FMC Cadd Drafting Services, Inc., Maine
Settles Claims for $30,000

Watchdog Group Has Now Recovered
Payments in All 50 States

Washington, DC (10 November 1998) - The Business Software Alliance (BSA) today announced that FMC Cadd Drafting Services, Inc. (FMC) - a map drafting company based in Portland, Maine - has paid the software watchdog group $30,000 to settle claims that it had unlicensed software installed on its computers. With this action in Maine, the BSA has now concluded investigations with a settlement payment in all 50 states.

The BSA has collected more than $35 million dollars over the past five years from companies, organizations, government offices and schools in the U.S. following investigations into allegations of software copyright infringement. California, Texas, Illinois, New York and Michigan top the list of states where BSA has been most active, with settlements totaling more than $16 million.

The investigation of FMC was set in motion by a call to BSA's anti-piracy hotline - 1-888 NO PIRACY. BSA then contacted FMC's management and obtained an immediate agreement to conduct a self-audit of the company's computers. The audit revealed more copies of software programs published by BSA members - Autodesk and Microsoft - than the company had licenses to support. In addition to the settlement payment, FMC agreed to delete all unlicensed software, purchase replacement software and strengthen its existing software management program.

"FMC acted very quickly and responsibly to address this problem once it was brought to the attention of the company's management," stated Bob Kruger, BSA's vice president of enforcement. "Unfortunately, this settlement is typical of the kind of reports we receive on the BSA hotline everyday. Unless a company affirmatively adopts and observes a strong software management program, there is a real risk that programs will end up on many more computers than there are licenses to support," added Kruger.

"FMC welcomes the opportunity to ensure that all of the software installed on its computers is legal," said Stephen Andrews, FMC's president. "FMC did not willfully or intentionally set out to infringe anyone's copyrights. At the time we were contacted by BSA, we were already working with Autodesk and our local software provider to correct any violations we identified during our own internal audit. In any event, FMC's management has instructed its employees on this issue and is firmly committed to the proper use of all computer software," concluded Andrews.

About the Business Software Alliance

BSA, the software watchdog group that investigates companies suspected of software piracy, has collected more than $35 million dollars over the past five years from companies in the U.S. that have been caught with copied software. Most of BSA's investigations begin with a call to its hotline, 1-888 NO PIRACY, from employees and former employees who want to report software piracy.

Software piracy is an enormous drain on the global economy according to the "1997 Global Software Piracy Report" released this past June. The report estimates worldwide losses to software piracy of $11.4 billion in 1997, up from $11.2 billion in 1996. Software piracy also has a significant impact on the high tech industry, resulting in lost jobs, decreased innovation and higher costs to consumers. According to the report, four out of every ten software applications worldwide were stolen in 1997. The U.S. had the highest total dollar losses to software piracy at $2.8 billion. Software is the third largest industry in the United States, employing more than two million people.

Establishing Effective Software Management in the Workplace
In addition to enforcing U.S. copyright laws, BSA educates business leaders about the need for effective software management in the workplace. To avoid software piracy, BSA recommends the following steps:

• Adopt a corporate policy on compliance with copyright laws;
• Audit company computers;
• Document software purchases;
• Understand licensing agreements; and
• Educate management and employees of their obligations under copyright laws.

Useful Products and Tools Available

BSA's Guide to Software Management can be ordered by calling its toll-free anti-piracy hotline, 1-888 NO PIRACY or by downloading it from BSA's website at www.bsa.org/freeware.

Since 1988, the Business Software Alliance (BSA) has been the voice of the world's leading software developers before governments and with consumers in the international marketplace. Its members represent the fastest growing industry in the world. BSA educates computer users on software copyrights; advocates public policy that fosters innovation and expands trade opportunities; and fights software piracy. BSA worldwide members include Adobe, Autodesk, Bentley Systems, Lotus Development, Microsoft, Novell, Symantec and Visio. BSA websites: www.bsa.org; www.nopiracy.com.