Dictaphone Corporation's Communications Recording Systems Group Remains Voice Recording Market Share Leader in North America.

Business Editors

STRATFORD, Conn.--(BUSINESS WIRE)--Sept. 9, 2002

Independent Study Shows Dictaphone Corporation's CRS Group Takes Top

Honors as Voice Recording Market Share Leader for Q1 2002

Dictaphone Corporation's Communication Recording Systems (CRS) group is the voice recording market share leader based on revenue in North America, according to the most recent report issued by Datamonitor Recording Industry Quarterly.

The results are from a study completed for Q1 2002.

The report also shows that, in the fast-growing recording services market, Dictaphone Corporation again takes top honors with 26.6% market share, almost a full 10 points ahead of the closest competitor.

"We are nearly 10 points ahead of our nearest competitor, reflecting the strength of our customer-centric product line and our loyal customer base," said Jim Gleason, VP Direct Markets and Marketing with Dictaphone Corporation. "The marketplace is looking for call recording vendors that provide direct service from the manufacturer. Historically, this has been our strength, as we design, manufacture and service all of our products. As products and applications become more complex, direct sales and service become exponentially more important," according to Gleason.

Thirdly, the study shows that Dictaphone Corporation's CRS group was number one in voice recording market share for direct sales during the same study period.

As the Datamonitor report points out, Dictaphone Corporation is poised to release a suite of new Quality Management products that can be layered on Dictaphone Corporation's Freedom(R) recording system platform. These tools are targeted at the contact center analytics market. "Dictaphone has over 4 million hours of audio recorded on its products each day, providing fertile ground for our customers to apply new data mining technologies to the audio. We believe offering only a pure Quality Monitoring product in today's business climate is just not enough, as indicated by the slowdown in that particular sector. By combining our recording system with new contact center solutions on one platform, we will not only help customers meet their quality assurance objectives, but we will also open avenues for creating new sources of income through mining their critical data," said Gleason.

For more information on the Datamonitor report go to http://www.datamonitor.com.

About Dictaphone Corporation's Communications Recording Systems

group

A division of Dictaphone Corporation, the Communications Recording Systems (CRS) group is a leading provider of communications recording and quality management systems for contact centers, financial services, and public safety environments, with over 18,000 installed customers worldwide. Dictaphone Corporation's CRS group's principal product is the network-appliance Freedom(R) recording system. Dictaphone Corporation, with headquarters in Stratford, CT, has over a century of experience in voice technology. For more information on Dictaphone Corporation, visit http://www.dictaphone.com.

About Dictaphone Corporation's Freedom(R) Recording Systems

Dictaphone Corporation's Freedom(R) product is a network-appliance recording system that gives contact centers, financial services, public safety centers, and many other organizations the ability to easily access and store their voice information. The product also provides built-in protection against technological obsolescence. Using the Freedom(R) recording system, anyone who records telephone conversations and radio transmissions can store the voice recordings on any network-attached storage device and can use a different storage device in the future without making their current recording system obsolete. Additionally, the Freedom(R) recording system includes plug-in telecommunications interfaces, and its operating system-independent architecture means it can be easily adapted should a customer upgrade its phone system, operating system, or network. Dictaphone Corporation's Freedom(R) recording system also provides more ways to access and share voice recordings than conventional recording systems. Its network-ready design and standard audio file format make voice files accessible over any LAN/WAN, Internet, or intranet system, using any multi-media PC. In addition, compressed .wav file recordings can be delivered via e-mail, a faster and more cost-effective way to share information than traditional methods of copying and shipping tapes.

Dictaphone Corporation's Freedom(R) recording system has been a runaway success since its launch in the fall of 1999. Since the product's introduction, the company has sold over 8,000 Freedom(R) recording systems, which are installed at some 4,000 individual customer locations around the world. For more information on Freedom(R) recording systems, call 800-886-4908.

Safe Harbor Statement

This press release includes forward-looking statements within the meaning of Section 21(e) of the Securities Exchange Act of 1934. These statements are based on Dictaphone Corporation's current expectations and estimates as to prospective events and circumstances that may or may not be in Dictaphone Corporation's control and as to which there can be no firm assurances given. These forward-looking statements are subject to risks and uncertainties and there can be no assurance that any of these forward-looking statements may prove to be correct and actual results may differ materially. These risks and uncertainties include, but are not limited to, economic conditions in the U.S. and abroad, the ability to complete and deliver products and services within currently estimated time frames and budgets, the ability to effectively manage diverse and geographically dispersed operations, difficulties with integrating product plans, schedules and resources, potential that the information and estimates used to predict future performance were not accurate, market acceptance of Dictaphone Corporation's products, competitive products, pricing pressures, and other risks. Dictaphone Corporation disclaims any intent or obligation to update these forward-looking statements.

Dictaphone(R), Freedom(R), and Communication Recording Systems (CRS) are all trademarks or registered trademarks of Dictaphone Corporation. Other products or marks referenced herein may be trademarks of their respective owners.

Dictaphone Corporation's Freedom(R) recording system is the subject of U.S. and foreign patents and patent applications, including but not limited to, U.S. Patent Number 6,418,218.