up to deliver unparalleled solutions to utility and telecommunication organizations.

The focus of the agreement will see Enghouse build its next generation of WORKS applications on ArcGIS, ESRI's leading GIS product suite. Built using open standards and component technology, ArcGIS will serve as the foundation for new versions of Enghouse's enterprise applications such as PowerWORKS (OMS and APD) and TelcoWORKS.

"Together with Enghouse we are determined to provide the utility and telecommunication industries with the most cost-effective and diversified solutions," says Jack Dangermond, president of ESRI. "The best way to ensure success is by doing what ESRI does best providing market-leading GIS software and platforms to more industries than ever before. This enables our partners to build enhanced application solutions based on strong, reliable technology."

By combining Enghouse's strength in spatial asset/network management with ESRI's ArcGIS, both organizations are set to deliver industry-leading, open, scalable, and flexible architecture solutions. Together, they are committed to delivering "best-of-breed" solutions built on ESRI's GIS technology.

"This is a great opportunity for us to focus on our respective areas of strength: application functionality and underlying core GIS technology," says Andrew Nellestyn, president of Enghouse's Asset Management Division. "The result is a formidable and effective combination of leading technologies." The standard in the mapping and GIS industry, ArcGIS consists of ArcView 8.1, ArcEditor 8.1, and ArcInfo 8.1. The three products share the same user interface, applications, and development environment. Enghouse is a leading applications company, developing robust enterprise spatial asset management solutions for telecommunication and utility companies.

Enghouse Systems Limited is a diverse software and services company that has historically focused on GIS-based solutions for telecommunication and utility companies. Enghouse products provide spatial asset management solutions to hundreds of customers globally. Enghouse's WORKS suite of spatial asset management applications offers world-class robust supported solutions for telecommunication, cable, gas, electric, and other utility companies. Shares of Enghouse Systems Limited are traded under the symbol "ESL" on the Toronto Stock Exchange.

ESRI was founded in 1969 as a research group devoted to improving methods of handling geographically referenced data. Today, ESRI is the leading developer of GIS software, with more than 300,000 clients worldwide. ESRI also provides consulting, implementation, and technical support services. In addition to its headquarters in California, ESRI has regional offices throughout the United States, international distributors in more than 90 countries, and more than 1,050 resellers and developers. ESRI's goal is to provide users with comprehensive tools to help them quickly and efficiently manage and use geographic information to make a real difference in the world around them. ESRI can be found on the World Wide Web at www.esri.com.

ESRI, ArcView, and the ESRI globe logo are trademarks of ESRI, registered in the United States and certain other countries; registration is pending in the European Community. ArcInfo, ArcGIS, ArcEditor, and GIS by ESRI are trademarks and www.esri.com and @esri.com are service marks of ESRI. Other companies and products mentioned herein are trademarks or registered trademarks of their respective trademark owners.