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Tuesday September 30 10:59 AM EDT

Company Press Release

Peerless Announces Strategic Alliances to Provide a Comprehensive Internet Solution for Use by Printers and Multifunction Devices


	   Remote Internet printing, "pull" printing, and Web-based printer
	   management features allow printers and multifunction devices to
	   utilize the power of World Wide Web

Peerless Systems Corp. (Nasdaq:PRLS), a leader in embedded imaging systems, Tuesday announced strategic alliances with HDE Inc. and Osicom/DPI to provide a comprehensive Internet solution designed to enable printers and multifunction devices to utilize the power of the World Wide Web.

The solution will include Web-based printer management capabilities, application-based remote printing over the Internet, and ``pull'' printing, a technology that enables printers to directly access and print the Web content with minimal user intervention. The modularity and extensibility of this solution will provide OEMs with the ability to integrate any or all of its components into their products.

The technology offers users and system administrators access to their printers and multifunction devices through a unique Web address and customized Web page for the device. Peerless expects the Internet solutions to be available to OEMs for integration into customer projects by early 1998.

``The competitive Internet marketplace is one of the foremost technology frontiers where Peerless can offer OEMs maximum product differentiation,'' said Tom Ruffolo, vice president of marketing at Peerless Systems. ``The World Wide Web provides the opportunity to expand network access to digital document devices beyond Local Area Networks, and Peerless' Internet printing solution will enable printers to be easily managed and accessed for remote printing regardless of where they are located.''

The remote Internet printing and ``pull'' printing technologies will be offered through the integration of HDE's redipS solution into the PeerlessPage Imaging Environment. Peerless is also expanding its PSIO (Peerless Standard Input Output) capabilities to provide enhanced Internet communication support between the network interface card and the imaging controller for Web-based printer management on Osicom/DPI's PSIO cards. The new Peerless PSIO capabilities will be available to other PSIO licensees and networking partners including Emulex Corp.

``We are extremely pleased to be expanding our relationship with Peerless to contribute to what we believe will become the new standard for network printing,'' said Gordon Hanson, HDE's president. ``We believe that Peerless' implementation answers the need for a seamless and easy to use Internet printing solution for both new and established network users.''

``Peerless' Internet printing solution is the culmination of our focused strategic partnership with Peerless,'' said Neil Peterson, Osicom/DPI OEM vice president. ``By bringing together networking, printing and Web technology, users now have expanded printing capabilities while still maintaining ease of use. Peerless' solution is a shining example of how users can leverage the Internet in daily business.''

By integrating Web server capabilities directly onto the product, the solution will enable system administrators to assign a unique Web address to each device for access and management from essentially any location in the enterprise. System administrators will be able to easily manage the device or determine its status (such as `tray open' or `out of toner') by using popular Web browsers, such as Netscape or Microsoft Explorer, without the need for proprietary software applications for each device.

The remote Internet printing feature will allow end users to access the device through its unique Web address and print documents directly from their driver. Its sophisticated underlying technology is easy to use and will be completely transparent to the user, who will be able to remotely print to the device in the same manner as a local network printer.

The remote Internet printing feature will include Java-based client components that are embedded within the printer as well as Java driver GUI applets which may be customized to OEM's requirements. The modular technology allows the full status and control of the printing process through the driver in real-time. Usage of Java-based driver components also will allow OEMs automatic driver updates with virtually no user intervention, providing easy to install and easy to maintain systems throughout the enterprise.

The ``pull'' printing capability leverages the modular Java-based technologies used in its remote Internet printing feature. It provides the intelligence to the device so that it can browse the World Wide Web and print the Web content using the URL of the Web site.

By offloading much of the computing cycles to a host server, ``pull'' printing will eliminate the need for incremental system resources, therefore allowing greater control over system costs. In addition, the use of host server running the Peerless Internet software will enable printing of any MIME encoded file type including HTML, PDF, Microsoft applications and other application files.

For full product differentiation, OEMs will be provided with template Java components, HTML files and Java driver GUI components for customization of the device's Web page with the OEM's unique look and feel and feature set.

OEMs will be able to creatively leverage the customization of the device's components to provide their customers direct links to a variety of their other Web locations for promoting related services and products, such as the OEM's Web page for online device documentation, ordering parts and consumables, related software services or new product announcements.

