SVI Teams with European Multi-media Courseware Developer to Test and Certify European Computer Users.

Business Editors

SAN DIEGO--(BUSINESS WIRE)--Aug. 25, 2000

-- The testing tool, AutoTest, is the first automated test

to receive international accreditation --

SVI (AMEX: SVI) announced today that its subsidiary, SVI Training Products, and their European marketing partner, Electric Paper, have secured international accreditation for their computer skills assessment tool, AutoTest, from the European Computer Drivers License (ECDL) Foundation. The ECDL Foundation has implemented a widely accepted certification program designed to promote standards for professional computer skills in Europe. AutoTest has also been approved for the International Computer Drivers License (ICDL) program, which is based on the same criteria as the ECDL and will be used to expand the certification programs worldwide.

AutoTest, developed by SVI in conjunction with Electric Paper, is an automated testing system with realistic simulations providing a real-world skills-testing environment. It ensures immediate, consistent and accurate evaluations. Questions test the student's basic knowledge and overall skill competency.

Merck Sharp Dohme, a subsidiary of the global pharmaceutical company Merck & Co. (NYSE:MRK), is based in Tipperary in the South of Ireland. The company selected Electric Paper's ECDL training materials and AutoTest as their testing product. Tom Larkin, Training Manager for Merck Sharpe Dohme stated, "My students find AutoTest very easy to use with its clear and impressive interface. If I didn't have AutoTest, I wouldn't offer ECDL training to our staff."

"Our customers have been extremely pleased with AutoTest," said Jonny Parkes, Managing Director of Electric Paper. "We anticipated the need for an automated ECDL test and sought out a partner to develop a testing product. Our search culminated in the signing of an exclusive licensing agreement with SVI. We customized their compAssess skills assessment program for the ECDL - and the end result was AutoTest. We are pleased with our choice in partners."

"We believe AutoTest will be quickly adopted by ECDL test administrators," said Arthur Klitofsky, President of SVI Training Products. "In addition to being a strong test tool, AutoTest features electronic grading. This allows administrators to significantly reduce the time and resources necessary to manually administer and correct tests. This reduction in time will provide a significant cost savings."

About Electric Paper

Electric Paper is a Dublin-based e-learning company specializing in interactive IT literacy training. With the recent approval of its automated testing product, it has become the first provider of a complete end-to-end solution for the ECDL and ICDL, incorporating assessment, training materials and automated testing. The company has international offices in the UK, Australia and Canada. (www.electricpaper.ie)

About SVI Training Products

In addition to developing and distributing PC courseware, customization tools and skills assessment software, SVI Training Products develops custom retail courseware for its sister company SVI Retail. Key products include:

Customizer 2000 - a software program that works with SVI's range of instructor-led PC courseware. It enables trainers to mix applications and chapters for various training class lengths and content requirements. It also allows users to create custom courseware based on SVI products easily and quickly. Additionally, all of the Microsoft(R) Office 2000 and most of the Microsoft Office 97 courseware is MOUS (Microsoft Office User Specialist) approved.

compAssess - a skills assessment and testing software program that simulates the software on which the students are being assessed. The software has approximately 1,800 built-in performance-based questions. In addition, users can customize the tests and create their own questions. By using hands-on testing, with simulated program screens, compAssess goes well beyond simple multiple choice or True/False testing.

About SVI

SVI, headquartered in San Diego, CA, addresses two primary markets: Retail Information Systems and Instructor-led PC Applications Training and Assessment Tools. Through its subsidiary, SVI Retail, it is focused on becoming a leading global provider of multi-channel software solutions for the retail industry, including e-commerce applications as well as supply chain, in-store and Customer Relationship Management (CRM) systems. Through its SVI Training Products subsidiary, the Company markets Customizable desktop training applications as well as skills assessment applications and custom training programs for retailers. SVI maintains offices and subsidiaries in the United States, the United Kingdom and Australia. The Company has a worldwide customer base including major retailers such as Home Depot, OfficeMax, The Limited, JCPenney, the Disney Stores, Victoria's Secret, the U.S. Postal Service and Toys "R" Us. Additionally, the training subsidiary has a number of customers from corporations, schools and government agencies such as Alcoa, BP Amoco, Dun & Bradstreet, Kaiser Permanente, the Ohio Department of Transportation, the Texas Department of Criminal Justice, the University of Missouri, and the University of Oklahoma. SVI's web sites are located at www.svisolutions.com and www.svitrain.com.

Certain statements contained in this news release regarding matters that are not historical facts are forward-looking statements. These statements relate to future events or the Company's future performance. These statements are only predictions. Because such forwarding-looking statements include risks and uncertainties, actual results may differ materially from those expressed in or implied by such forward-looking statements. Factors that could cause actual results to differ materially include, but are not limited to, the Company's ability to increase sales, market acceptance of the Company's products, competition, the ability to raise capital when needed on terms and conditions acceptable to the Company, the Company's ability to consummate acquisitions and develop advanced technologies, fluctuations in currency exchange rates, the demand for the Company's product and services internationally, especially in the United Kingdom and Australia, the impact of a potential business combination with the Company's majority shareholder and other risk factors identified from time to time in the Company's filings with the Securities and Exchange Commission. Other risk factors are listed in the Company's Report on Form 10-K for the fiscal year ended March 31, 2000. SVI undertakes no obligation to release publicly any revisions to the forward-looking statements to reflect events or circumstances after the date of this news release or to reflect the occurrence of unanticipated events.