MUSTANG PRESS RELEASE


                                                                                
                  07/26/96    PRESS RELEASE                                     
                                                                                
 Mustang Software, Inc. To Provide Wildcat! Webmasters Real-Time                
           Processing Of Credit Cards And Electronic Checks                     
                                                                                
     Strategic Partnership With Automated Transaction Services Creates          
      Commerce-Driven Wildcat! Online Sites, Merchant Account Access.           
                                                                                
Bakersfield, California -- July 26, 1996: Mustang Software, Inc.                
(NASDAQ: MSTG) has announced a strategic partnership with Automated             
Transactions Services (ATS) of Westlake Village, California to provide          
electronic transaction services for businesses using the company*s              
Wildcat! Interactive Net Server and Wildcat! 5 products. The agreement          
will allow for real-time online processing of credit cards and                  
electronic checks for Wildcat! sites using a state-of-the-art                   
proprietary encryption system developed by ATS. Under the terms of the          
arrangement, ATS will also offer steep discounts on setup and                   
transactional fees to Wildcat! Webmasters, and can assist those without         
merchant accounts by setting up check processing immediately and helping        
to apply for a merchant credit card processing account.                         
                                                                                
"The success of any commercial web site or online service depends many          
factors, but the most important is the ability to generate revenue,"            
states Jim Harrer, president and CEO of Mustang Software. "The                  
association with ATS allows us to bring a powerful commerce service             
alternative to companies that choose Wildcat! as their Web platform,            
with the versatility to allow any consumer to conduct secure commerce           
over the net, whether using Visa, MasterCard, Discover, American                
Express, or a check." It is estimated that 48% of adult Americans (over         
70 million) do not have a credit card and "by accepting electronic              
checks, an online service can pick up as much as 30% more business,"            
states Bill Parodi, president of ATS. "It may seem strange," continues          
Parodi, "but the majority of people feel more comfortable writing an            
electronic check than using a credit card. We see these people as               
greatly untapped market." ATS is one of two companies that currently            
provide electronic commerce services, and the only provider that uses           
electronic funds transfer for checking account access.                          
                                                                                
The availability of easy access to online transactional services for            
credit cards and electronic checks opens the doorway to a wide audience         
for profit-generating Web sites in areas including electronic                   
publishing, entertainment, and technical / customer support. One                
tremendous advantage offered by Wildcat! is that they are not limited to        
strictly a Web presence * Wildcat! also functions as a dial-in server,          
allowing the two-thirds of American modem users currently without               
Internet access the opportunity to participate in Web activities.               
                                                                                
"The ability to take electronic checks from subscribers and then give           
instant access opens up my market dramatically, " stated Chris Timbes,          
of Mississippi-based Paragon Online. Paragon Online was one of the four         
sites running the Wildcat! commerce software paired with ATS transaction        
services through the system*s beta testing phase. "It allows a spur of          
the moment purchase * an impulse buy * for those who don*t want to              
wait," continued Timbes. "The Wildcat! - ATS pairing gives me a shot at         
catching those subscribers that normally would have gotten away." ATS is        
also able to offer Wildcat! sites quick processing response, with               
transaction processing times ranging from 7.5 to 22 seconds from                
customer initiation to completion.                                              
                                                                                
For more information on Wildcat! Web and online commerce solutions,             
contact Mustang Software directly at (805) 873-2500 or toll free at             
(800) 999-9619.                                                                 
                                                                                
Founded in 1986, Mustang designs, develops, markets and supports online         
platform, Net server and communications software with its headquarters          
located at 6200 Lake Ming Road, Bakersfield, California, 93306. Mustang         
Software can be reached by calling (805) 873-2500 or (800) 999-9619; via        
BBS (805) 873-2400; and through the Internet at http://www.mustang.com          
(WEB) or bbs.mustang.com (Telnet).                                              
                                                                                
Automated Transaction Services, Inc., developer of "Online Electronic           
Banking", bases its products on the efforts of its principals, a group          
of financial and computer professionals engaged in automating                   
transaction processing methods for Online Industry. ATS is located at           
2026 Bridgegate Court, Westlake Village, California, and can be reached         
at (800) 435-6981 or by fax at (805) 379-9772, and through the Internet         
at http://www.versanet.com/ats (WEB) or support@atsbank.com (e-Mail).           
                                                                                
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