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No good news here. I don't know how long PUMA can hang on. The August announcement could do it.

Pumatech Streamlines Product Family, With Focus On Delivering Mobile Computing Solutions to the Enterprise

SAN JOSE, Calif., Jul 8, 2002 (BUSINESS WIRE) -- Pumatech, Inc. (PUMA), the leading provider of synchronization software for mobile workers, announced today that it is consolidating its software product lines, enabling the Company to focus on developing and selling mobile computing solutions geared to enterprise customers.

As a result, Pumatech will discontinue hosting its Mind-it(R), Browse-it(TM) and Sync-it(TM) services. The Company is in discussions with strategic partners to sell and support its Web-based synchronization software developed for carriers. In addition, Pumatech will close its business facility in Santa Cruz, Calif., and house nearly all of its U.S. employees in the Company's San Jose, Calif., headquarters location by the end of July 2002. The Company is also eliminating approximately 15 jobs across several business functions and redeploying certain employees to new positions within the Company.

Pumatech will now concentrate on delivering a powerful mobile-server platform to the enterprise, in addition to offering its award-winning Intellisync(R) desktop synchronization package. Pumatech's mobile server features the capabilities of its Intellisync, Enterprise Intellisync(TM) and Satellite Forms(R) software. The Company will continue to enhance these products to support the widest possible range of groupware and mobile-device platforms. Also featured will be extensive gateways to enterprise applications and communications platforms as well as centralized management of mobile applications and devices.

"Pumatech's strength has always been in the enterprise, where over 40 percent of the Fortune 1000 have standardized on our Intellisync synchronization technology," explained Pumatech President and CEO Woodson (Woody) Hobbs. "The market has evolved significantly over the past couple of years, however, and our refocused strategy is designed to enable us to successfully address these changing market dynamics. Our objective now is to apply all resources to building a single, highly functional and scalable mobile-server platform designed specifically for the enterprise."

"Refocusing our efforts and resources on the enterprise will enable Pumatech to leverage its strongest assets," said Kelly Hicks, Pumatech's CFO and vice president of operations. "At the same time, we will continue to weather today's challenging economic climate by aggressively managing our cost structure and aligning our expenses with current revenue levels."

Pumatech expects its facilities consolidation and workforce reduction to be completed by the end of the Company's fourth fiscal quarter (July 31, 2002). These actions are expected to result in one-time charges in its fourth quarter, and in ongoing operational savings beginning fiscal Q1 in amounts yet to be determined. In addition, Pumatech will explore strategic alternatives for its service-oriented intellectual property -- Sync-it, Mind-it and Browse-it -- including the possibility of licensing or selling it to third parties.

Pumatech's management expects to offer detail on its fiscal fourth quarter results, as well as its outlook for the remainder of the calendar year, during the Company's quarterly earnings conference call on August 29, 2002.

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