-- Focus on profitability via cost savings efforts results in workforce reduction combined with significant new investment -- SACRAMENTO, CA -- Today net-linx Publishing Solutions announced a reduction in force as a result of refining the strategic direction looking specifically at supporting the install base and future products. This reduction affects approximately less than 8% of the workforce. In an effort to position the company to be more profitable, the net-linx focus is to run as efficiently as possible and fit into the larger corporate culture. Bill Solimeno, net-linx Publishing Solutions CEO and President, said "We are taking this corrective measure now so we can concentrate on moving the company and products forward. We were very careful in this process to ensure that support to the install base products and services were not affected. The reduction did not affect research and development. The continuing commitment from net-linx AG in terms of financial and technology resources places Publishing Solutions in a strong, competitive position." Although there are cost cutting measures for the sake of profitability, net-linx continues its commitment to the publishing industry through deeper investments. The total acquisition of CompuText is being completed and CompuText technology will be totally integrated into the net-linx product line. net-linx is also investing in Cytura and net-linx will be presenting the highly personalized Cytura web products at IFRA. In addition to the established offices in Europe, net-linx Publishing Solutions will be opening a new European headquarters in Dresden, Germany, housing Sales, Marketing, and Engineering staff to ensure delivery of Europeanized products that meet the same high quality standards of products developed in the United States. About net-linx: net-linx AG , headquartered in Dresden, Germany, is one of the fastest growing suppliers of integrated software systems for the advertising, telecommunications, information and directory publishing industries world-wide. With offices in North America, Europe and Asia Pacific, net-linx is a leading supplier of client/server solutions to the world's leading publishers who provides a 24-hour, 365 day support program. net-linx products include Web solutions - Internet, network commerce and wireless products for the publishing industry - and Publishing Solutions - directory, pagination and sales tools. About CText: CText, Inc . (www.ctext.com) is a supplier of publishing solutions and developer of AdVision, the industry's biggest performing advertising system. AdVision is installed at over 50 newspapers in the Americas and powers the three largest advertising volumes in the world: The LA Times, The Dallas Morning News and Zero Hora in Brazil where some 20,000 ads are taken on an average Friday afternoon. CText's adcommerce suite has been adopted by Belo for Internet advertising applications including on-line ad creation, ad management, inventory, image uploading and email interactivity. CText has been operating since 1983. About Sii... Headquartered in Sacramento, California USA, System Integrators Inc . (www.sii.com) designs, markets, integrates, and supports computer-based technology solutions for the publishing industry world-wide. Sii is a major supplier to the publishing industry and maintains sales and support offices in the US, UK, Germany, France, and Australia. With more than 25 years' experience in the market, Sii has an installed base of systems that publish more than 500 newspapers, magazines, and wire services throughout North America, Europe, the Middle East, and Asia/Pacific. Sii's customer base is one of the largest throughout the newspaper industry and includes such major groups as: Knight Ridder, Gannett, The Tribune Co, Media General, Associated Newspapers, Reuters, Singapore Press Holdings, John Fairfax and Aftenposten.