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SMARTS Selected By Inc. Magazine as the Year's Fastest Growing Privately Held Network Management Software Company

Corporate and Product Strategy Yields Rapid Return

White Plains, New York - October 18th, 1999
System Management ARTS (SMARTS®), today announced that it has been named the fastest growing network management software company on the 1999 Inc. 500, an exclusive listing of the fastest growing privately held companies in the country.

In the last two years, SMARTS has evolved from a research-oriented company to a provider of network management software that automates problem diagnosis for complex networks. The SMARTS InCharge product line proactively identifies root cause problems within the network, enabling repairs before business critical operations are affected. The benefits of InCharge's automated problem diagnosis include higher business service availability, due to a dramatic increase in problem resolution speed.

Since releasing InCharge in 1997, SMARTS has emerged as the proven leader for real-time network analysis software. SMARTS Global 1000 customer base includes prestigious organizations including: AT&T, Andersen Consulting, Bear Stearns, EDS, Federal Express, Fidelity, Goldman Sachs, IBM Global Services, Marriott, MCI/Worldcom, Sprint, Viacom, and Weyerhauser.

"Being named to the Inc. 500 is further validation of our corporate goal -- providing software solutions that enable organizations to meet their business objectives via highly reliable networks," said SMARTS President Dr. Shaula Alexander Yemini. "We are pleased that the growth and success of SMARTS has yielded this prestigious honor from Inc. Magazine."

SMARTS, which was ranked first among network management software companies and number 472 overall, joins such prestigious Inc. 500 alumni as Microsoft, Compuware, SAS Institute, and Cabletron. The Inc 500 issue highlighting the fastest growing companies will be available on newsstands on October 19 and will be accessible online at http://www.inc.com by November 1.

About SMARTS
System Management ARTS (SMARTS) is the leading provider of real-time network analysis software to maximize business performance. The company's out-of-the box, maintenance free, InCharge applications leverage patented Codebook Correlation Technology to substantially improve network availability and performance while dramatically reducing operational expenses. InCharge applications proactively diagnose, determine the impact of, and resolve network problems based on their business impact. For more information, call 1-877-2-SMARTS.


For Information Contact:

Robin Lutchansky/Jessica Johannes
Lutchansky Communications
+1.408.938.9050
jessica@lcomm.com

Chris Sheik
System Management ARTS Inc.
14 Mamaroneck Avenue
White Plains, NY 10601
+1.914.948.6200
sheik@smarts.com

SMARTS and InCharge are trademarks of System Management ARTS Incorporated. The InCharge products mentioned in this document are covered by pending applications and one or more of the following U.S. patents: 5,528,516 and 5,661,668. All other company and product names may be trademarks of the respective companies with which they are associated.
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