NEXSAN AND PEGASUS PARTNER TO DELIVER TIERED DISK AND OPTICAL STORAGE SOLUTIONS

Pegasus named to Nexsan's Strategic Solutions (S²) Program

WOODLAND HILLS, Calif ., August 16 , 2006 - Nexsan Technologies, the leader in innovative storage technologies, and Pegasus, a leading software company specializing in optical archive management solutions with UDO, Blu-ray, DVD and CD media, announced a partnership to deliver a storage solution for long- term retention, management, protection and disposition of fixed content files. With the announcement, Pegasus becomes a member of Nexsan's Strategic Solutions (S²) Program.

Pegasus' storage management software, InveStore, has over 14,000 customers and is sold through major OEMs, ISV developers and integrators , who incorporate it into document imaging, information and lifecycle management solutions primarily in the financial and healthcare markets. These customers will now be able to seamlessly integrate with Nexsan's AssureonT Secure Storage Solution. Nexsan's Assureon system utilizes CAS (content addressed storage) technology to provide efficient and secure management of backup and archive information. The integration of InveStore with Assureon allows optical library customers to take advantage of CAS technology. Assureon's CAS system reduces storage costs by eliminating all duplicate files (single instance store). Self-management capabilities allow the overall storage capacity to grow without additional manpower. Self-diagnostic and self-healing capabilities are built into Assureon assuring a customer that the integrity of a file will be intact 5, 20, 50 years in the future.

"Optical storage libraries have been the traditional environment for long-term archiving by providing the secure media required by many compliance regulations. In the past few years our clients have wanted the speed of disk storage and the security of optical media. Assureon provides encryption which is becoming extremely important for offsite media storage. It also has many other capabilities, such as, disposition at the file level regardless of where the media is stored, internal integrity auditing, and audit capabilities to meet many specific compliance regulations," according to Roy Slicker, CEO and President of Pegasus. "Integrating InveStore with Nexsan's Assureon provides our clients with a secure and comprehensive solution for stringent archiving and compliance requirements."

"We were impressed with the Pegasus InveStore archive management software, which has undergone extensive testing and integration in Nexsan's R&D labs," said Diamond Lauffin , Sr Executive Vic e President of Nexsan. "The combination of InveStore and Assureon is unique and offers an ideal compliance appliance and one that is unbeatable for long-term permanent storage as well. The time and effort put into the integration by Pegasus truly makes them a solid Nexsan partner."

Like other software and hardware manufacturers that have completed the S 2 process, Pegasus benefits from special pricing on Nexsan products to be integrated into their solution, referrals to channel partners, co-marketing opportunities, and cooperatively produced white papers and collaterals. Total solutions will carry a 'Nexsan Certified' designation and be included in Nexsan's award-winning family of products.

About Pegasus
Pegasus, headquartered in San Ramon , CA develops archive management software for Optical, Blu-ray, DVD and devices from leading manufacturers. Founded in 1988, Pegasus has developed long-term strategic partnerships with leading developer ISVs and OEMs that use its products to manage storage devices within their applications. Pegasus is located at 2333 San Ramon Valley Blvd. , San Ramon , California , 94583 and can be reached by phone at (925) 314-1800, by fax at (925) 314-1801 or on the World Wide Web at www.pegasus-afs.com .

About Nexsan Technologies
Nexsan Technologies, headquartered in Woodland Hills , Calif. , is the leader in innovative and correct-cost storage solutions. The company creates and delivers award-winning, storage-centric hardware and application-based solutions worldwide through one of the most diverse and established networks of professionals in the storage industry. Next-generation Nexsan storage products are designed for corporate, graphics, medical imaging, animation and special effects, real-time/event monitored/on-line/off-site storage, Internet-delivered content, digital film and video, financial online transaction processing, music and voice, video security, and document imaging. For more information, please see the company's website at: http://www.nexsan.com .

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