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                               ADAPTIVE SOLUTIONS, INC.




                                    PRESS RELEASE
FOR IMMEDIATE RELEASE


ADAPTIVE SOLUTIONS ANNOUNCES CLOSE OF BUSINESS

Beaverton, OR - October 29, 1998 -- Adaptive Solutions Inc. (ADSO) announced
that it will cease operating at the close of business October 29, 1998. To
facilitate an orderly liquidation of the company's assets, Adaptive Solutions
has filed a Chapter 7 bankruptcy petition with the United States Bankruptcy
Court for the District of Oregon. Management cited the loss or delay of several
significant purchase orders in September as a key reason for the decline in the
company's financial condition.


Since Adaptive acquired the Kodak Imagelink OCR business in October 1997, it has
been working aggressively on delivering its new EntryLink computer assisted data
entry products to market and had expected to receive several orders from
customers evaluating or finalizing purchase requirements.


The company recently established a line of credit with Silicon Valley Bank
permitting borrowing based on customer accounts receivable. As a result of the
delay or loss of certain customer orders, the company is in breach of covenants
with respect to this credit line. The company lacks sufficient capital to fully
repay loaned amounts and to remain operating. Adaptive Solutions has explored
alternate merger or acquisition partners as a source of capital and retained an
investment banking firm in June, 1998 to help raise capital or find a buyer.
Despite significant effort, it has not been successful in obtaining additional
investments.


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Adaptive Solution's present financial condition precludes it from meeting
obligations necessary to continue as a going concern. Under Chapter 7, an
appointed trustee will seek to liquidate the company's assets with the proceeds
applied to the claims of creditors.






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