SKF Seals Division and Softech Announce Global Services Contract.

GRAND RAPIDS, MI--(BUSINESS WIRE)--Sept. 3, 1998--Softech, Inc. (NASDAQ:SOFT) today announced the 1st phase implementation of a global services contract with the Seals Division of SKF, the world leader in rolling bearings and radial seals. The SKF Seals Division, known for its Chicago Rawhide seal brand, consists of CR Americas, based in Elgin, IL; CR Elastomere, based in Leverkusen, Germany, and RFT, located in Villanova, Italy.

The services to be performed include assisting with the establishment of Centers of Design and Manufacturing Excellence, consulting, process centric customized training, process improvements, and development of standard methodologies, aimed at assisting SKF Seals Division personnel in rapid implementation of Parametric Technology Corporation's (NASDAQ:PMTC) software. The services will be performed at the customer's facilities in North America, Italy and Germany.

The contract period extends from the contract signing through December 31, 2001. The contract establishes minimum annual service commitments for the utilization of Softech personnel. The contract also allows for purchases of hardware and third party software from Softech at pre-established prices over Softech's direct costs during the contract period.

"I am very pleased that SKF Seals Division has chosen Softech, Inc to implement Parametric Technology 's software" said Mark Sweetland, President and CEO of Softech, Inc. "This demonstrates our continued strategy to aggressively grow our consulting business surrounding PTC software. I thank SKF Seals Division and CR Americas for their confidence in Softech and our personnel and for their extraordinary commitment to success" added Mr. Sweetland.

"Our customized approach to process centric training and concurrent implementation is already enabling Chicago Rawhide to be first to their customers with prototypes and production samples " said Timothy Weatherford, Executive Vice President of Softech, Incorporated. "We are very excited about helping SKF Seals Division impact their design-through-manufacturing processes and look forward to a long-term relationship. We are anxious to assist them in maximizing the efficiencies that can be realized from the PTC software when implemented properly. Softech is uniquely positioned in the marketplace to provide this type of service given our size and desire for growth, and we will continue to aggressively pursue these opportunities. I would also like to thank SKF Seals Division for their confidence in Softech" added Mr. Weatherford.

Softech was formed in 1969 and its stock has been publicly listed since 1981. Today, Softech is a leading provider of Design through Manufacturing Technologies and Services. Through its twenty-five offices in sixteen states, four offices in Europe and distribution in Asia, it offers its customers turnkey solutions to their mechanical Design through Manufacturing problems.

SKF is the world's leading rolling bearing company, with 60 production facilities in 21 countries, supplying over 20,000 different versions to over a million customers in more than 130 countries. CR Americas is the largest company in the SKF Seals Division, producing Chicago Rawhide products from 6 plants in the USA. The Division also includes RFT S.p.A in Italy, Europe's leading bearing-seals company, CR Elastomere in Germany, Europe's leading manufacturer of valve stem seals, a newly established company in India and four joint-venture companies, in Japan, China, Korea, and Mexico.

    CONTACT: Softech
              Mark Sweetland, 800/798-6130
              OR
              Timothy Weatherford, 800/797-3041