Press Release

Novell Implements Sweeping Reform to Improve Distribution Across Europe, Middle East and Africa

Novell EMEA Optimises Channel To Focus On Better Reseller Support

EMEA —November 20, 1998 — Novell has today announced that it will significantly improve its service to partners and resellers through a programme that consolidates its distributor relationships across Europe, the Middle East and Africa. This strategy is the biggest realignment of Novell EMEA's distribution channel in recent history and puts Novell in overall responsibility for the demand creation and fulfilment of all its products.

The total number of Novell distributors across the region will be reduced in total from 102 to 60. The new distributors will provide enhanced value to resellers with:

  • New business opportunities and increased profitability for the resellers

  • Ease of purchasing from distributors

  • Better presales, post sales, marketing and technical support to resellers.
James Pattinson, director for European Channel Sales, Novell EMEA, explained: "An example of ways in which the new initiative will benefit resellers is a focus on Novell's 21st Century Solutions to address the issues for large and SME businesses such as electronic commerce, data warehousing and Year 2000 software compliancy. Our distributor partnerships provide better support for Novell's resellers to take these solutions, the first complete suite of products taking networking into the next century, to market."

The pan-European initiative, which has been decided and implemented on a country by country basis, will boost Novell's best distributors into a position where they can deliver Novell's extensive European reseller base with consistent service levels and product availability across the entire region.

"The distributors that will now partner Novell have been evaluated on past performance, not on future promises. Good relationships with our distributors will simply create a more sophisticated channel from which both they and Novell resellers will benefit. Those distributors with which we will no longer be doing business have already received notice that contracts are to be terminated", said Pattinson.

"Novell's business in EMEA is up 37 per cent year-on-year for the first nine months of fiscal 1998. We expect these positive developments to continue given Novell's leadership in directory services and the strength of new product cycles that are being developed. These arrangements will allow Novell to provide the quality of support the market expects", concluded Pattinson.

About Novell

Novell, Inc. (NASDAQ:NOVL) is the leading provider of network software enabled by directory services. Novell Internet solutions make networks more manageable and secure and reduce the total cost of ownership for organizations of every kind and size. Novell's worldwide channel, developer, education and technical support programs are the most extensive in the network computing industry.

For information on Novell's complete range of products and services, contact Novell's Customer Response Center at (888) 321-4CRC (4272), or visit Novell's Web site at http://www.novell.com. Press may access Novell announcements and company information on the World Wide Web at http://www.novell.com/pressroom.

Press Contacts:
Maria Richardson
Novell EMEA
Tel: +44 1344 724313
Internet: maria_richardson@novell.com

James Bateman /James Harrison
Hill& Knowlton
Tel: +44 171 413 3773