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Spatial Inc. Announces IntraVISION 4.1 for Windows and UNIX IntraVISION 3D/2D visualization solution enables enterprise-wide access to over 300 file formats

BOULDER, CO: August 25, 1999 - Spatial Inc. (AMEX: STY), the world's leading software developer of 3D modeling technology and interoperability solutions, today announced IntraVISION(tm) 4.1, an enterprise-wide visualization solution for Windows and UNIX. Version 4.1 of IntraVISION features added support for over 150 file formats, including the industry standard ACISr SAT(tm) format and Microsoftr applications such as Word, Excel, and PowerPoint. In addition, IntraVISION 4.1 features an enhanced user interface, and improved performance for STEP assemblies. "As a distributor of IntraVISION, we are excited to see the release of IntraVISION 4.1. ITS is confident that the new IntraVISION features will allow us to offer our customers an even more comprehensive solution to meet their enterprise-wide viewing and markup needs," said Jon Judd, president, Integration Technology Solutions, Inc. (ITS). "Combining an industry-leading product, like IntraVISION, with ITS Product Data Management and Technical Data Interchange solutions will help ITS customers to more successfully compete in a global marketplace."

"With both Windows and UNIX platform support in one release, IntraVISION offers the interoperability needed for users throughout all areas of an enterprise to communicate 2D and 3D product data. IntraVISION provides robust, direct file format support that preserves the native intelligence of CAD/CAM/CAE files. This allows users to communicate and work with accurate, original design data, which enables them to reduce time-to-market, improve product quality, and lower production costs," Bill Turcotte, vice president, interoperability sales, Spatial Inc. "This latest release of IntraVISION, exemplifies Spatial's commitment to provide the most advanced interoperability solutions in the market, at an industry-leading pace." "RAND customers demand a solution that is flexible and provides interoperability with the many different formats found in today's advanced engineering environments. IntraVISION 4.1 supports the diverse requirements of manufacturing organizations and offers a long term enterprise-wide solution that protects our customer's important investment in their data," remarked Mike Oakley, product manager, RAND Worldwide (TSE: RND). "RAND chose IntraVISION because it offers our customers precise graphical viewing capabilities and a comprehensive set of standard formats - the preferred solution for long-term stability and cost effectiveness."

IntraVISION 4.1 is a full-featured, comprehensive 2D and 3D visualization solution. The software provides enterprise-wide access to over 300 multi-file formats, including support for all major CAD formats such as DXF/DWG, IGES, SAT, STEP, VDA-FS, and VRML. IntraVISION is available as an integrated viewing component for PDM, CAD, CAM, ERP, shop floor, and MES solutions; or a stand-alone application. With IntraVISION, users can view, markup, measure, and convert raster files, documents, drawings, 3D CAD/CAM models, configuration data, assemblies, and part files - without requiring native applications. These features provide key benefits to users in product design and manufacturing by allowing them to collaborate on designs, review models and drawings for dimensional accuracy, and support concurrent product development processes.

IntraVISION 4.1 Features

About Spatial Inc.

A leading innovator of 3D modeling technology, Spatial provides advanced component and interoperability products for creating, viewing, exchanging, and sharing high-fidelity 3D digital geometry.

The ACIS 3D Toolkit(tm), Spatial's flagship product, is the de facto standard 3D modeling kernel for the MCAD, CAM, CAE, and AEC industries. With over 500 ACIS licensees and 1.4+ million end users of more than 200 ACIS-enabled applications, ACIS is indisputably the world's most widely used 3D modeling kernel. ACIS-enabled applications include ABAQUS/CAE by Hibbitt, Karlsson & Sorensen, Inc., AutoCAD and Mechanical Desktop by Autodesk, Inc., CADKEY by Baystate Technologies, Inc., GAMBIT by Fluent Inc., Grade/CUBE II and Space-E by Hitachi Zosen Information Systems, GSCAD by Intergraph Corporation, IronCAD by Visionary Design Systems, Inc., Maxwell 3D Field Simulation by Ansoft Corporation, MegaCAD by Megatech Software GmbH, TurboCAD Solid Modeler and Professional by IMSI, Vellum Solids by Ashlar Inc., and Working Model 3D by MacNeal-Schwendler Corporation.Spatial offers a diversity of production-proven 3D modeling component products, like Spatial Deformable Modeler(tm), a 3D surface modeling tool for high level artistic design and industrial styling.

Spatial's Interoperability Products enable developers and end users to optimize engineering processes by providing efficient methods of communicating 3D models and product data across multiple CAD/CAM/CAE systems throughout the design-to-manufacturing process. Interoperability Products include advanced visualization solutions, like IntraVISION and JetScream(tm), data translators for IGES, STEP, and VDA-FS; 3D model healing technology; PDM integration modules, and 3Dmodelserver.com. Headquartered in Boulder, Colorado, Spatial has offices in Europe and Asia. Spatial stock is publicly traded on the NASDAQ-AMEX exchange under the symbol "STY." For more information, visit Spatial's web site at or call (303) 544-2900.

Statements made in this news release that are not historical facts may be forward-looking statements. Actual results may differ materially from those projected in any forward-looking statement. There are a number of important factors that could cause actual results to differ materially from those anticipated by any forward-looking information. A description of risks and uncertainties attendant to Spatial Technology Inc. and its industry, and other factors which could affect the Company's financial results, are included in the Company's Securities and Exchange Commission filings, including but not limited to the Company's annual report on Form 10-KSB for the year ended December 31, 1998.

ACIS is a registered trademark of Spatial Inc. Spatial Inc., IntraVISION, SAT, ACIS 3D Toolkit, and JetScream are trademarks of Spatial Inc. All other products are trademarks of their respective owners.

Spatial Inc. Public Relations Contact:
Rachael Dalton-Taggart, PR manager, Spatial Inc.
(303) 544-2986
email: rachael_taggart@spatial.com

Spatial Investor Relations Contact:
Geoff High, Pfeiffer Public Relations
(303) 393-7044
email: geoff@pfeifferpr.com