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SYNTREX ANNOUNCES PURCHASE BY PHOENIX TECHNOLOGIES; PHOENIX TECHNOLOGIES EXCITED BY SYNERGY AND GROWTH WITH ACQUISITION OF SYNTREX

 SYNTREX ANNOUNCES PURCHASE BY PHOENIX TECHNOLOGIES; PHOENIX


TECHNOLOGIES EXCITED BY SYNERGY AND GROWTH WITH ACQUISITION OF SYNTREX
 EATONTOWN, N.J., May 13 /PRNewswire/ -- Syntrex Incorporated announced today that Phoenix Technologies, Inc., Valley Forge, Pa., will acquire all of the assets and rights to the Syntrex business, and that Phoenix Technologies will operate the company as a new subsidiary with the same strategic market direction. Phoenix Technologies will maintain Syntrex operational headquarters in Eatontown, N.J., and retain the existing Syntrex management team going forward. The transaction is scheduled to close at the end of May 1992.
 With the Phoenix Technologies purchase, which has been approved by the U.S. Bankruptcy Court, the new subsidiary will operate completely clear of Chapter 11 of the U.S. Bankruptcy Code. Syntrex Incorporated has been operating under Chapter 11 since June 28, 1991, when it had sought voluntary protection. Since that time, the company has significantly reduced operating expenses and results for the past six months have shown improvement. Syntrex had been working with a number of interested parties, including Northcote Partners, regarding investment strategies that would enable it to exit Chapter 11. As part of this process, Phoenix Technologies was found to have the best offer and was approved by the U.S. Bankruptcy Court judge to proceed with the asset purchase.
 Subsequent to the closing of the transaction, the former Syntrex Incorporated will file a plan of reorganization in the U.S. Bankruptcy Court, which should be approved by this summer. Under this plan, it is anticipated that partial distributions will be made to former Syntrex creditors. Since the distributions are not adequate to cover the full claims of creditors, the shareholders will receive no distribution from the former Syntrex.
 "The incorporation of Syntrex's business into Phoenix Technologies results in one of the nation's largest network systems integrators with revenues approaching $85 million and a strong balance sheet," stated V.N. Tirendi, president and CEO of Phoenix Technologies. The Syntrex addition expands the number of Phoenix Technologies sales and services locations to over 62 cities nationwide. The combined employee base more than doubles the number of professional network systems engineers, straightening the company's most important asset as a services oriented business. "Professional Network Services is a rapidly growing business. the integrated Phoenix and Syntrex operations have the technical expertise to be a major player in this market. Syntrex's professional network services are fundamental to the growth plans we have for Phoenix Technologies," Tirendi added.
 "We are very pleased with the Phoenix Technologies transaction" said Dan Sinnott, former chairman and CEO of Syntrex who has been named to head up the new subsidiary. "With the consolidation of our operations into Phoenix Technologies and the strength of their balance sheet, we are now able to aggressively expand our business in the fast growing network integration segment of the computer industry," he added. Syntrex is a recognized leader in the field of network integration, and has consistently ranked among the largest Network Systems Integrators by industry publications such as LAN Magazine and Systems & Network Integration Magazine.
 The two companies' service strategies are highly complimentary. Phoenix Technologies is the professional organization to one of the nation's largest on-line financial information networks, comprising over 60,000 workstations and integrated computer installations. Syntrex's significant presence in the commercial, government and legal industries opens new market opportunities for Phoenix Technologies.
 Syntrex is a national network systems integrator specializing in the design, implementation, and support of networks for the commercial, government and legal industries. Founded in 1979, Syntrex has installed over 6,500 networks in the United States, with particular emphasis upon departmental and enterprise-wide networks. Founded in 1988 and privately held, Phoenix Technologies, Inc. provides a full range of services, including nationwide professional field service and support for networks of on-line transaction processing, telecommunications and data processing equipment; repair and refurbishment services; and custom manufacturing and product distribution services.
 -0- 5/13/92
 /CONTACT: Leslie Smith of Syntrex, 908-542-1500/ CO: Syntrex Incorporated; Phoenix Technologies ST: New Jersey, Pennsylvania IN: CPR SU: TNM


KD-SM -- NY105 -- 9930 05/13/92 17:22 EDT
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Date:May 13, 1992
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