Class Action Lawsuit Filed by Berger & Montague, P.C. On Behalf of Investors Datastream Systems Inc. Alleges Improperly Manipulated Reported Earnings by Utilizing Improper Accounting Methods.

PHILADELPHIA--(BUSINESS WIRE)--Jan. 22, 1999--Berger & Montague, P.C. announced Datastream Systems Inc. (NASDAQ:DSTM) and certain of its officers and directors engaged in securities fraud, according to a class action complaint filed in the United States District Court for the District of South Carolina, Greenville Division, on Jan. 11, 1999, on behalf of all persons who purchased Datastream common stock between April 1 and Oct. 20, 1998 (the "Class Period").

Neely v. Datastream, D.S.C., No. 699-008813.

The Complaint alleges that defendants improperly inflated earnings from operations by utilizing accounting treatments not in conformity with generally accepted accounting practices. Specifically, the Complaint alleges that defendants (1) improperly accounted for operating expenses as one-time charges connected to acquisitions; and (2) beginning in the second quarter of 1998, capitalized marketing expenses that had previously been expenses without disclosing a material change in its accounting practices.

The Complaint further alleges that defendants' misleading positive statements artificially inflated the price of Datastream's common stock during the Class Period.

On Oct. 20, 1998, Datastream surprised investors by issuing a press release announcing disappointing earnings for the third quarter of 1998. The market reacted sharply to the announcement with Datastream stock falling $4-1/8 or 29%, to $10 per share. Datastream common stock had traded above $20 per share for much of the Class Period.

Plaintiffs seek to recover damages suffered by Class members and are represented by law firms listed below, each of which has extensive experience in representing plaintiffs in class action securities litigation.

This notice to class members is being made pursuant to applicable law. If you purchased Datastream (NASDAQ:DSTM) common stock during the Class Period, you may wish to join the action. You may move the court to serve as a lead plaintiff on or before 60 days from Jan. 11, 1999.

If you are a member of the Class described above or purchased Datastream common stock during the Class Period and would like a copy of the Complaint, or have any questions concerning this notice or your rights with respect to this matter, you may contact:

Todd S. Collins, Esq. Kurt Olsen, Esq. Arthur Stock, Esq. THE OLSEN LAW FIRM BERGER & MONTAGUE, P.C.

2121 K Street, N.W. 1622 Locust Street Suite 800 Philadelphia, PA 19103 Washington, DC 20037 888/891-2289 or 215/875-3000 202/261-3553 Fax: [phone]

Fax: [phone] E-Mail: [e-mail]

Terry E. Richardson, Jr., Esq. William Cook, Esq. NESS MOTLEY LOADHOLT RICHARDSON & POOLE 2202 Jackson Street P.O. Box 365 Barnwell, SC 29812 803/259-9900 Fax: [phone] E-mail: [e-mail]