PORTLAND, OR - October 15, 2002
Inspiration Software, Inc. announced today that it was recently named one of America's entrepreneurial growth leaders by Inc magazine. The company ranked 310th in its first appearance on the list of 500 of the nation’s fastest-growing private companies, appearing in the magazine's special Inc 500 issue, which hits newsstands today.

Portland-based Inspiration Software achieved 617 percent growth in the past five years, with sales growing from $2,426,104 in 1997 to $17,405,066 in 2001. Inspiration Software is Oregon's leading publisher of education software and the market leader in software for visual learning and thinking. Today, the company’s software has more than 10 million users worldwide.

"We founded Inspiration Software based on a vision of how visual learning software develops critical thinking skills and the ways that successful companies operate. We built our products and the company based on those ideas and, in spite of economic ups-and-downs, have experienced positive growth for the past nine consecutive years," said Donald Helfgott, chief executive officer and co-founder, Inspiration Software. "Inspiration Software's Inc 500 ranking reaffirms our founding vision and is testament to the important role that visual learning and technology play in schools today."

Started in 1982, Inc 500 ranks the nation's leading entrepreneurial firms according to sales growth over the previous five years. Former companies that have gone on to become household names include Microsoft, Timberland, Domino’s Pizza and Patagonia.

The 2002 Inc 500 reveals a surprising resiliency within the entrepreneurial sector, where leading companies are continuing to show dramatic rates of growth despite the recession.

The average five-year growth rate of this year's Inc 500 companies is 1,521 percent. While that is less than the 1,933 percent average for companies on last year's list, it is nonetheless dramatic in the current environment. Average 2001 sales for the Inc 500 dropped only slightly, from $24,976,000 to $24,706,000. More than two-thirds (73 percent) of 2002 Inc 500 companies are profitable. Despite the technology bust, "Computer Software & Services" remains the leading industry category, representing nearly 40 percent of firms on the list.

"This is the first Inc 500 ranking to reflect the full impact of the recession," said Inc editor John Koten. "Yet these entrepreneurs are managing to confound the naysayers and move ahead despite the obstacles. They’re showing that smart strategies can succeed even in the toughest of times."

To be eligible for this year's Inc 500, companies had to be independent and privately held through their fiscal year 2001, have at least $200,000 in sales in the base year of 1997 and their 2001 sales had to have exceeded 2000 sales. Holding companies, regulated banks and utilities are not eligible. Inc verifies all information using tax forms and financial statements from certified public accountants and by conducting interviews with company officials.

Inc, the premier magazine for growing companies, may be accessed online at www.inc.com. The magazine is owned by Gruner + Jahr USA, one of the top-ranked magazine publishers in the U.S., reaching one of the largest readerships in America. In addition to Inc, Gruner + Jahr USA publishes Child, Family Circle, Fast Company, Fitness, Inc, Parents and YM. G+J USA is 25.1 percent owned by the Jahr Group and 74.9 percent owned by Bertelsmann AG, the largest privately held and the fifth largest media company overall in the world with yearly revenues at $17.86 billion.

About Inspiration Software, Inc.
Celebrating its 20th anniversary in 2002, Inspiration Software^®, Inc. is recognized as the leader in visual thinking and learning. The company develops and publishes innovative software tools that inspire learners of all ages to brainstorm, organize, plan and create. With more than 10 million users worldwide, the company's award-winning software is revolutionizing visual learning in education - inspiring students to develop strong thinking and organizational skills and improve their academic performance. Founded by Donald Helfgott and Mona Westhaver, the company's mission is to support improvements in education and make a positive difference in student's lives by providing software tools that help students learn to think.

For more information, press only:
Lisa Wolfe, L. Wolfe Communications,
312-494-0754, lwolfe@lwolfe.com