Peabody, MASS., and Ghent, BELGIUM - October 27, 2004 - ScanSoft, Inc. (Nasdaq: SSFT), the global leader of speech and imaging solutions, today announced that Citibank's brokerage service CitiPhone, based on ScanSoft® speech solutions, received the best practice award as Best Voice Application in Germany at Voice Business' Voice Award Day 2004 in Munich, Germany. Citibank successfully deployed this speech-activated securities trading application two years ago, and has since benefited from significant efficiencies and cost savings.

The solution enables the bank's securities department to handle four times as many calls as was previously possible with live agents, resulting in substantial efficiency gains. ScanSoft designed the voice user interface and implemented the securities trading application which runs on an industry-leading, standards-based platform from Intervoice, Inc. (Nasdaq: INTV). Thanks to the state-of-the-art speech solution, Citibank customers can obtain stock quotes and execute securities transactions 24 x 7, simply by conversing with the speech recognition service, resulting in significant customer cost savings. For instance, the minimum charge per customer transaction has been reduced by 68 percent compared to an agent-handled call, and the actual customer ordering fees have been cut by as much as 75 percent, depending on the volume ordered.

"In the German market, we are known as an innovative and technology-driven company, and we are more than delighted to receive the best voice application award, as it reflects the positive customer response to our speech recognition service," said Guelabatin Sun, Citibank. "Due to the service's efficiency, user friendliness, and attractive fee structure, speech recognition has become for many the preferred method to conduct financial transactions. Over 80 percent of our telephone trades are now conducted using the speech interface."

The award winning speech-activated service includes all of the shares and warrants traded on the German stock exchange, and securely processes transactions in real-time. The system, powered by the Intervoice platform, can identify the 3,000 most frequently requested securities by name, and another 42,150 securities by their corresponding securities numbers. Apart from trading in stocks and shares, the speech recognition service also deals with real-time price inquiries for index and individual securities, and offers access to personal trading portfolios.

"ScanSoft congratulates Citibank on its recent success at the Voice Award Day, and are proud of being part of this success. It demonstrates to the German and global markets ScanSoft's leadership in the implementation of speech-activated solutions for complex financial services applications," said Peter Hauser, senior vice president and general manager of ScanSoft International. "The clear ROI and efficiencies of speech services combined with high customer satisfaction continue to compel leading financial organizations like Citibank, Deutsche Bank, Crédit Lyonnais and many others to deploy SpeechWorks® solutions from ScanSoft."

Recently named by Gartner as the global market share leader, and awarded Frost & Sullivan's 2004 Market Share Leadership Award, ScanSoft delivers speech applications for the real world -- field-proven solutions that use the human voice to interact with information systems and devices. ScanSoft continues to gain market share through a commitment to open solutions and a partner network that spans the globe, maintaining strategic relationships with hundreds of leading technology companies, consulting organizations and system integrators.

For more information on Voice Award, please visit www.voiceaward.de.

About Intervoice

With more than 21,000 systems deployed around the globe, Intervoice is the world leader in converged voice and data solutions. We provide the applications, tools and infrastructure that enable enterprises and carriers to attract and retain customers and promote profitability. Omvia , our open, standards-based product suite, is transforming the way people and information connect. Omvia offers speech-enabled IVRs and applications, multimedia and network-grade portals, wireless application gateways, and enhanced services such as unified messaging, short messaging services (SMS), voicemail, prepaid services and interactive alerts. Intervoice is headquartered in Dallas with offices in Europe, the Middle East, South America, and Asia Pacific. For more information, visit www.intervoice.com.

About Citibank

Citibank is the world's biggest provider of private banking, and specializes in offering custom solutions from all areas of finance. In Germany, Citibank has some 300 branches throughout the country. Its approach stands for innovation and customer focus: thus it was one of the first to introduce phone banking and resolutely implement a multi-channel range of services. Today, customers have five access options: branches, self-service terminals, phone, Internet and - as of February 2000 - mobile customer consultants. Thus, Citibank combines the advantages of a branch bank with those of a direct bank. In May 2000, Citibank became Germany's first branch bank to introduce the active marketing of investment funds offered by third-party fund management companies. Citibank advises its customers as an objective and independent fund adviser, whose objectivity is ensured by the use of Standard & Poor's Fund Management Rating.

About ScanSoft, Inc.

ScanSoft, Inc. (Nasdaq: SSFT) is the global leader of speech and imaging solutions that are used to automate a wide range of manual processes -- saving time, increasing worker productivity and improving customer service. For more information regarding ScanSoft® products and technologies, please visit www.ScanSoft.com.

Trademark reference: ScanSoft, the ScanSoft logo, and SpeechWorks are registered trademarks or trademarks of ScanSoft, Inc. or its subsidiaries in the United States and/or other countries. All other company names or product names referenced herein may be the trademarks of their respective owners.

The statements in this press release that relate to future plans, events or performance 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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