Corel to license FLOW! and TurboProject source code from IMSI to round out productivity offerings for Linux and Windows.

Business Editors

NOVATO, Ca. & OTTAWA--(BUSINESS WIRE)--March 27, 2000

--Corel Corporation (NASDAQ: CORL)(TSE: COR.) today announced it has entered into a non-exclusive worldwide licensing agreement with IMSI(r) (OTCBB:IMSIE), a productivity software and Internet company, which entitles Corel to license the source code for two productivity applications: FLOW!(r), a flow chart and diagraming package which allows users to convey complex business concepts in an easy-to-understand graphical format, and TurboProject(r), a project management program which offers maximum flexibility when planning and tracking projects.

"This agreement is a strategic move on Corel's part to round out our productivity suites on both the Linux and Windows platforms," said Dr. Michael Cowpland, president and chief executive officer of Corel Corporation. "It illustrates Corel's commitment to cross-compatibility and fulfills our promise to provide world-class applications for Linux. We plan to be the first to deliver leading-edge technology in this category on the Linux platform."

Under the terms of the agreement, Corel will obtain the source code for all versions of FLOW! and TurboProject. The licence permits Corel to market these applications as a part of any current Corel application or integrate the technology into future office or graphics suites on any platform. The products are currently offered on the Windows platform but Corel plans to aggressively develop them for Linux(r). Corel will retain ownership to all future versions of the software developed using these source codes. As part of the deal, Corel division GraphicCorp(tm) will license content to IMSI for its online offerings.

FLOW! is a powerful flow chart and diagraming application targeted for professionals in organizations of any size. FLOW! will help organize and convey abstract concepts and complex business plans through easy-to-understand flow charts and diagrams. With the robust drawing tool set and dynamic layout features, businesses will be able to strengthen their communications strategies.

TurboProject is a flexible project management application which targets the needs of anyone planning a project, from the small business and home office user to department managers or administrators. Future versions of this technology will allow for the roundtripping of Microsoft Project files.

Both applications are currently available on the Windows 95, Windows 98 , Windows NT platforms and soon on Linux.

"With Corel's proven commitment to Microsoft compatibility, we will offer enhanced functionality to both these applications, most notably with respect to roundtripping between Linux and Windows," said Derek Burney, chief technology officer of Corel Corporation.

"IMSI is excited to be working in partnership with Corel," said Geoff Koblick, president of IMSI. "We have worked together for many years on software products and technology, and look forward to continuing to build this relationship for the future. This agreement will enhance both of our companies' strategic plans moving forward, especially Corel's commitment and ability to provide best-of-breed technology for Linux. The licensing rights that we are obtaining back from Corel will significantly enhance our ArtToday.com business."

In 1997, Corel sold several graphics and consumer products to IMSI, including CorelFLOW(tm), in order to leverage the core competencies of both companies at the time. Corel plans to start delivering this technology to market as a Corel-branded product in the second half of 2000.

Corel Corporation

Corel Corporation is an internationally recognized developer of award-winning business productivity, graphics and operating system solutions on the Windows(r), Linux(r), UNIX(r), Macintosh(r) and Java(tm) platforms. Corel also develops market-leading, Web-based solutions including applications, contents, e-commerce and online services. For access to these services and more information go to www.corel.com or www.corelcity.com. Corel is headquartered in Ottawa, Canada. Corel's common stock trades on the NASDAQ Stock Market(sm) under the symbol CORL and on the Toronto Stock Exchange under the symbol COR.

About IMSI

IMSI owns and operates two Internet businesses - ArtToday.com and HomeDesignToday.com. ArtToday.com, is a wholly owned subsidiary of IMSI and offers 1 million images, photos, fonts and other digital content over the Internet. It has 1.4 million members and 150,000 paying subscribers, and is the 350th most visited Web site in the world according to PC Data Online.

The company's HomeDesignToday.com division (see TurboCAD.com and FloorPlan.com) is based on the company's award-winning TurboCAD (PC Direct Editor's Choice) and FloorPLan3D (PC Magazine Editor's Choice) home design software. The company has sold over 2 million units of these software products to date and has invested 15 years in development in this technology. HomeDesignToday.com's charter is to offer home design on-line with 3D viewing and editing.

This press release contains statements that are forward looking as that term is defined by the United States Private Securities Litigation Reform Act of 1995. These statements are based on current expectations that are subject to risks and uncertainties. Actual results will differ due to factors such as shifts in customer demand, product shipment schedules, product mix, competitive products and pricing, technological shifts and other variables. Readers are referred to Corel's most recent reports filed with the Securities and Exchange Commission.

Corel, CorelFLOW, GraphicCorp and the Go further logo are trademarks or registered trademarks of Corel Corporation or Corel Corporation Limited. FLOW! and TurboProject are registered trademarks of IMSI. IMSI is a registered trademark of International Microcomputer Software, Inc. Linux is a registered trademark of Linus Torvalds. Microsoft Windows and Windows NT are registered trademarks of Microsoft Corporation. All other products, fonts, company names and logos are trademarks or registered trademarks of their respective owners.