Panda Software Increases Channel Partners Announces Expanded Distribution Relationship with Merisel

FOR IMMEDIATE RELEASE   PANDA SOFTWARE INCREASES CHANNEL PARTNERS ANNOUNCES EXPANDED DISTRIBUTION RELATIONSHIP WITH MERISEL GLENDALE, CA – March 24, 2004 - Panda Software, a manufacturer of premium antivirus solutions for the enterprise, business, SOHO and consumer markets, announced today that it has expanded its distribution agreement with Merisel Inc.(NASDAQ:MSEL), a provider of software licensing products to U.S. resellers,. As one of Panda’s key volume-licensing distributors for the United States, Merisel will provide licensing and support solutions through personalized, high-touch customer service, an online license configurator and order management tool. This distribution expansion is part of Panda Software's focus on the U.S. channel in 2004 and beyond. Panda recently announce its Pledge to Channel Partners to standardize all promotional programs in the channel and maintain strict adherence to their MSRP schedule, while offering solid margins to active resellers. In addition, Panda is offering generous co-op for those partners who prove successful at delivering solutions to satisfied end-users. Among the key reseller benefits in partnering with Panda is access to a new suite of enterprise products covering every known virus entry point, and product & service support in over 50 countries. Under the terms of this agreement, Merisel will distribute all of Panda’s products through its targeted reseller channel and also will engage in strategic marketing and support initiatives. “Merisel and Panda Software share a common business goal of helping small-to-midsize businesses improve digital security through the implementation of virus and intrusion prevention technologies. We selected Panda Software because of its leadership position in the network security space and its commitment to the channel,” said Traci Barnett, Vice President, Sales and Marketing, Merisel. "Panda Software delivers a solid product with automatic daily virus signature updates and continues to provide great value and protection for its users. Its suite of corporate solutions is a logical addition to Merisel's security product line up.” “Panda Software is very optimistic about expanding this relationship with Merisel,” said Brian Cotter, Vice President of Channel Sales at Panda Software US. "We couldn’t be more pleased to have this alliance as Merisel’s strong focus on volume licensing allows us to reach thousands of new resellers. The U.S. distribution channel is more competitive than ever, so as Panda expands its product lines, we will benefit alongside Merisel as they continue to grow their security products base. Clearly, our reseller partners and consequently our end-users will be well served through this alliance.” ABOUT MERISEL: Founded in 1980, Merisel Inc. (NASDAQ: MSEL) is a leading software solution provider, offering more than 37,000 products from leading manufacturers such as Corel, Macromedia, Microsoft, Network Associates and Symantec to resellers throughout the United States. In addition to providing software licenses, Merisel also offers a range of end-user and marketing support services to its small-to-midsize business customers. These services focus on security, storage and wireless solutions. The company is headquartered in El Segundo, Calif. (www.merisel.com) ABOUT PANDA SOFTWARE: Panda Software (http://www.pandasoftware.com) was the first company to allow truly automatic daily signature updates, as well as centralized administration of antivirus protection, both of which have revolutionized the antivirus industry since the mid-90’s. Panda Software is known for its user-friendly policies, including free telephone support for corporate customers, expanded competitive renewal programs and free disinfection services. All of its products feature exclusive SmartCleanTM and TrueDailyTM technologies and are endorsed by major industry watchdogs including ICSA Labs and Checkmark. # # # FOR MORE INFORMATION: For Panda Software Alan Wallace VP, Corporate Communications US [email protected] (818) 543-6909 For Merisel Cara Good WunderMarx Inc. (949) 860-2434 ext. 312 [email protected]