ALADDIN SYSTEMS, INC. SHIPS ALADDIN DROPZIP, A MACINTOSH ZIP COMPRESSOR

DropZip Provides Easy Drag-and-Drop Zip Compression For Convenient
Cross-Platform Communication

San Francisco, CA- Macworld EXPO- January 5, 2000 - Aladdin Systems Inc., a
wholly owned subsidiary of Aladdin Systems Holdings, Inc. (OTC: ALHI),
today announced it is shipping Aladdin DropZip(tm), a new Zip compression
product for Macintosh users to aid in cross-platform Internet
communication. DropZip helps Macintosh users easily communicate with PC
users who don't have StuffIt(r) already installed on their machine, by
allowing them to create Zip-compressed archives, a popular compression
format on the Windows platform.

A Zip archive is a compressed file or folder that ends with the extension
".zip." The zip format is popular on the Windows platform, and is sometimes
used as a cross-platform compression format. DropZip is a Macintosh program
that creates Zip archives and is compatible with Zip files created on
Windows and Zip implementations on other operating systems. Using
compression on a file or folder reduces its size for faster Internet
transfers, resulting in less waiting time for uploads and downloads.

DropZip is a full-featured standalone Macintosh Zip compression application
that allows users to compress into the Zip (.zip) format. DropZip allows
Macintosh users to drag and drop files or folders onto a desktop, alias
icon, or launch the application to select items and choose "Zip" from the
menu bar. With an easy drag and drop interface, users can create Zip
archives and folders that are easily accessible on a Mac or Windows machine
with StuffIt or Aladdin Expander(tm). Expander is freeware and can be
downloaded at: (http://www.aladdinsys.com/expander/) DropZip is also part
of the full StuffIt Deluxe compression solution. StuffIt Deluxe includes
both Zip and StuffIt capabilities. StuffIt compression currently boasts 20%
better compression than other compression products.

"Aladdin is intent on providing a compression and access solution for all
types of cross-platform users," said Jonathan Kahn, Aladdin's CEO. "Whether
customers want to compress with StuffIt or Zip, they have a choice of
standards to use." Kahn continued, "We have had many requests to develop an
Aladdin Zip utility that's as easy to use as StuffIt. With the array of
Aladdin compression products, users have a choice of what will best suit
their needs, all with an easy-to-use, familiar interface from the Macintosh
compression experts."
DropZip's Features and Benefits:
*Easy, drag-and-drop Zip compression at your fingertips
*Macintosh file support with encoding- DropZip files can easily be
UUEncoded or MacBinary encoded for transit between two different
machines. UUEncode and MacBinary are the standard encoding formats
for PC and Macintosh machines
*Includes Apple event and Apple scripting capabilities
*Internet Config-savvy Extension Mapping and auto-conversion of
files- Windows documents often have a three-letter suffix (e.g.
"file.txt") allowing a PC to recognize file types. DropZip recognizes
the most common extensions and maps them to similar Macintosh file
type and creator codes. With Internet Config, Macintosh users can
also modify the extension mappings.
*Folder hierarchy support- Users can create folder hierarchies
(folders within folders) in their DropZip archives and send them,
intact, to other machines and platforms.
*Zip-Compress files for the following systems: Unix, VMS, MS-DOS,
OS/2, Windows 95/98, Windows NT, Linux, Atari, Macintosh, Amiga, and
Acorn RISC
*FREE access to Zip archives with Aladdin Expander for Windows or Macintosh

DropZip is based on Aladdin's StuffIt Deluxe and DropStuff products. Users
have no new interface to learn if they are already familiar with the
Macintosh compression standard, StuffIt. DropZip's intuitive drag-and-drop
interface allows users to easily create Zip archives in a flash. Users just
drag-and-drop a file or folder to the desktop drop box or into an existing
archive to compress it. To extract, decompress or access Zip or other
popular compressed or encoded files on a Macintosh or Windows machine,
customers can use the complete compression solution package, StuffIt
Deluxe, which will handle all their compression needs or use StuffIt
Expander, available at: (http://www.aladdinsys.com/).

Availability and Pricing
DropZip is available directly from Aladdin Systems, Inc. for $30 US per
user. Both local and worldwide site licenses of DropZip are available
(sitelicenses@aladdinsys.com). Users are encouraged to download and try the
fully-functioning DropZip shareware before they buy it, to ensure it meets
their needs. As with all Aladdin products, a 30-day money-back-guarantee
supports customer satisfaction.

System Requirements
DropZip requires System 7.5.3 and higher (including Mac OS 9.x) and will
run on any Mac with a 68030 processor or better. It is designed to take
advantage of the latest Macintosh technologies, is Mac OS 8.X/9 savvy and
runs in native mode on the Power Macintosh. AppleScript(tm) support is also
included. DropZip is fully compatible with all versions of PKZip on the
IBM, Info-ZIP on Unix, and zip implementations on other platforms.

Aladdin Systems, Inc.: Helping Transmit, Access and Organize
Information(tm)- Aladdin Systems, Inc., a wholly owned subsidiary of
Aladdin Holdings, Inc. (OTC: ALHI) was founded in 1988. Aladdin is a
developer and publisher of Windows and Macintosh software products that are
designed to assist users with the Transmission, Access and Organization
(TAO) of information. Aladdin's software offers a range of solutions to
increase user efficiency in the areas of information access, removal,
recovery, security and Internet distribution. For more information on
Aladdin products, visit: (http://www.aladdinsys.com)

Aladdin is located at 165 Westridge Drive, Watsonville, CA 95076, USA;
telephone: (831)761-6200; Fax: (831)761-6206 URL:
http://www.aladdinsys.com; e-mail: info@aladdinsys.com.