Datawatch Announces OEM Partnership With Cypress Corporation; Cypress to Incorporate Monarch Report Mining Technology Into Its Document and Content Delivery Architecture.

Business/Technology Editors

LOWELL, Mass. & ROCHESTER HILLS, Mich.--(BUSINESS WIRE)--Aug. 14, 2001

Datawatch Corporation (NASDAQ: DWCH), a leading provider of business intelligence/ enter-prise reporting, data transformation and support center solutions, announced today it has signed a global OEM agreement with Cypress Corporation, a leading provider of document and content delivery solutions. As the first official partner in Datawatch's new Monarch server technology OEM program, Cypress will champion the movement to fully automate, and reduce the costs and user intervention associated with mining data in business-critical documents by integrating Monarch server-based technology into the Cypress architecture.

"Our relationship with Datawatch enables us to offer customers a 'light's out' data mining environment where users instantly receive selected information at their desktops in a format that's ready to use, such as Excel," said Mary Hinz, president of Cypress Corporation. "With Monarch's data mining capabilities and Cypress' powerful distribution engine, companies will be able to simplify and speed the delivery of bottom-line information while reducing the cost for client software and end-user training."

Cypress customers who need more extensive data mining capabilities can select any legacy, PeopleSoft, SAP or other production-level document stored in Cypress with a single click for analysis within Monarch Pro for Cypress, a special version of Datawatch's industry leading Monarch report mining tool.

"Increasingly, companies are realizing that report mining is the quickest and easiest way to leverage the huge investment they have in existing reporting systems," said Bob Hagger, CEO and president of Datawatch. "With Monarch report mining technology, Cypress' customers will be able to effortlessly work with the data from any report in the format they need to do their jobs more effectively."

"This OEM partnership with Cypress represents an important step for Datawatch," continued Hagger. "While many companies have licensed our industry leading Monarch technology for the desktop, Cypress is the first partner in Datawatch's aggressive new program to OEM Monarch server technology which significantly reduces costs and end user involvement. The overwhelming trend in IT is for server based solutions and offering our Monarch technology on a server basis is a natural progression in our efforts to provide the most powerful report mining solutions available to our partners and customers."

ABOUT CYPRESS, THE KNOWLEDGE DELIVERY ARCHITECTURE

Cypress is a Knowledge Delivery Architecture that eliminates the barriers previously imposed by disparate platforms, applications and file types and enables enterprises to quickly deliver business critical information to employees, partners and customers in real-time. Cypress does this by automatically capturing a document page-by-page, preprocessing the document so it is in a common format and archiving the document in a virtual document repository. While creating and maintaining page independence and document integrity, Cypress enables end-users to retrieve, assemble, distribute and view only the pages of interest, and provides document delivery to all enterprise and Web-based destinations.

ABOUT CYPRESS CORPORATION

For over 18 years, Cypress Corporation has dedicated itself to the design, marketing, and support of robust, high quality content delivery applications. Cypress Corporation is headquartered in southeast Michigan with additional offices throughout the United States, France, Brazil, and the United Kingdom. Operating on a global scale, Cypress Corporation provides some of the world's largest companies with the technology needed for mission-critical content delivery. Customers are from all industry sectors including hospitals, universities, insurance companies, banks and governments. For more information, please contact Cypress at 248-852-0066 or visit www.cypressdelivers.com.

About Datawatch Corporation

Datawatch Corporation is a leading provider of business intelligence/enterprise reporting, data transformation and support center solutions that enable organizations to increase productivity, reduce costs and gain competitive advantage. Datawatch products are used in more than 20,000 companies, institutions and government agencies worldwide. Datawatch is best known for its desktop report mining application Monarch, which is used by more than 350,000 professionals worldwide. Monarch technology is the de-facto standard for extracting data from report files. Datawatch has partnerships with a variety of key technology vendors including Microsoft and Software AG. The company maintains offices throughout the US, Europe and Australia. For more information, visit www.datawatch.com.

Monarch is a trademark of Datawatch Corporation. All other trademarks are the properties of their respective owners.

Datawatch Corp., 175 Cabot Street, Suite 503, Lowell, Massachusetts 01854 Phone: [phone] Fax: [phone] www.datawatch.com.