Citadel Awarded GSA Contract.

DALLAS--(BUSINESS WIRE)--Nov. 16, 1998--

Plans to Expand Marketing Efforts to Government Agencies

Citadel Technology, Inc. (OTCBB: CITN) announced today at COMDEX that it has been awarded a contract by the General Services Administration, GS-35F-5907H, establishing a channel on the GSA Schedule through which Citadel products can be obtained by requesting agencies of the U.S. government.

"This is an important step for Citadel and an ideal way for us to sell our products across a broad array of agencies," said Steve Solomon, President and CEO of Citadel. "We are currently launching a marketing campaign to increase the awareness and availability of Citadel's products to federal, state and local governments. Long term we expect these agencies to be a significant part of our revenues."

Citadel Technology Inc. is a developer and marketer of computer software products including security and management utilities for networks and personal computers. The Company's products are designed to secure and manage personal computers (PCs) and local area networks (LANs) and enable network administrators to more efficiently manage the networks. Company products are designed to reduce client costs, improve the accuracy of clients' information, maintain the operation of the network, secure the network from fraud or unauthorized use, and generally enable the administrator to devote more time to improving service to the network rather than focusing on operational details.

For more information on Citadel Technology products, visit the Company's homepage at http://www.citadel.com. For information on purchasing products, contact the Company directly by writing or calling: Citadel Technology, 3811 Turtle Creek Blvd., Suite 600, Dallas, Texas 75219; phone: [phone]; fax: [phone].

The above statements are not strictly historical facts and include forward-looking statements that involve a number of risks and uncertainties. The actual results of the future events described in such forward-looking statements could differ materially as a result of, among other things, the following: integration of acquired technology and companies, transition of selling and distribution methods, purchasing patterns of government and federal and state agencies, the availability of capital on terms acceptable to the Company, general economic conditions, competition, the market for the network software products, software development costs and possible future litigation, as well as the risks and uncertainties discussed in the Company's public reports and filings and public statements.