IEPER, Belgium., - December 7, 2001 - In conjunction with ScanSoft’s (Nasdaq: SSFT) previously announced acquisition of the Lernout & Hauspie speech and language business, Paul Ricci, ScanSoft’s chairman and CEO, this week visited Belgium to meet with L&H representatives, greet employees and continue the integration planning. In response to press requests and given limited time for personal interviews, ScanSoft has issued the following statement:

“It is a pleasure to be in Belgium during these exciting times As you can imagine, the past several weeks have been extremely busy, but offer much promise. ScanSoft is very excited about incorporating the Lernout & Hauspie speech and language business with our own. The relationship adds superb technologies and products, brings strength to our distribution channels, provides access to a prestigious customer base and, importantly, introduces ScanSoft to a collection of highly motivated, talented L&H employees that can expand the company’s business worldwide.

The most important assets for any enterprise are its people who, through their dedication to the company, deliver the products and services to customers. The management team at L&H has operated under extraordinary conditions to maintain employee morale and commitment, and we applaud them for their work in preserving the value represented by the dedicated employees of L&H worldwide.

Having visited several offices and met employees, we are enthusiastic about offering employment to a number of L&H employees in Belgium. It’s become clear through our activities both here and abroad that the L&H family brings a passion and zeal to its business that fits nicely with ScanSoft’s own motivation to be the global leader in its field.

While ScanSoft and L&H representatives work with the U.S. Bankruptcy Court to validate the auction process, we are working at full speed to complete an integration plan. By showing a commitment to the people involved, ScanSoft is attempting to preserve the value represented by the employees, and to maximize the future value of these assets. Our goal is to be prepared to close the transaction quickly upon confirmation by the U.S. Bankruptcy Court. We recognize that this is especially important to L&H’s Belgian employees whose contracts end on December 14.

Today we’ve reached an important milestone in the acquisition process by signing a definitive agreement between ScanSoft and L&H. The agreement serves to define the specific terms of the acquisition and will enable the quick and seamless transfer of assets and employees upon closing. Closing the transaction remains subject to approval by the U.S. Bankruptcy Court and conclusion of the parallel proceedings here in Belgium. The U.S. Bankruptcy Court began its hearing on December 4, 2001, and will continue on December 11, 2001.

We have much work to do with the L&H management and employees as we complete the integration of the L&H business into ours. We welcome the challenges and look forward to the opportunities that lie before us. We will share more information as it becomes available. Thank you.”

About ScanSoft, Inc.

Headquartered in Peabody, Mass., with European headquarters in The Netherlands, ScanSoft, Inc. (Nasdaq: SSFT) is a global leader in paper-to-digital solutions for desktop, network, Internet and mobile environments that enable users to leverage the power of their scanners, digital cameras and other electronic devices.

Safe Harbor Statement
The Company notes that the statements in this release that relate to the company’s plans, objectives, expectations and intentions, including without limitation ScanSoft’s integration plans, are forward-looking statements subject to risks and uncertainties that may cause the Company’s actual results to differ materially. These risks and uncertainties include, but are not limited to, the risks that the bankruptcy court may not approve ScanSoft’s bid, that the bankruptcy court re-opens the bidding process based upon claims being made by SpeechWorks, the Company’s ability to close the transaction in a timely manner, market acceptance, the impact of competitive products, and other risks detailed from time to time in the Company’s SEC reports. Readers are cautioned not to place undo reliance on these forward-looking statements, which speak only as of the date hereof.

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