[2] HNC Software Announces Management Transition.

SAN DIEGO--(BUSINESS WIRE)--Dec. 15, 1999--

HNC Software Inc. (Nasdaq:HNCS) announced today the retirement of long-time Chief Executive Officer, Robert L. North, and Chief Financial Officer, Raymond Thomas, as part of a planned management succession.

John Mutch, HNC's president and chief operating officer, will succeed North as the company's CEO effective Jan. 15, 2000. Kenneth Saunders, HNC's vice president and corporate controller, will be promoted to succeed Thomas as HNC's CFO, also effective in January 2000.

North joined HNC Software in March of 1987 and has served as its CEO over a twelve-year period during which he successfully led the company through its IPO and a series of strategic acquisitions in the retail, insurance and telecommunications markets to its current market position.

Today, HNC Software owns the leading worldwide market share in electronic credit card fraud detection, as well as a strong market presence in the predictive software market to optimize customer interactions in the financial, insurance and telecommunications industries. Recent strategic actions resulted in the IPO of Retek in the retail business-to-business market and the establishment of eHNC, an Internet commerce subsidiary, to focus on large e-commerce opportunities. North will continue to serve as Chairman of the HNC Board of Directors.

"John Mutch's appointment as CEO is the culmination of an internal succession plan that we have worked on for some time. John is a talented executive and will bring vision, creativity and energy to his new position," stated Robert North. Mutch began his career with Microsoft before joining HNC in 1997 as vice president of Marketing. He later served as president of HNC's Insurance Solutions Group and was recently appointed HNC's president and chief operating officer.

"I am excited to have the opportunity to springboard off the great work that both Bob North and Ray Thomas have done. HNC Software is well positioned to achieve strong market share gains in each of the core service industries it serves, and to launch innovative new lines of business through our eHNC subsidiary," said Mutch.

Ray Thomas has been HNC's CFO since 1995, when he joined the company to help launch its initial public offering. He previously served as Chief Financial Officer at Golden Systems Inc. and Vitesse Semiconductor. Following his retirement he will continue to serve as a consultant to HNC. Prior to joining HNC in 1996, Saunders was CFO of Risk Data Corp., a privately held venture company that HNC acquired in August 1996. He was appointed HNC's Corporate Treasurer in January 1997 and has served as the company's Corporate Controller since June 1998.

About HNC Software

Headquartered in San Diego, HNC Software Inc. (Nasdaq:HNCS) is a leading provider of predictive software solutions for the services industry, including financial, insurance, telecommunications and e-commerce.

HNC's suite of predictive software solutions can provide real-time insight into customer relationships based on transaction-level data, helping business-to-consumer companies manage their relationships with individual customers. By accurately predicting customer behaviors, these companies can create initiatives to mitigate risk and attrition; improve customer service; develop marketing programs to enhance profitability; and detect fraudulent customer transactions. For more information, visit HNC's Web site at http://www.hnc.com/ or contact Melinda Bateman, HNC Software Inc., 5935 Cornerstone Court West, San Diego, CA 92121, 619/799-3880. For the investor relations hotline, call 800/396-8052.