CHANNEL NEWS

<B>GTSI Reports Loss for Second Straight Quarter</B><BR>Government Technology Services Inc., the leading computer reseller to the federal government, reported a net loss of $2.4 million on sales of $98.6 million in the second quarter of 1995 ending June 30, 1995. This loss compares to net income of $524,000 for the second quarter of 1994. GTSI recorded a net loss of $4.7 million for the six months on sales of $215.2 million ending June 30, compared to net income of $1.2 million during last year's comparable period. The company blamed this quarter's performance on a "significant reduction" of shipments under the U.S. Air Force Desktop IV contract, a decline in gross profit margins, higher employment costs, increased depreciation and amortization of assets and interest expense related to the Falcon Microsystems acquisition of August 1994, and lower vendor incentive funds.<BR> <CENTER></CENTER>

B>GTSI Reports Loss for Second Straight Quarter
Government Technology Services Inc., the leading computer reseller to the federal government, reported a net loss of $2.4 million on sales of $98.6 million in the second quarter of 1995 ending June 30, 1995. This loss compares to net income of $524,000 for the second quarter of 1994. GTSI recorded a net loss of $4.7 million for the six months on sales of $215.2 million ending June 30, compared to net income of $1.2 million during last year's comparable period. The company blamed this quarter's performance on a "significant reduction" of shipments under the U.S. Air Force Desktop IV contract, a decline in gross profit margins, higher employment costs, increased depreciation and amortization of assets and interest expense related to the Falcon Microsystems acquisition of August 1994, and lower vendor incentive funds.

Dell Predicts 6- to 9-Month Adoption of Windows 95
Officials at Dell Computer Corp. predict that Microsoft's new operating system, Windows 95, will not achieve penetration into larger corporations and the federal government until 6 to 9 months after introduction. Theresa Garza, vice president, Federal Sales at the Austin, Texas-based computer manufacturer, said the firm expects small office/home office and home users to adopt the new technology sooner than larger firms. According to Dell, Pentium-based PCs have only a 17- to 20 percent share in the government market.

GBC Technologies Signs Distribution Agreement
GBC Technologies, a wholesale distributor of computer networking products based in Berlin, N.J., announced on July 25 that it has entered into a distribution agreement with FTP Software. The vendor FTP provides open systems products and services that interconnect PCs with virtually every major computer and network through the industry standard technology TCP/IP, or Transmission Control Protocol/Internet Protocol. FTP Software's flagship product is PC/TCP OnNet. On June 1, GBC Technologies opened Network Technology Centers in Berlin, N.J., and Carlsbad, Calif. The NTCs provide qualified resellers and integrators with an accessible network environment for testing network interoperability, software compatibility, simulating LAN/WAN connections and validating solutions. Participating vendors include Acer, Hewlett-Packard, SCO, Firefox and Novell. GBC has a government support program that includes a bid desk, project management organization and GSA Schedule support.

BMC Designs Partner Program and Channel Group
Houston-based BMC Software Inc. introduced its Preferred Partner Program focused on technology exchanges and the formation of a channel group on July 18. BMC is a leading developer and vendor of Cooperative Enterprise Management Solutions that automate application and data management across heterogeneous legacy and open systems environments. The program features four levels of participation: Alliance, Technology, Solutions and Consulting. BMC wants the program to help provide customers with integrated enterprisewide management solutions. The Preferred Partner Program targets systems and management software vendors, integrators, resellers, and application software and tool vendors. Partners include Compaq, Computer Associates, Cray Research, Data General, Hewlett-Packard, IBM, Informix, Logic Works, Novell, Olivetti, Oracle, Sun Microsystems, Sybase and Unisys.

nView Signs Agreement with Ingram Micro
nView Corp., Newport News, Va., has signed a distribution agreement with the largest computer distributor in the world, Ingram Micro. The Santa Ana, Calif.-based wholesale distributor will handle nView's line of electronic image projection products through its worldwide network of more than 65,000 reseller customers in 65 countries. nView designs and manufactures projection products, which project images from computers and video sources onto large screens.

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