BeadleNet Rolls Out New BeadlePower! Reseller Program; Launch is Celebrated with One-to-Show One-to-Go Promotion.

LAGUNA HILLS, Calif.--(BUSINESS WIRE)--Aug. 3, 1999--

BeadleNet L.L.C., a premier provider of secure Internet and networking solutions for the Small Office/Home Office (SOHO) and Small/Medium Business (SMB) markets, Tuesday launched the new BeadlePower! Reseller Program.

Based on a multi-level concept, the new channel program offers benefits based on sales of BeadleNet router/firewall products. Providing exclusive sales and marketing support services for resellers, the program is tailored to help ensure their success in the highly competitive SMB networking market.

BeadleNet will offer a One-to-Show, One-to-Go promotion for new BeadlePower! Resellers. The program and promotion are open to all resellers throughout North America. Partner applications can be obtained online at www.beadlenet.com/reselreg.htm or by contacting the BeadleNet sales department at 877/7-BEADLE (723-2353).

BeadleNet's Internet and networking solutions provide affordable Internet sharing and network security for small and medium size businesses. Supporting high-speed Internet access through Digital Subscriber Lines (xDSL)/Cable modems, and leased line/ISDN modem/routers, BeadleNet products enable all computers on the network to simultaneously access the Internet at speeds up to 100 times faster than standard analog modems. All BeadleNet products support multiple platforms including Windows 95/NT/2000, Macintosh and Unix-based systems.

BeadlePower! Program Goal

"BeadleNet's strategic goal is to sign distributor partners in order to support two-step distribution," said Chuck Gamer, president of BeadleNet. "We are currently selling direct and through resellers in an effort to satisfy immediate demand for BeadleNet products. We have taken careful consideration of the two step model in developing our pricing strategy, and we strongly believe that supporting the channel is important in building strong lasting relationships."

Supporting strong reseller partnerships, BeadleNet offers quality, easy-to-use Internet/networking solutions, increased profitability, specialized sales/marketing programs, useful sales/marketing collateral materials, sales/product education, and 24-hour technical support.

"At BeadleNet, we consider our partners an extension of our own sales organization," stated Gamer. "Their success is key to our success. As we work with BeadlePower! members to align our efforts and strategies, we can increase the quality and profitability of the solutions that BeadleNet resellers are able to provide."

BeadlePower Reseller Program Overview

Providing a wide range of flexible programs that are tailored to the specific needs of BeadlePower! Resellers. The BeadlePower! program includes:

Sales Support

-- One-to-Show One-to-Go: On initial orders receive one unit at

regular reseller discount and another at a 50 percent discount

-- Evaluation Units: Free 30-Day Evaluation & Product Seed

Programs

-- Lead Generation/Joint Sales Calls

-- Dedicated Reseller Sales Representatives

-- Sales Tools & Product Information

-- Open Credit on Minimum of $3,000 Order

-- Customer Satisfaction Guaranteed -- 30-day money-back

guarantee (45-day from dealer ship date)

Marketing Support

-- Marketing Development Fund Program

-- Marketing Tools -- Brochures, Photos, etc.

-- Incentive & Promotional Program

-- Web Site Posting & Hotlinks

-- Revenue Sharing 

-- Stocking resellers will receive revenue from Internet sales of

software upgrades

-- Access to Exclusive Partner Web Site

-- Authorized Reseller Plaque -- Recognizing special BeadlePower!

status

Technical Support

-- 24-hour/7-day Telephone Technical Support

-- Email, Fax and Phone Support

-- Technical Product Updates, Software Upgrade Opportunities

-- RMA Advanced Replacement/Spare Unit Program

BeadlePower! Reseller Promotion

In conjunction with the program rollout, BeadleNet will offer a One-to-Show One-to-Go promotion for new BeadlePower! Resellers. Registered resellers will receive one BeadleNet router/firewall unit of their choice at the regular reseller price, and a second unit at a 50 percent discount upon each initial order. This will provide resellers with a unit to demonstrate and one to sell immediately.

BeadleNet Router/Firewall Solutions

BeadleNet offers three router/firewall lines that are flexible and fit a variety of business and household needs. The SOHO2000 is ideal for small offices or home offices, can be easily placed on a desktop and is available in three versions including 4, 10 and 25-user support. The BIZ2000, built for small-to-mid-size offices, corporate workgroups, and satellite offices, offers two versions, 50 and unlimited user versions and provides all the same robust features as the SOHO2000 in a rack mountable casing.

The Home2000 is specialized for home offices and homes with more than one computer while offering flexible networking options in one unit. Supporting HomePNA (Home Phoneline Networking Association) standards for networking over regular telephone lines, home users need not rewire or worry about disrupting telephone services. Additional networking options include an Ethernet port and a USB (Universal Serial Bus) port to fit a variety of users' preferences.

Service & Support

BeadleNet's products include BeadleSoft software user interface features and additional options that are available upon purchase or through a feature-rich, online software upgrades catalog. The BeadleSoft software user interface automatically detects the existing features, capabilities and update status of each unit. Users are then offered customized recommendations on version upgrades, free maintenance upgrades or new features for purchase that are available for that specific unit. BeadleNet offers:

-- 2-Year limited manufacturer's warranty

-- Free maintenance upgrades for the life of the product

-- Free 90-day version upgrades

-- Free 90-day technical support through a 24/7 toll-free

technical support line

Pricing & Availability

The BeadleNet SOHO2000 and BIZ2000 Series are currently available through BeadleNet's reseller and direct mail partners throughout North America. The BeadleNet Home2000 will be available Sept. 1, 1999. Manufacturer's suggested retail prices are as follows:

-- SOHO2000 -- 4-user version: $399

-- SOHO2000 -- 10-user version w/configurable firewall: $655

-- SOHO2000 -- 25-user version w/configurable firewall: $850

-- BIZ2000 -- 50-user version w/configurable firewall: $895

-- BIZ2000 -- unlimited user version w/configurable

firewall: $1,250

-- Home2000 -- 4-user version: $250

-- Home2000 -- 16-user version: $399

About BeadleNet

BeadleNet is a premier provider of secure Internet and networking solutions that are designed to meet the changing technology needs of small and medium businesses and households with multiple computers. BeadleNet's mission is to provide affordable, effortless solutions that are high in quality, rich in features and backed by premium service and support.

Founded in Laguna Hills, BeadleNet is a subsidiary of Productivity Enhancement Products (PEP), a leading edge engineering firm with an impressive record of engineering ingenuity. PEP was honored as a winner of the 1998 Orange Coast Technology Fast 50, a ranking of the fastest growing technology companies in Orange and San Diego Counties which was sponsored by Deloitte & Touche.

Information on BeadleNet and its products can be obtained by calling toll-free 877/7-BEADLE (723-2353) or 949/348-4216; email at [e-mail]; or by visiting the company Web site at www.beadlenet.com.

BeadleNet and BeadleSoft are pending trademarks of BeadleNet L.L.C. All other products and company names mentioned herein are trademarks of their respective owners. Copyright (c)1999 BeadleNet. All Rights Reserved.