Ingate Announces distribution agreement with Mitsui & Co. Ltd.

Leading international trading company to market and distribute Ingate Firewalls and SIParators in Japan and throughout Asia; initial commitment of $500,000, growing to $1 million annually

Stockholm, August 13, 2003 - Ingate Systems AB (www.ingate.com), the leading supplier of SIP-capable enterprise firewalls, announces a distribution agreement with Mitsui & Co. Ltd., one of the world's largest international trading companies, to market and distribute Ingate's award-winning Firewall and SIParatorTM products in Japan and throughout Asia. The agreement provides for an initial order of Ingate product by Mitsui for $500,000 U.S.D., growing to $1 million annually.

A leader in next generation firewall technology, Ingate manufactures the world's first SIP-capable enterprise firewalls, which allow businesses of all sizes to enable their networks to accept SIP. SIP is the standard Internet protocol for applications such as VoIP, instant messaging, video and data collaboration. Ingate also produces the SIParator®, a device which connects to an existing network firewall to seamlessly enable the traversal of SIP communications.

"There is a strong demand throughout Asia for enterprise firewalls that support SIP, the standard Internet communications protocol for real-time person-to-person communications. This distribution partnership illustrates Mitsui's confidence in Ingate's SIP-enabling security products," said Olle Westerberg, Chief Executive Officer, Ingate Systems AB.

Ingate is well equipped to meet the demand for Ingate's products found in the region. In addition to the Mitsui agreement, Ingate also has a relationship with Japan-based Bell Net Corp., which is responsible for Asian sales support and is a minority shareholder of the company. In addition to reaching the Asian enterprise market, Ingate's security products are currently distributed in North America, South America and Europe.

About Mitsui & Co., Ltd

Mitsui & Co., Ltd is one of the world's largest international trading companies with more than 880 subsidiaries and associated companies in a wide range of industries. The company operates through five main business groups: chemicals; consumer products and services (retailing, foods, textiles, property development); energy (liquefied natural gas); machinery, electronics, and information (power plants, aircraft leasing, IT services); and metal products and minerals (iron and steel, nonferrous metals). For more information please visit www.mitsui.co.jp/tkabz/english/.

About Ingate Systems

A world leader in next generation firewall technology, Ingate Systems produces and sells the world's first SIP-capable enterprise firewalls and the SIParator?, a device that connects to an existing network firewall to seamlessly enable the traversal of SIP communications and winner of Internet Telephony magazine's Product of the Year Award. Ingate Systems has a long history of developing secure communications technology and today offers enterprises unprecedented value and ability to develop SIP-based, person-to-person real-time communications. Ingate's security products currently protect the networks of retail companies, financial institutions, industrial firms, government agencies and small-to-large enterprises throughout Europe, Asia and North America. Majority-owned by Intertex Data AB and Bell Net Corp, Ingate Systems AB is located in Stockholm and Linköping, Sweden. Its wholly-owned subsidiary, Ingate Systems Inc., is located in Hollis, New Hampshire. For more information on Ingate Systems, visit www.ingate.com.

For more information, please contact:

Olle Westerberg, Chief Executive Officer, Ingate Systems AB
+46 - 8 - 600 77 54
olle@ingate.com

Hillary Call, Public Relations Manager, Ingate Systems
(917) 414-9262
hillary@ingate.com