DataMirror Corporation

DataMirror Corporation

June 09, 2006 16:28 ET

DataMirror Announces Substantial Issuer Bid

TORONTO, ONTARIO--(CCNMatthews - June 9, 2006) - DataMirror Corporation (TSX:DMC -News), a leading provider of real-time data integration, protection and java database solutions, today announced a substantial issuer bid, pursuant to which the Company will offer to purchase for cancellation up to 2,000,000 of its outstanding common shares at a price per share of $11.00. If the number of shares tendered exceeds 2,000,000 then the tendered shares will be purchased on a pro rata basis (disregarding fractions) according to the number of shares deposited by each depositing shareholder.

"Our board of directors believes that the recent market price of DataMirror's common shares does not fully reflect the value of our business and future prospects," stated Nigel Stokes, CEO, DataMirror. "This offer represents an effective use of the Company's resources and is in the best interests of all its shareholders. The buy-back will be funded from the Company's existing cash balance and, upon completion of the transaction, will leave the Company with adequate resources to aggressively pursue its business strategy."

The Company's common shares trade on the Toronto Stock Exchange under the symbol DMC. As of June 7, 2006, there were 8,297,000 common shares outstanding. The offer will be made by way of a substantial issuer bid and will be subject to various conditions typical of transactions of this nature, including the obtaining of regulatory exemption rulings. It is anticipated that the issuer bid circular, containing the terms of the offer and instructions for tendering common shares, will be mailed to shareholders and filed with applicable securities regulators on or about June 16, 2006. The offer will remain open for acceptance for at least 35 days after the date of commencement, unless withdrawn or extended by DataMirror.

About DataMirror

DataMirror (TSX:DMC -News), a leading provider of real-time data integration, protection and java database solutions, improves the integrity and reliability of information across all of the systems that create and store data. DataMirror's flexible and affordable integration solutions allow customers to easily and continuously detect, translate, and communicate information changes throughout the enterprise. DataMirror helps clients make better decisions by providing access to the continuous, accurate information they need to take timely action and move forward faster. More than 2,100 companies have gained tangible competitive advantage from DataMirror software. DataMirror is headquartered in Markham, Canada, and has offices around the globe.

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Note to Readers: This press release contains certain statements that constitute forward-looking information or statements within the meaning of applicable securities laws ("forward-looking statements"). Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual events or the Company's actual results or performance to differ from the projected events, results or performance contained in such forward-looking statements. Forward-looking statements may also include, without limitation, any statement relating to future events, conditions or circumstances. DataMirror cautions you not to place undue reliance upon such forward-looking statements, which speak only as of the date they are made. The words "anticipate", "believe", "estimate" and "expect" and similar expressions are intended to identify forward-looking statements. Numerous important factors affect DataMirror's ability to repurchase shares pursuant to a substantial issuer bid, and the timing of such an issuer bid or repurchases, as indicated by this press release or by any forward-looking statements made by, or on behalf of, DataMirror, and there can be no assurance that DataMirror will be able to repurchase its shares as set out herein. These factors include, but are not limited to, the following: the need to obtain exemptions from or approval of applicable regulatory authorities including provincial securities commissions and the Toronto Stock Exchange, the satisfaction or waiver of various conditions customary for transactions of this nature, market forces, the financial strength of the company and other factors discussed in DataMirror's Annual Information Form and other periodic filings with applicable securities regulators. Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results may vary materially from those indicated in any forward-looking statements. DataMirror disclaims and does not assume any obligation to update these forward-looking statements.

Copyright 2006 DataMirror Corporation. All rights reserved. DataMirror is a registered trademark of DataMirror Corporation. All other brand or product names are trademarks or registered trademarks of their respective companies.

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