Microlog Settles DOD Pharmacy Contract
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[April 13, 2004]

Microlog Settles DOD Pharmacy Contract

GERMANTOWN, Md. --(Business Wire)-- April 13, 2004 -- Microlog announced today that the company has entered into a settlement agreement with the Department of the Interior, GovWorks, and TRICARE Military Authority (TMA) regarding the award of the DOD Pharmacy Contract by the Department of the Interior, GovWorks, to Audiocare. The settlement agreement precludes any further protests of the award to Audiocare.



Microlog was originally awarded the contract in May, 2003 by the procuring agency for the Department of Defense, GovWorks, in the Department of the Interior. Audiocare filed a formal protest with the General Accounting Office in June, 2003. Subsequently, GovWorks chose to solicit new proposals from the two final vendors. Following the re-evaluation, the Department of the Interior informed Microlog of a reversal in the award decision. In accordance with federal procurement regulations, Microlog formally filed a protest of this decision with the General Accounting Office on December 12, 2003. Immediately in response to the protest GovWorks agreed to take corrective action, resulting in the dismissal of Microlog's protest as academic. Subsequently, Microlog has entered into a settlement agreement with the Department of Defense, GovWorks, and TMA under which Microlog has agreed not to file any additional protests of the award to Audiocare.

Microlog (OTCBB:MLOG) is a market leader in communications for customer service, delivering solutions for clients in both commercial and public sectors. Microlog offers a complete solution for automated pharmacy refill as well as systems that provide patient reminders for both doctor visits and in-store pickups. Microlog supports customer communications of all types including telephone, TDD for hearing impaired, Automated Outbound Dialing, Voice Message Queuing, e-mail, Web chat, Web callback, Web collaboration, Web mail, Voice over IP, FAX and scanned hardcopy mail. For more information call 301-540-5500 or visit www.mlog.com.

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