Color Technology Inc. Chooses STiNG to Revolutionize Advertising Prepress Process.

ATLANTA--(BUSINESS WIRE)--July 13, 1998--

STiNG Fractal-Based Technology Speeds CTI's Time-to-Market,

Providing Flexibility and Clarity for Clients Including Nike, Adidas and Freightliner

Iterated Systems, the leading developer of next-generation digital imaging systems, today announced that Color Technology, Inc., a leading high-end prepress shop, has begun use of Iterated's STiNG(tm) digital prepress technology to speed the time-to-market in outputting its advertisements and displays. CTI will use a STiNG-based prepress process to output advertisements--everything from event-related in-store displays to product billboards--for leading international companies such as Nike, Adidas and Freightliner, providing near instant-output with significant increases in image quality and savings in cost.

"With CTI's use of STiNG for well-known multinational clients, it is an exciting time for Iterated Systems," said John Bacon, president and CEO of Iterated Systems. "Advertisements are only as powerful as their images, and their impact of these advertisements is significantly increased when the images are timely. Iterated is pleased to provide CTI with this technology to output images quickly and efficiently."

CTI uses STiNG to create a single, dynamic resolution, scalable image for both print and electronic delivery, with no loss of quality as the image is translated from medium to medium. This single graphic can be output by many different devices, such as laser printers, imagesetters, proofers and the Web, rendered at any number of resolutions, and delivered at a wide range of bandwidths. STiNG images allow CTI superior flexibility to create nonlinear workflows between content creation, editing, transmission, and viewing, providing greater efficiency and quality throughout the process--a vast improvement over the inflexibility of the traditional linear digital imaging workflow, which would require that a new image be scanned for each resolution.

For example, CTI can "STiNG" a 29 megabyte image down to 15 megabytes. This repurposeable image can be easily transmitted and rendered to 500 megabytes, creating a six-foot tall poster, all with no loss of quality from the original image. The same STiNG image can be blown up to billboard size, shrunk to postcard size or used over the World Wide Web. Files as large as one gigabyte can be "stung" down to 40-50 megabytes, where they can be transmitted much quicker and easier, then rendered infinitely, providing exceptional quality at each image size.

"STiNG provides CTI with a tremendous competitive advantage," said Russ Dodd, STiNG Product Manager, CTI. "STiNG allows us to take the leading edge in re-inventing our prepress processes. The flexibility of a single STiNG image allows CTI to maximize quality and turnaround while minimizing costs for clients like Nike, Adidas and Freightliner."

About Iterated Systems' STiNG

STiNG solves the prepress stalemate, where large image files create problems across all prepress workflow processes. Its numerous technology benefits include:

--Space-saving graphics with lossless encoding. A scanned file, when converted to the STiNG format, occupies half the space of similar graphic files yet can be reproduced losslessly.

--Resolution on Demand. STiNG allows the same image to be used throughout the prepress process, then output in any format--posters, brochures, catalogs and magazines, on CD-ROMs, Web pages--even billboards.

--Image Quality Assurance and Control. STiNG guarantees the quality of an image across all resolutions and bandwidths. When an image is prepared for output to be distributed in narrow bandwidth applications, no other technology assures the quality of the image generated will meet the high standards needed.

--Bandwidth scalability and conservation. STiNG makes it possible to transmit or deliver data with quality, subject to bandwidth limitations, by providing the maximum quality image at the modem speed or bandwidth available.

Iterated's digital imaging technology directly enhances the efficiency of the process advertisements undergo before final output. Images need be scanned and edited only once, because STiNG images have dynamic resolution. This saves a substantial amount of time for artists and production staff.

Iterated Systems has licensed the STiNG technology to Altamira Group, Inc., whose Genuine Fractals product (based on an earlier version of Iterated's fractal scaling technology) recently won a Macworld award.

About CTI

CTI, located in Portland, Oregon, is a leading prepress house that is responsible for the production of advertisements for many large corporations, including Nike, Microsoft, Coca Cola, and Miller Brewing.

About Iterated Systems

Iterated Systems, Inc., Atlanta, Ga., is the leading developer of powerful digital imaging technologies based on patented developments in advanced mathematics. For 11 years Iterated's unique advances have provided graphics users with the ability to create extremely detailed, re-usable images. Now, through its Imaging Systems Architecture(tm), Iterated provides users in the graphic arts, digital photography and video industries with unique, bandwidth-conserving, and often lossless imaging capabilities that improve customer satisfaction while making workflows faster and more efficient. For more information, contact Iterated Systems at [e-mail] or 404/264-8000.

Editor's Note: For further information on Iterated Systems, visit http://www.iterated.com. Visit Iterated Systems at Booth 4376, Seybold Seminars San Francisco/ Publishing `98, August 30-September 4, 1998 at the Moscone Convention Center.

Iterated Systems, Imaging Systems Architecture and STiNG are trademarks of Iterated Systems.

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