More on Peerless Systems Corporation

Peerless Systems Corp. is a leading provider of software-based embedded imaging systems to original equipment manufacturers of digital document products. Digital document products include printers, copiers, fax machines, scanners and emerging color products, as well as multifunction products that perform a combination of these imaging functions.

In order to process digital text and graphics, digital document products rely on a core set of imaging software and supporting electronics, collectively known as an embedded imaging system. The Peerless family of products and engineering services provide advanced embedded imaging technologies that enable the company's OEM customers to develop digital printers, copiers and multifunction products quickly and cost-effectively.

Peerless Systems Corp. is located at 2381 Rosecrans Ave., El Segundo, Calif. 90245. Main telephone: 310/536-0908; facsimile: 310/536-0058; Web site: .

More on HDE

With headquarters in Conington, Wash., HDE is an internationally recognized authority in the printer industry that provides a full range of software technology, hardware and market services specifically targeting OEMs. HDE serves a worldwide customer base of OEMs in Japan, Korea, Europe and North America. HDE's proprietary redipS driver technologies and Compact redipS Embedded Web Server (CrEWS) provide advanced Internet and intranet solutions for peripherals.

HDE supports all leading printer languages, including the porting of Adobe software for OEMs since 1992 and the new Adobe PS/3. As a developer of custom software for OEMs, HDE offers host drivers and applications for peripherals in addition to a broad range of embedded technologies. HDE is an Independent Authorized Developer for Phoenix Technologies PICO BIOS software for embedded systems.

Phoenix's PICO product line for information appliances, and the Virtual Chips product line complements HDE's developments in digital camera systems and interconnect standards including Universal Serial Bus, PC Cards/CardBus, PCI and other emerging interfaces. HDE services available cover the complete spectrum from consulting, technology licensing, host and embedded software development, to fully integrated designs. HDE Inc. corporate address is: 16613 SE 254 Place, Kent, Wash. 98042. Telephone: 253/859-8090; facsimile: 253/859-5972; Internet:

Osicom Technologies Inc.

Osicom is an innovative leader in wireless-enabled networking. The company allows businesses to connect through wire-line, fiber and wireless technologies, thereby expanding the reach of conventional networking. Osicom offers wireless-enabled solutions for LAN, WAN and broadband networks with products that include hubs, and switches, routers, remote access servers, network print servers, PC and workstation adapter cards, video switches and multiplexers.

Osicom markets and sells its products and services through a broad array of channels including worldwide distributors, Value-Added Resellers (VARs) and OEMs. The company has more than 1,000 employees worldwide and has headquarters in Santa Monica, Calif.

Information about Osicom's products and services is available by calling toll-free 888-OSICOM8. For additional company, product and financial information, visit the Osicom World Wide Web site, . For a demo of Osicom/PDI's latest Web-based management technology, see .

``Safe Harbor'' Statement under the Private Securities Litigation Reform Act of 1995: With the exception of historical information, the statements set forth above include forward-looking statements that involve risk and uncertainties. The company wishes to caution readers that a number of important factors could cause actual results to differ materially from those in the forward-looking statements. Those factors include the following: the fact that the company's markets are characterized by rapidly changing technology, evolving industry standards and frequent introductions of new products and enhancements, and the company's ability to respond to such changes; difficulties which the company may experience in completing the development of turnkey designs for OEM customers, its color technology or other products; the fact that the multifunction and color markets targeted by the company are at an early stage of development; the highly competitive nature of the markets for the company's products; the company's ability to attract and retain skilled personnel; the company's reliance on third party suppliers for components used in the company's products; the quarterly variability in the company's bookings and design wins; and the company's reliance on a relatively small number of OEM customers for a large percentage of its revenue. These and other factors which could cause actual results to differ materially from those in the forward-looking statements are also discussed in the company's filings with the Securities and Exchange Commission, including its recent filings on Form 10-K and Form 10-Q.

NOTE: Peerless, PeerlessPage and PSIO are trademarks of Peerless Systems Corporation. Adobe and PostScript are trademarks of Adobe Systems Incorporated. All other brand and product names are trademarks or registered trademarks of their respective owners.

CrEWS and redipS are trademarks of HDE Inc. Patents pending on the redipS technology.

   Peerless Systems Corp.
   Ave Jacinto, 310/297-3264
   Miller/Shandwick Technologies, Los Angeles
   Victoria Rierdan, 310/203-0550


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