For Immediate Release
Contact: Dr. E. Ted Prince
INSCI Corp
508-870-4015

INSCI Announces Termination of Bank of New York Agreement

WESTBOROUGH, MA. April 11, 1996 - INSCI Corp (NASDAQ: INSI): INSCI announced today that it had terminated its loan agreement with the Bank of New York. According to Dr. Ted Prince, Chairman and CEO of INSCI Corp, “The termination of the agreement means that INSCI, for the first time, can put in place a normal banking relationship. This provides us with significantly greater flexibility in our capital structure. Since INSCI has been making acquisitions, the termination of the agreement is a major step forward to us in allowing us increased capability to achieve the company's strategic expansion goals.”

Under this agreement INSCI Corp was obligated to employ Bank of New York to manage its receivables in return for certain fees. The company has not borrowed under this agreement since April 1994. BNY was under no obligation to make any loans to the company and also had a security interest in all the company's assets. The agreement was originally entered into in February 1994. The company made a final payment of $75,000 to the Bank of New York to terminate the agreement. This releases the company from all obligations under the agreement. This agreement will free up all assets of the company which were secured by BNY, which will allow the company to pursue other strategic goals and relationships.

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INSCI Corp develops, markets, and supports client/server electronic printing and document management software utilizing optical disk and CD storage technology to index, archive, retrieve, and distribute computer-generated documents and scanned images including statements, reports, invoices, and transaction data. INSCI also sells print-on-demand software for the automated document factory market. The company provides customers with an extensive range of systems integration and consulting services based upon its expertise in integrated output management, electronic printing, print-on-demand, data storage, data warehousing and data mining. The Company is headquartered in Westborough, Massachusetts.

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