BTG Signs Asset Purchase Agreement With SSDS, Inc.

Business Editors/High Tech Writers

FAIRFAX, Va.--(BUSINESS WIRE)--Feb. 28, 2000

BTG, Inc. (Nasdaq: BTGI), an information systems and technical services company, announced that it has signed an agreement with SSDS, Inc. of Colorado, to purchase all of the assets of their enterprise network solutions division (SSDS). Under the terms of the agreement, BTG will pay approximately $14 million in cash for the net assets of the division. The transaction, which is subject to certain approvals, is expected to be completed in early April.

The SSDS division, headquartered in Fairfax, Virginia, reported $31 million in revenue for its fiscal year ending December 31, 1999. The division has 163 employees who provide client-server and web-based network security, enterprise management, and custom software solutions to government and commercial organizations.

BTG, which reported $316 million in revenue for its fiscal year ending March 31, 1999, has 1,400 employees nationwide providing information systems and technical services to government and commercial clients. The company's special practice areas include information assurance, e-business, enterprise support services, and technologies in schools.

BTG's President and CEO, Dr. Edward H. Bersoff, said the purchase will expand BTG's technical and engineering capabilities. "We are very pleased that SSDS' skilled engineers and developers will be joining BTG. Their talents fit very well with our people's capabilities and our cultures are very similar."

Hal Smith, the President and COO of the SSDS division, said the company is very pleased with the opportunity to join with BTG. "Our objective was to ally with a company that can leverage our market position, technical excellence and strong client relationships. BTG is acquiring a business with strong margin contribution, market leadership with key intelligence and Special Operations clients, strategic commercial accounts, and an outstanding team of management and technical professionals."

BTG's Chief Operating Officer, Paul Leslie, outlined the ways in which the purchase expands BTG's core capabilities and leading-edge practice areas:

-- SSDS' network security expertise adds depth to BTG's information assurance services, which include vulnerability identification, infrastructure security assessments, and the design and implementation of information and infrastructure security solutions.

-- The companies' combined experience in technologies in schools will expand BTG's national practice, which offers complete information technology solutions to local school districts.

-- Both BTG and SSDS are Microsoft Solutions Providers and Partners; SSDS is one of the companies participating in Microsoft's Windows 2000 Rapid Deployment Program. SSDS is also a systems integration partner of Remedy Corporation, an industry leader in enterprise applications for government and private business. SSDS has a large number of Remedy Authorized Consultants (RACs) who provide consulting, customization and integration for Remedy-based solutions.

Leslie said the purchase of SSDS supports BTG's growth strategy: "We are expanding the range of services and repeatable solutions we offer to customers. As their needs evolve, we are developing and adapting the technologies they need to keep pace with their competitors. At the same time, we are reaching into new markets, giving additional clients access to our experienced professionals."

Information about BTG is available on the web at http://www.btg.com, by e-mail at [e-mail], or by calling 703-383-8140.

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: The statements contained in this release which are not historical facts are forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those set forth in or implied by forward-looking statements. These risks and uncertainties are described in the Company's Securities and Exchange Commission filings.