SoftQuad release for distribution

["Heather Grant" <heather@itpr.com>]

Heather Grant
Account Executive
ITPR
130 King Street West, Suite 2810
Toronto, ON M5X 1A9
Tel: 416-860-3899 ext 3609
Fax: 416-941-1090
Email: Heather@itpr.com

News Release


SoftQuad Announces XMetaL™ 2.0
New features deliver easier XML content creation, and more rapid 
deployment of effective content solutions

PARIS, France – XML 2000 Europe – June 12, 2000 – SoftQuad Software, Ltd. (OTC 
BB: SXML), an internationally-recognized developer of XML enabling technologies and 
commerce solutions for e-business, today announced XMetaL 2.0, a major upgrade to its 
advanced, yet easy to use XML content creation solution.

The new version of XMetaL makes it easier for everyone to create XML content, and 
provides integrators even greater flexibility in deploying effective content solutions for 
real world production environments. Key features to this upgrade include well formed 
editing, a new Structure view, support for more advanced XML constructs and expanded 
customization options. 

"XMetaL 2.0 significantly raises the bar for XML content creation," said Roberto 
Drassinower, president and CEO, SoftQuad Software, Ltd. "Now companies can develop 
and deploy highly-productive XML content applications in electronic publishing, e-
commerce and knowledge management that everyone within an organization can use."

XMetaL 2.0 provides new features and functions for deploying effective content creation 
environments that integrate seamlessly with an organization's applications and workflow 
processes. XMetaL 2.0 features built in access to script engines and a Script Editor that 
supports code coloring and pretty printing. XMetaL 2.0's Forms Editor facilitates the 
creation of custom dialog boxes to bring windows dialogs and behaviors right into the 
document interface. XMetaL provides support for inline ActiveX controls and features an 
extended object interface that allows embedded ActiveX controls to be hosted within a 
Resource Manager tab. Plus, XMetaL 2.0 features enhanced support for advanced XML 
constructs like internal subsets, parsable external entities, the DOM, OASIS catalogs, and 
UTF-16 (Unicode) encoding.

"The beauty of XMetaL for integrators is the flexibility it provides for customizing the 
interface for different users, and the speed with which it can be integrated with your XML 
systems," said John Turnbull, XMetaL product manager. "Many of these customizations 
can be performed using menu-based controls, or writing script level code.  That means 
that XML applications that use XMetaL can be deployed faster and used more effectively 
than anything else in the market."
 
Software AG, Europe's largest system software vendor, has chosen XMetaL as the 
content creation solution for their XENON architecture, the first complete architecture for 
XML applications designed specifically for the development of electronic business 
systems. 

Dr. Helmut Wilke, president and CEO of Software AG Inc. says: "Our XENON 
architecture for commercial XML applications enables us to integrate 'best of breed' 
components from the world's leading independent software vendors. With the release of 
SoftQuad's XMetaL 2.0, we are confident that XENON will deliver the very best XML 
content creation solution to our customers."

XMetaL 2.0 also provides new, versatile, easy-to-use, XML authoring capabilities. It 
supports well-formed editing, so users can open and edit documents without associated 
DTD and work with document fragments.  As well, XMetaL 2.0's new Structure View 
provides a quick way to navigate and edit documents.

"XML content is growing as fast as e-business applications are being developed," said 
Frank Gilbane, editor of The Gilbane Report, a seven year-old journal for IT strategists, 
covering computing and content.  "Because a successful e-business requires the sharing 
of content across virtually all e-business functions, the number and type of people 
creating, accessing, and integrating XML content is increasing dramatically.  As a result, 
products such as XMetaL that facilitate the creation and integration of XML content 
across and between organizations, need to be included in e-business technology 
infrastructure purchases."

Availability

XMetaL 2.0 will be available in late June 2000.  New users can purchase XMetaL 2.0 for 
$495.00 (US) per single user license. Registered owners of XMetaL 1.0 or 1.2 with a 
support and maintenance contract can upgrade to XMetaL 2.0 for $75.00 (US). Without a 
maintenance contract, the upgrade price is $195.00 (US). The product is sold directly and 
through VARs and OEMs.  Volume discounts, site licenses, partner programs and on-site 
training are all available.

About XMetaL 

SoftQuad XMetaL 2.0, the premier enabler for XML-based content applications, provides 
the power and flexibility required to create and work with XML content in a real-world 
production environment. Combining state-of-the-art XML editing features and the ideal 
front-end to e-commerce, e-publishing and knowledge management applications, 
XMetaL 2.0 makes it easy for an entire organization's user-base to create content.

System requirements include Windows 95/98, NT 4.0 and Windows 2000, a Pentium 
compatible processor, 32 Mb of RAM, 50 Mb available hard disk space, 256 color/SVGA 
display, 640 x 480 resolution or higher, and a CD-ROM drive for installation.

About SoftQuad Software, Ltd. 

SoftQuad Software, Ltd. (OTC BB: SXML) is an internationally recognized developer of 
XML enabling technologies and commerce solutions for e-business. A founding member 
of the World Wide Web Consortium (W3C), the Organization for the Advancement of 
Structured Information Standards (OASIS) and XML.org, SoftQuad has been 
instrumental in shaping and developing both the standards and technologies that are 
changing the way companies exchange information and do business over the Web. 

Headquartered in Toronto, Canada, with European operations based in London, SoftQuad 
was first to market with an advanced, yet easy-to-use, XML content creation solution, 
XMetaL. It has already become the premier enabling technology for XML-based content 
applications in electronic publishing, e-commerce and knowledge management.

For more information, visit SoftQuad's Web site at http://www.softquad.com


-30-

Note to editors:  If you're interested in viewing additional information about XMetaL or 
SoftQuad Software, Ltd., including technical specs, downloads, screen shots and box 
pictures, please visit the SoftQuad web page at http://www.softquad.com

Caution Concerning Forward-Looking Statements

This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation 
Reform Act of 1995. Words such as "anticipates", "estimates", "expects", "will", "should", "projects", "intends", 
"plans", "believes" and words and terms of similar substance used in connection with any discussion of future 
operating or financial performance identify such forward-looking statements.  Those forward-looking statements are 
management's present expectations of future events.  As with any projection or forecast, they are inherently susceptible 
to uncertainty and changes in circumstances.  SoftQuad is an early-stage growth company that operates in a highly 
competitive and rapidly changing environment, and its business results are dependent on numerous factors, including 
demand for its products and services, its ability to manage costs and generate revenues, technological developments, 
protection of its intellectual property rights, its ability to attract and retain key personnel, the resolution of issues 
concerning commercial activities via the Internet, including security, reliability, cost, ease of use and access, 
government regulation, risks related to international sales and potential foreign currency exchange fluctuations, 
economic, political and social conditions in the countries in which it operates and other risks detailed from time to time 
in periodic reports filed by SoftQuad with the U.S. Securities and Exchange Commission and other regulatory 
authorities. SoftQuad's actual results could differ materially from management's expectations because of such factors.



For further information on SoftQuad Software, contact:

David Terry
ITPR (for SoftQuad Software)
(416) 860-3899 ext. 3607
david@itpr.com

Sacha De Groot
ITPR (for SoftQuad Software)
(416) 860-3899 ext. 8026
sacha@itpr.com