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Press Release

SUSTAINED FLIGHT — VANDYKE SOFTWARE REPEATS ON THE FLYING FORTY

Strategic Staff Changes and Emphasis on Communications Are Key Elements in Company's Success

Albuquerque, N.M. (January 29, 2002) — VanDyke Software, Inc. has been named to the list for the second consecutive year, capping an eventful twelve months. The New Mexico Flying 40 Technology list recognizes New Mexico's fastest growing technology companies.

"What a year 2001 has been for VanDyke Software," said Jeff P. Van Dyke, president of the company. "We started the year by making the Flying Forty list and since then we expanded our sales and marketing team, launched a new company identity and web site, landed on the Inc 500 in our first year of eligibility, and had record revenue in the fourth quarter."

Key elements in VanDyke's continued growth are an increased focus on regular, frequent communication with customers, a strategic redefinition of some existing employees' roles, and the addition of new staff to the sales and marketing team. The company regularly contacts its increasing base of enterprise customers and produces a multimedia communication program to support its network of international resellers. VanDyke now has 27 full time employees, two more than the same time last year. The additions to the sales and marketing staff have produced some dramatic results, especially in the current challenging economic climate.

"The numbers really tell the story," said Dan Rask, sales and marketing director at VanDyke Software. "When we compare the fourth quarter of 2000 with the same quarter in 2001, our enterprise sales increased by 192% and our reseller partners' sales increased 100%."

A steady stream of application enhancements and the company's first server product were released in 2001. The company has adopted an agile development discipline called Extreme Programming, which utilizes innovative techniques such as programming in pairs to produce better software in less time. Embracing new processes and fostering a company-wide commitment to learning are hallmarks of the VanDyke culture.

VanDyke Software is a worldwide leader in standards-based Internet communications software for Windows® clients and servers. The company develops quality data access and communications software for Internet and intranet use by corporations, government, and education. VanDyke sells and distributes its software over the Internet, offering 30-day evaluation of its products prior to purchase, and has more than 650,000 registered users in 103 countries. VanDyke products include the VShell™ server, SecureCRT® for remote access and data tunneling, SecureFX® for secure file transfer, the CRT terminal emulator for connecting to remote hosts, and AbsoluteFTP® for public file transfer.

For more information about VanDyke Software, visit the company's web site at www.vandyke.com.

Copyright ©2002 VanDyke Software, Inc. All Rights Reserved. VanDyke Software, VShell, SecureCRT, and SecureFX are trademarks or registered trademarks of VanDyke Software, Inc. All other products and services mentioned are trademarks or registered trademarks of their respective companies.