PEABODY, Mass., December, 12, 2002 - ScanSoft, Inc. (Nasdaq: SSFT), a leading supplier of imaging, speech and language solutions, today announced that Open Scan Technologies, Inc., a leading provider of exception mail processing systems, has selected the ScanSoft® Capture Development System to add highly accurate optical character recognition (OCR) capabilities to its Open Key™ and Dynamic Template™ solutions. By incorporating ScanSoft's recognition capabilities into its products, OPEN SCAN is able to automate the processing of exception mail with envelope level integrity, resulting in significant savings and improved workflow for its customers.

High-speed, automated remittance processing systems depend greatly on the format of incoming payments, which typically include a single remittance stub or coupon and a single check in the return envelope, being consistent. Any incoming mail that deviates from this format is considered an exception and must be reconciled outside of the high-speed process. On average, exception mail comprises only10 to 20 percent of the mail entering high-volume mailrooms. However, typical exception processing can consume 40 to 50 percent of mailroom operating budgets.

The OPEN SCAN solution utilizes the sophisticated recognition technology of the ScanSoft Capture Development System to automate the processing of variable remittance documents, including multiple page invoices with multiple checks and correspondence. OPEN SCAN's unique software accurately extracts data, regardless of the form type, and provides remittance-processing staff with the ability to proof and reconcile the payments received. The solution delivers a real return-on-investment to OPEN SCAN customers by reducing manual processing costs, increasing remittance processing speed and improving customer service quality.

"When we set out to tackle the challenge of automating exception mail, we knew we would need a recognition solution that was highly accurate and flexible, had fast performance and delivered a level of reliability that would match the mission critical nature of our application," said Nadine Lange, founder and CEO of OPEN SCAN. "We found it all and more in the ScanSoft Capture Development System."

The ScanSoft Capture Development System provides application developers with an extensible way to add high-volume imaging, capture and PDF capabilities to commercial, OEM and in-house applications. The extensible system includes components for scanning, OCR, ICR, OMR and barcode recognition, as well as complete input and output support for PDF, TIFF and a variety of other document formats. Pre-made user interface components for scanner interfaces, image correction and image pre-processing controls are also included. ScanSoft's recognition developer tools have been selected by leading organizations, including Autodesk, Canon, FileNET, Microsoft, and Xerox, to shorten development time while increasing the capabilities of their products.

"For many years, developers have used ScanSoft's imaging and speech recognition products to automate the lion's share of manual processes," said Robert Weideman, chief marketing officer for ScanSoft. "Performance and accuracy advances in our products are now providing vendors such as OPEN SCAN with the ability to automate even the most difficult of manual processes."

Pricing and Availability

The ScanSoft Capture Development System v11 is available from ScanSoft now, with pricing starting at $4,495. Additional information is available at www.ScanSoft.com/CaptureSDK, or by calling 800-443-7077.

About ScanSoft, Inc.

ScanSoft is a leading supplier of imaging, speech and language solutions that are used to automate a wide range of manual processes - saving time, increasing worker productivity and improving customer service.

Trademark reference: ScanSoft is a registered trademark or trademark of ScanSoft, Inc. in the United States and other countries. All other company names or product names referenced herein may be the trademarks of their respective holders.

The statements in this press release that relate to future plans, objectives, events or performances are forward-looking statements that involve risks and uncertainties, including risks associated with market trends, competitive factors, and other risks identified in ScanSoft's SEC filings. Actual results, events and performance may differ materially. Readers are cautioned not to put undue reliance on these forward-looking statements that speak only as of the date hereof.

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