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Shareholder Class Action Filed Against SupportSoft, Inc.

23 January 2005

Zwerling, Schachter & Zwerling, LLP ("Zwerling Schachter") has filed a class action lawsuit in the United States District Court for the Northern District of California on behalf of all
persons and entities who purchased the securities of SupportSoft, Inc.
("SupportSoft" or the "Company") (Nasdaq: SPRT) between January 20, 2004 and
October 1, 2004, inclusive. The deadline to file a motion seeking to be
appointed lead plaintiff is February 7, 2005.

If you wish to discuss this action or have any questions concerning your
rights and interests with respect to this securities litigation matter, please
contact Zwerling Schachter (Shaye J. Fuchs, Esq. or Jayne Nykolyn) at
1-800-721-3900 or by e-mail at sfuchs@zsz.com or jnykolyn@zsz.com.

The complaint alleges that defendants violated Sections 10(b) and 20(a) of
the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder.
Specifically, it alleges that the defendants failed to disclose and
misrepresented the following material adverse facts which were known to
defendants or recklessly disregarded by them that: (a) SupportSoft's business
model was in fact not materially differentiated from other enterprise software
companies; (b) SupportSoft's product pipeline was weighted heavily toward
perpetual deals; (c) SupportSoft was experiencing sales execution
difficulties; (d) SupportSoft was encountering a more challenging software
spending environment that required authorization signatures and longer sales
cycles; and (e) as a result, the defendants, fiscal 2004 financial projections
were lacking in any reasonable basis when made.

On October 4, 2004, the Company announced its preliminary financial
results for the third quarter 2004, ended September 30, 2004. The Company
announced that it expected total revenues for the third quarter 2004 to be in
the range of $11.9 million to $12.3 million as compared to $13.5 million for
the same period in the prior year. On this news, SupportSoft's share price
fell from $9.62 per share to $6.21 per share, representing a decline of
approximately 35%.

If you purchased the securities of SupportSoft between January 20, 2004
and October 1, 2004, you may apply to serve as lead plaintiff. The lead
plaintiff is responsible for overseeing the prosecution of the action and
ensuring that the interests of the class are protected. You may apply to be
appointed lead plaintiff through Zwerling Schachter.

Zwerling Schachter concentrates in prosecuting class actions nationwide on
behalf of investors. The firm currently plays a leading role in numerous
major securities and complex commercial litigations pending in federal and
state courts and has offices in New York City, Uniondale, New York, Boca
Raton, Florida and Seattle, Washington. The firm has been recognized by
courts throughout the country as highly experienced and skilled in complex
litigation, particularly with respect to federal securities class action
litigation.


Source: PR Newswire


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