Proginet Corporation

January 11, 2005 15:40 ET

Proginet Acquires Assets of Blockade Systems Corp.; ManageID, ESaccess, ESconnect and RT MA MIIS 2003 Software Products added to Proginet's Portfolio


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: PROGINET CORPORATION

OTC Bulletin Board SYMBOL: PRGF

JANUARY 11, 2005 - 15:40 ET

Proginet Acquires Assets of Blockade Systems Corp.;
ManageID, ESaccess, ESconnect and RT MA MIIS 2003
Software Products added to Proginet's Portfolio

GARDEN CITY, N.Y. & TORONTO--(CCNMatthews - Jan 11, 2005) -

Proginet Corporation (OTCBB:PRGF) and Blockade Systems Corp. today
announced that the companies have signed an agreement whereby Proginet
Corporation acquired Blockade's ManageID, ESaccess, ESconnect and other
security software product lines in addition to Blockade's customer base.
The transaction was for cash. Terms of the agreement are to be disclosed
in Proginet's 8K filing with the Securities and Exchange Commission.

The acquisition strengthens Proginet's position in the password
management security market, making Proginet the world's leading password
synchronization and reset vendor. Proginet now provides password
solutions to millions of users in over 20 countries worldwide. Proginet
has retained many of Blockade's team, has established offices in
Toronto, and expects to further expand its password security product
offerings to meet the increasing security risks all businesses face
today.

Proginet's President and CEO Kevin M. Kelly stated, "The benefits of
this transaction to Proginet include adding a substantial customer base
with a recurring revenue stream, continuing our track record of
acquiring complementary software, and attaining a dominant position in
our chosen marketplace. All of this is expected to translate to a
favorable impact on Proginet's profitability going forward. The
acquisition also places Proginet in front of a more diversified group of
enterprises to which we can offer our other superior technologies in
managed file transfer (MFT) and platform integration."

About Proginet Corporation

Proginet Corporation develops software to enable the controlled
integration of data across enterprises of all sizes. Throughout its
20-year history, the company has earned a solid reputation for its
multi-platform expertise and dedication to customer service. Its
products, including CyberFusion®, SIFT and SecurPass®, support all
major computing platforms, from PCs to mainframes. Proginet's global
customer base spans more than 23 countries and includes many Fortune 500
companies. The company is headquartered in Garden City, N.Y., and is
publicly traded under the symbol (OTCBB: PRGF). For more information,
visit www.proginet.com.

About Blockade Systems Corporation

Blockade has been developing strong, robust enterprise and portal
security software for 15 years. Located in Toronto, Canada, Blockade
Systems Corp. is a privately held Canadian corporation. Blockade
provides its customers with system integration support through in-house
capability as well as through its partnerships. Blockade has offices in
Canada and the U.S., plus distributors in Europe, Asia Pacific, and
Latin America.

Disclaimer

This press release may contain forward-looking information within the
meaning of Section 29A of the Securities Act of 1933 and Section 21E of
the Securities Exchange Act of 1934, and is subject to the safe harbors
under those sections. In some cases, you can identify forward-looking
statements by terminology such as "expect," "believe," "may," "will,"
"plans" and "anticipate," or the negative of such terms or comparable
terminology. Forward-looking statements appearing herein include
statements concerning operating and profitability plans and goals and
are based on current expectations.

The matters discussed in this press release also involve risks and
uncertainties described from time to time in documents filed with the
Securities and Exchange Commission, including but not limited to Form
10-KSBs, Form 10-QSBs, and Form 8-Ks (www.sec.gov).

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Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Proginet Corporation
    Kevin Kowalski, 516-535-3600
    kkowalski@proginet.com