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ZixIt Eliminates Security Risks at Anacom Communications

DALLAS--(BUSINESS WIRE)--June 20, 2001--ZixIt Corporation (Nasdaq:ZIXI) today announced that it has eliminated potential security risks at its independent subsidiary Anacom Communications, Inc. (Anacom), an online credit card processing service provider.

On Monday, June 18, 2001, ZixIt management was informed that the credit card databases at Anacom had been improperly accessed and that fraudulent transactions were being processed. ZixIt management immediately took control of the Anacom communications network and terminated any access to the Anacom transaction processing system. Simultaneously, ZixIt management brought in the FBI to begin a criminal investigation. Also on Monday night, ZixIt management took control of the entire Anacom premises and began forensic data analysis.

On Tuesday, June 19, 2001, ZixIt management began the process of notifying merchants of system processing problems at Anacom and advising them to transfer their electronic commerce transactions to other payment gateways for processing.

On Wednesday, June 20, 2001, outside forensic data experts officially confirmed that both the intrusions and fraudulent transaction processing had occurred. ZixIt management then began the process of notifying all credit card companies of credit card accounts that may have been improperly accessed.

ZixIt President and CEO David Cook, said, "We are working closely with law enforcement officials to determine what happened and who was responsible for the unauthorized network access. At this stage, we have not determined the extent of the potential damage, but we have taken all appropriate steps to prevent further access to customer data."

In 1999, ZixIt Corporation acquired Anacom and retained prior Anacom management to run the company as a fully independent subsidiary.

"It is important that all ZixIt customers around the world who are using ZixMail or ZixMail.net for secure Internet communications understand that the ZixMail systems and the ZixIt Data Center are entirely separate from those of Anacom. No ZixIt technologies or operations are involved whatsoever," said Mr. Cook.

Mr. Cook also noted, "Anacom's revenues for the previous 12 months were approximately $400,000, and therefore, the impact to ZixIt's future revenues from this event will be minimal."

ZixIt Corporation provides products and services that enhance security, privacy, and convenience for users of the Internet. The company's ZixMail(TM) product is a secure and private email application and service that enables Internet users worldwide to easily send encrypted and digitally signed communications using their existing email systems and addresses. For more information, email sales@zixit.com, call 214-370-2000, or visit www.zixit.com. For ZixIt investor information, call (214) 515-7357 or email invest@zixit.com.

CONTACT: ZixIt Corporation
Media
Paul LaBelle, 508/869-0264
plabelle@zixit.com
or
ZixIt Corporation
Investors
Beverly V. Fuortes, 214/515-7357
invest@zixit.com