FLS Launches FLS Year End Tax System™ on Oracle® Database Platform

New Platform Provides Faster Processing, Reduced Maintenance

DALLAS, TEXAS - 10/28/02 - Federal Liaison Services, Inc. (FLS), a leading supplier of employer compliance software and services, today announced the general availability of the FLS Year End Tax System™, version 2002.1, which now operates on the Oracle® 9i database platform.

The FLS Year End Tax System software provides an automated method to issue/reissue tax forms such as W-2, W-2c, W-3, W-3c and 941c, as well as a variety of 1099 forms. The Oracle platform provides faster and more efficient access to tax records, forms, and management reports, as well as reduced maintenance requirements.

The manual processing of year-end forms can be a laborious and expensive task. The Internal Revenue Service reports that creating a W-2 manually may take as long as 30 minutes. The agency also has the option to levy a penalty, under the IRS Code, of $50 per W-2 for listing an incorrect Social Security Number or name on a wage report, and has announced plans to enforce the penalty for this tax year. Automating the wage reporting process with the FLS Year End Tax System, however, saves time and minimizes inaccuracies due to human error. Perpetual storage of hardcopy W-2s and 1099s can be eliminated, resulting in improved efficiencies for payroll and human resource departments.

The most significant enhancements included in version 2002.1 are:

• Higher Reliability: The Oracle 9i database provides an extremely secure and stable platform for high-demand functions such as processing large volumes of year-end records. PC Magazine gave Oracle 9i its Editors Choice award for database platforms in its class.
• Increased Performance: Data importing and processing time has been significantly reduced. For example, an import of year-end data that formerly required hours can now be completed in minutes. Reporting functions have been similarly improved.
• Enhanced Interface: The user interface has been streamlined and updated to provide a more enjoyable and efficient user experience.
• Extended Functionality: The system can export data for use with FLS Year End Printing Services™ to create printed and/or electronic W-2s and 1099s.

"Since 1992, FLS Year End Tax System customers have enjoyed immediate access to their W-2 and 1099 information," says Fran Bartlett, CEO of FLS. "Now, thanks to the benefits of the new platform and other improvements, users can access their data much more quickly and efficiently, allowing them to further streamline the demanding year-end reporting process."

About Federal Liaison Services, Inc. (FLS)

FLS is the leading provider of software solutions and services to employers for government reporting and compliance. FLS solutions automate payroll tax payments and filings, wage garnishment processing, and year-end W-2 and 1099 processing. FLS clients include more than 400 members of the Fortune 1000, as well as major government agencies. Visit FLS online at www.flsinc.com or call 972.239.8881. Company headquarters are located at 12001 N. Central Expressway, Suite 700, Dallas, TX 75243-3715.