Thursday March 27, 1:06 pm ET

Crystal Systems Solutions Announces the Successful Completion of its Follow-On Cash Tender Offer for All Outstanding Shares of Liraz

HERZLIA, Israel--(BUSINESS WIRE)--March 27, 2003--Crystal Systems Solutions Ltd. (Nasdaq:CRYS - news) today announced the results of its follow-on cash tender offer to purchase all outstanding shares of Liraz Systems Ltd., an Israeli company traded on the TASE.

This tender offer to acquire 675,497 shares of Liraz at NIS 10.80 per share (approx. $2.29 (1)) expired on March 27, 2003.

According to the final count, 393,109 shares were properly tendered. Crystal shall purchase all the tendered shares and pursuant to applicable securities laws, Crystal shall also force the acquistion of 282,383 non-subscribed shares.

Prior to the tender offer Crystal owned 90% of Liraz, and pursuant to the results of this tender, Liraz is wholly owned by Crystal, and its shares shall be delisted from the TASE.

About Crystal Systems Solutions

Crystal Systems Solutions Ltd. (Nasdaq:CRYS - news) develops and markets software tools and provides end-to-end transformation projects for e-Business enabling of legacy systems, cross-platform migration, and consolidation of information systems. Crystal provides comprehensive enterprise products spanning mainframe, midrange, and client/server computing platforms. Crystal has enhanced its expertise through the successful completion of projects for Fortune 1000 prestigious organizations, establishing solid credibility, and achieving global recognition and presence. Crystal is totally committed to supporting its customers, both directly and via its partners, offering end-to-end solutions through consultancy, assistance, and service in conjunction with its wide variety of proprietary software tools. For more information, please visit our web site at http://www.crystal-sys.com.

Crystal Systems Solutions is a member of the Formula Group (Nasdaq:FORTY - news). The Formula Group is an international information technology company principally engaged, through its subsidiaries and affiliates, in providing software consulting services developing proprietary software products, and providing computer-based solutions.

SAFE HARBOR: Certain statements contained in this release may be deemed forward-looking statements, with respect to plans, projections, or future performance of the Company, the occurrence of which involves certain risks and uncertainties that could cause actual plans to differ materially from these statements. These risks and uncertainties include but are not limited to: market demand for the Company's tools, successful implementation of the Company's tools, competitive factors, the ability to manage the Company's growth, the ability to recruit and retrain additional software personnel, and the ability to develop new business lines.

Note(1): According to the representative exchange rate between the NIS and the US$ as of March 27, 2003.

This press release is also available at www.crystal-sys.com. All names and trademarks are their owners' property.

Contact:
Iris Yahal
Crystal System Solutions
972-9-952-6110