For Immediate Release
May 17, 2004

Khoral Announces Successful Acquisition of Khoros Pro Product Line by
Imaging Technology Leader AccuSoft Corporation

Khoros Pro Has Been Re-Branded VisiQuest(TM)
and Is Shipping Immediately From AccuSoft

Albuquerque, New Mexico, May 17, 2004

Khoral, Inc. is pleased to announce today the acquisition of the Khoros Pro product line by AccuSoft® Corporation, the leading provider of imaging technology. Used in commercial and government applications in addition to academic and research environments, Khoros Pro is a powerful scientific computing software package that enables complex data and image analysis for users of all skill levels, and offers a unique ability to handle five-dimensional data. The centerpiece of the product is a visual programming environment that allows users without any development experience to easily access and manipulate the 300+ functions within the product to solve problems in a wide variety of applications.

Enhanced to provide improved linear algebra support, the product has been re-branded VisiQuest and is shipping immediately through AccuSoft and its worldwide authorized resellers. Terms of the transaction were not disclosed.

The acquisition of the KhorosPro product line strengthens AccuSoft’s position as a leader in imaging technology and will enable the company to expand into additional markets and application areas by providing access to powerful image and data analysis tools to everyday users. In addition, the company expects to use the underlying technology as the basis for future new product introductions.

“KhorosPro has gained wide acceptance with major organizations such as General Dynamics, Raytheon and DuPont that require a powerful solution for scientific problem solving as well as an integrated, user extendable software development environment that supports users with varying degrees of expertise,” stated Tom Leone, president, AccuSoft Corporation. “By adding this industry-proven complementary offering to our product line, we are assured immediate entry into new growth markets while leveraging our nearly 20-year history in the imaging software market. We also see a tremendous opportunity to expand relationships with many of our existing government and commercial customers that are also Khoros Pro users.”

“Together, AccuSoft and Khoral share a common goal to extend the vision of information processing and analysis in an integrated development environment,” said John Salas, president, Khoral, Inc. “I am confident that based on AccuSoft’s expertise and reputation for excellence in the imaging marketplace that they will build on the success of the product and expand its capabilities to meet future customer needs.”

Future product introductions will combine the powerful VisiQuest visual programming environment with features and functionality from AccuSoft’s flagship product, ImageGear. Designed for professional solutions developers that need a comprehensive environment for the rapid development of high-level, complex imaging applications, ImageGear is an award-winning solution that provides a flexible, full-featured, and risk-free framework for cross-platform application development. ImageGear technology has been incorporated into thousands of applications, devices and solutions, making it the imaging toolkit of choice for professional developers and product OEMs around the world.

About AccuSoft
Since 1985, AccuSoft has been providing customers with the tools and technology they need to develop powerful imaging, image-enabled, and data analysis applications The company's technology is incorporated into thousands of applications used by over 50 million people worldwide, and by customers including GE Medical Systems, eBay, NextGen Healthcare, and Jasc Software. AccuSoft's comprehensive products and solutions continue to set benchmarks for quality and performance and have positioned the company as the undisputed leader in its field. For further information about AccuSoft, visit the company's Web site at http://www.accusoft.com.

About Khoral Research, Inc.

KRI designs, builds, deploys, services, and supports software applications that create a competitive advantage for its customers by scaling transparently from the desktop to the supercomputer across the Windows NT operating system and UNIX. KRI's productivity services and software tools have gained worldwide acceptance among major organizations such as Lockheed Martin, Los Alamos National Laboratory, 3M, Dupont, the French Atomic Commission, Hughes Missile Systems, and Raytheon/Texas Instruments. For more information, contact John M Salas at salas at khoral dot com or 505-268-2797. FAX: 505-268-7130. Detailed information is also available on the KRI web site, www.khoral.com.

AccuSoft, ImageGear and Khoros are registered trademarks and VisiQuest is a trademark of AccuSoft Corporation. Other company and product names mentioned herein may be trademarks or registered trademarks of their respective holders.