Press Release

F/X Communications joins forces with Vertical Industry Technology Ltd.

Holbaek, July 7, 2000 - F/X Communications signed today a non-exclusive reseller and distribution agreement with Canadian based Vertical Industry Technology Ltd (VIT).

Vertical Industry Technology will via its North American sales alliance with channel vendors such as Cisco, Intel and HP offer businesses a comprehensive solution for developing and deploying interoperable and multi-platform IPSec based VPN solutions.

Under the terms of the partnership, the two companies will offer solutions that will focus on bringing VPN integration and support to businesses that rely on OS/2 as part of their network topology.

"By working with F/X Communications, we are able to fully service those of our customers that require VPN interoperability with OS/2 based clients. With the easy deployment, proven interoperability and the robustness offered by the InJoy products, we are able to target the customers in our traditional business segment", said John Tat, CEO and co-founder of VIT.

F/X Communications' VPN products

F/X Communications' VPN products offers a wide range of features for OS/2 VPN integration, including interoperability and authentication with other major vendors on the market.

For the SoHo to the largest businesses, the InJoy product line allows for deployment of VPN's over almost any network media and within almost any network topology. The InJoy products can serve as both VPN gateway or a VPN client.

The unique and recently added Nortel Contivity Extranet Switch (CES) interoperability offers an opportunity for large businesses to easily include OS/2 clients in the corporate VPN.

About Vertical Industry Technology, Ltd.

VIT focuses on all aspects of Strategic Technology Review, Planning and Deployment. We offer the expertise necessary to evaluate our clients' business goals and determine those that are achievable through innovative technology. We assist our clients with defining their technology priorities, then planning and managing their deployments.

We are versatile and quick to respond to all vertical industry company needs, especially in the area of Internet security. VIT develops leading edge cost effective enterprise solutions through innovative network topologies and custom applications.

VIT works with a number of prominent businesses, including Royal Bank Dominion Securities, MDS Laboratory, McMaster, Afton Food Group, GCI Group, Bell Canada, Ministry of Health, CIBC, and ManuLife.

About F/X Communications

F/X Communications is a leading global software producer specializing in advanced connectivity, gateway and security (incl. VPN) solutions, mainly for the OS/2 Operating System.

The company has been providing connectivity solutions for the OS/2 market since 1994, and has completed installations at a number of large companies, including Mitsubishi Motor Sales of America, The Saskatchewan Wheat Pool, Medtronic, CRS of Texas, Bell Canada, Chesterton and the Principal Financial Group.

In the SOHO and consumer market, F/X has enjoyed a strong reputation of delivering well designed and robust products that have been highly awarded and enjoying brisk sales, worldwide.

F/X is a privately held company headquartered in Holbaek, Denmark with further European presence through partner offices in Holland and Germany.