Forlink Software Corporation Inc., Signs Agreements with Red Hat Inc.

Business Editors

BEIJING and GENEVA--(BUSINESS WIRE)--March 27, 2000

Forlink Software Corporation Inc., Beijing (OTCBB: FRLK) respectfully informs its esteemed shareholders that it has signed "Red Hat ISV Partner Agreement" and "Red Hat LACD Agreement" with Red Hat Inc. (Nasdaq NM: RHAT).

According to the ISV (Independent Software Vendor) partner agreement and the LACD (Linux Applications CD) agreement, Forlink's Linux based software will be included in Red Hat's Application CD Library, gaining access to Red Hat customers through its retail, VAR and selected OEM distribution channels. In addition, Forlink's product listing will be included in the Application Index, featured on www.redhat.com. The agreement also provides Forlink access to Red Hat's development support, training and Developer Resource Kit.

Zhao Xiaoxia, president of Forlink, said: "We are very pleased with the signing of the agreements with Red Hat, the market leader in open source operating system (OS) software and services. Forlink's own-developed Linux/Unix based products For-Mail, For-Business, For-Search and For-Monitor are rapidly gaining market acceptance and have been installed in some of the most famous sites in China. Forlink is now ready to market its products to the international market. Signing the agreements with Red Hat is the first step in executing Forlink's global marketing strategy."

Forlink Software Corporation is based in Beijing's BaiHua Science and Technology Garden. The company is controlled and managed by local hi-tech entrepreneurs. Its president is Zhao Xiaoxia, a leading authority on software, who was lead development engineer for Yahoo!Japan. Forlink is certified and mentored by the Office of Beijing City New Technology Development Experiment Zone as a New Technology Enterprise and enjoys special fiscal and administrative benefits.

The Company is active in the development of internet software and tools, e-business packages, nationwide software distribution (download or physical delivery) and net information services. Its software e-sales and e-auction site www.softhouse.com.cn - an essential click for all new Chinese computer or internet users - is a popular high-traffic/repeat-visit/long-dwell destination site for both professionals and amateurs - and a major source of Chinese and non-Chinese programs. The site provides software auctions, software industry news, software introduction, software commentary and For-Um. The site sells over 7,000 software titles. Through the partnerships established with over 500 software makers, the company is able to provide almost all software titles that are sold in retail stores in China. Over 10,000 freeware products are available on the site for free down-loading. The number of freeware products available increases by about 100 titles per day. The company's own-developed embeddable software suites include mass-scaleable site and portal modules called For-Mail, For-Business, For-Monitor, For-Search, etc. that run on Unix or Linux platforms. For-Mail is a scalable messaging system marketed as a small, medium, large or carrier scale email server system that can handle upwards of one million users. Besides being an SMTP and POP server, For-Mail also has a Web-Mail subsystem that allows users to complete their email operations on their browser. The system has been running successfully on high-visibility portals such as www.tonghua.com.cn and www.zhaodaola.com.cn to provide free email service. For-Business is a full-service e-commerce and on-line shopping system, including auctions. The system has been running the Legend/Toshiba sites for example. For-Monitor is for ISP dial-up user authentication, accounting, and traffic monitoring. For-Search is one of the world's fastest engines, is bi-textual and runs on most platforms including Linux, Freebsd, Solaris, WinNT. Interesting information about China's fast-growing internet and software IT scene is available at the Chinese Software Association's site www.csia.org.cn.

Forlink's progress can be checked in Chinese and English on financial web-sites such as http://cn.finance.yahoo.com/q?m=w&s=FRLK&d=v1 (Yahoo's popular financial web-site) or http://cdinf2.comdirect.de:9004/index.html (US and German prices/news in German), as well as on the Company's software portal http://www.softhouse.com.cn. Questions and suggestions in all languages can be posted informally at http://clubs.yahoo.com/clubs/forlinkfrlkchinashareholders, a shareholder-run information exchange where shareholders can contribute ideas and dialog with the Company.

NOTE ON FORWARD-LOOKING STATEMENTS: Statements herein contained that are not strictly historical are "forward-looking" statements within the meaning of Section 27A of the US Securities Act of 1998, as amended, and Section 21E of the US Securities Exchange Act of 1934, as amended. These forward-looking statements are made based upon information available as of the date hereof, and the company assumes no obligation to update such forward-looking statements. Editors and investors are cautioned that such forward-looking statements involve risk and uncertainties and the company's actual results may differ from these forward-looking statements. Such risks and uncertainties include but are not limited to demand for the company's products and services, the company's ability to continue to develop its market, general economic conditions and other factors that may be more fully described in reports to shareholders and periodic filings with the Securities and Exchange Commission.

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