July 25, 2000

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We went to cable modem about 9 months ago. It makes all the difference in the world. In cars, wider may be better, but on the internet faster it is definitely much, much better!

Bob Bell bob@independentleasing.com

( Others report a similar experience. $19 to $39 per month, depending if you are also subscribing to television channels. Also T1 lines available from $175 to $375 with no set-up fees, as mentioned yesterday. If you are on 56k, you are too slow. --editor )

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Brokers tell me June slowed down, and July has been about the same. The consensus is not only summer, but smaller businesses deciding to wait on new equipment due to the Fed's announcement about the economy. No one mentions the number of new internet leasing companies or others going on line---such as Equilease.

FreeDecision Announces Partnership with Equilease Financial Services

NEW YORK--(BUSINESS WIRE)--July 25, 2000--

Equilease Will Join the FreeDecision Network, As Well as Provide Their Independent Brokers With the FreeDecision Instant Financing Solution

FreeDecision, Inc. today announced it entered into an agreement with Equilease Financial Services. Equilease will join the network of online merchants, e-commerce web sites and financial institutions that use the FreeDecision Instant Financing Solution, a Web-based application that provides financing decisions in real time. Equilease will use the Solution to originate leases at the Internet point of sale and automate application acceptance from its independent brokers.

Joining the FreeDecision Network will put Equilease in front of customers who may not have previously considered using a financing option for their purchase, enabling them to acquire new customers and create incremental revenue opportunities. Furthermore, FreeDecision will help Equilease expand distribution of their financial products and streamline current business processes.

In addition, the Equilease independent broker network will be able to access the Instant Financing Solution via the Internet. The Solution is integrated with major consumer and small business credit reporting agencies and returns a decision on an application, using Equilease's credit criteria, in less than 30 seconds. The ability to give brokers an instant decision on a customer's lease application in seconds is a competitive advantage for Equilease over other equipment finance companies that make decisions manually. Additionally, since Equilease and its brokers are able to communicate electronically, the current telephone and paper intensive process will be eliminated.

For over forty years Equilease has worked with third party lease originators, equipment manufacturers, suppliers and brokers offering a wide range of lease programs to a diverse market. "The ability to return decisions and track applications in real-time will have a positive impact on broker satisfaction," said Greg Minsky, Director of E-Commerce Initiatives at Equilease

. "We are confident that by continuing to provide brokers with best-in-class service, as well as by joining the FreeDecision Network, we will significantly increase our financing of capital assets."

"Our partnership with Equilease is a testament to their desire to provide innovative solutions to their brokers, in addition to taking advantage of new distribution channels," remarked Mitchell Silverman, President and CEO of FreeDecision. "We are confident that the FreeDecision Instant Financing Solution will strengthen the leadership position of Equilease in the leasing market."

About FreeDecision.com

FreeDecision, Inc. is a Silicon Alley-based company that brings instant financing to the point of sale, building next-generation Web-based technology solutions that present shoppers, merchants, and financial institutions with immediate credit decisions. The FreeDecision Instant Financing Solution is currently used by e-commerce leaders to offer financing options to shoppers both on-line, and at physical brick and mortar locations. Founded in 1999, FreeDecision is positioned to be the premier source for facilitating Internet lending.

About Equilease Financial Services

For over 40 years, Equilease has provided billions of dollars of lease financing for domestic and international business servicing a broad range of clientele ranging from Fortune 500 and mid-sized companies to privately held, sole proprietorships. The company is a principal in all transactions, and all funding occurs though its secularization facility. The company is a proud member of the Equipment Leasing Association, United Association of Equipment Lessors, National Association of Equipment Leasing Brokers and Eastern Association of Equipment Lessors. For more information, visit www.freedecision.com.

CONTACT:

FreeDecision, Inc., New York

Jennifer Wybraniec,

212/363-1800 ext. 231

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Vehicle leases bring large losses ( AP headline )

Prices are down in the used-car market, so banks and leasing companies are finding the value of an end-of-lease vehicle can be off by thousands of dollars.

JUSTIN HYDE ASSOCIATED PRESS

DETROIT

An unexpected dip in the price of vehicles coming off leases has translated into large losses for banks and leasing companies.

A slowing economy, aggressive incentives by auto makers on new cars and a glut of sport utility vehicles have all combined to keep prices down in the used-car market. That means that estimates made three or four years ago of a leased vehicle's value now can be off by thousands of dollars.

The average loss on end-of-lease vehicles returning to leasing companies rose to $2,592, 55 percent more than in 1998, according to the Association of Consumer Vehicle Lessors. Leasing companies lost money on four out of the five vehicles they took back; losses of several thousand dollars per vehicle are not uncommon.

``Whoever was leasing those cars are basically losing their shirts,'' said Art Spinella, director of CNW Marketing Research in Bandon, Ore.

Leasing exploded in the 1990s as a way for auto makers to improve profits while lowering monthly payments for car buyers and ensure a steady stream of repeat business.

The key to making money on leasing is estimating how much vehicles will be worth at the end of their lease terms. Cars and trucks with higher resale values -- such as the Chevrolet Suburban SUV or Honda Odyssey minivan -- retain more of their value and therefore can have lower monthly lease payments.

The mileage restrictions on leases -- now usually 15,000 miles a year -- make sure owners don't take too much value out of their vehicles.

But a number of factors have come together to make backing leases a dangerous business. To get payments lower, the length of leases has been growing; where the average length was two years in the mid-1990s, most are now four years. That makes the guessing game of residual value much harder.

After a boom in the mid-1990s, auto companies saw their leasing losses increase due to poor forecasts of used-car values and pulled back; leasing accounts for a steady 30 percent of new-car sales.

Off-lease cars are a small part of the used car market; of the 40 million used cars expected to trade hands this year, just over 3 million vehicles will be coming off leases. But auto makers have essentially captured customers who would have bought used cars by keeping new-car prices steady over the past few years. And rising incentives on new cars translate to similar price cuts for older versions of the same model.

All this doesn't mean that people leasing their cars or SUVs should expect to throw a low ball offer at their finance company when their leases end and drive off. When consumers decide to buy their vehicles at the end of the lease, finance companies got the expected residual price four out of five times in 1999, according to the Consumer Banking Association.

The pain from losses appears to be limited to financial institutions outside automakers' own finance companies. This week, the chief financial officers of General Motors Corp. and Ford Motor Co. said they were not seeing large losses from leased vehicles.

``It's not as big a problem for the car companies as it is for banks, because the car companies made money on producing the car,'' Spinella said. Automakers ``made money by keeping their plants running and selling the car when they were new. A bank has to make money on the lease itself.'

' One big problem is that prices on used SUVs, especially midsize models, are weaker than other used vehicles as the SUV boom is finally hitting the used-car market.

``We have more supply than ever before,'' said Tom Kontos, director of strategic planning and market analysis for ADT Automotive Inc., a used-car auction company. ``It hasn't helped that gas prices have gone up.''

What will likely happen instead is that leasing terms will become a little more generous. Only a few automakers offer subsidized leases now, and automakers tend to offer shorter leases. And estimates of resale value are becoming more conservative

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eLease Makes Capital Equipment Lease Underwriting Faster, More Efficient and Less Costly

SUNNYVALE, Calif.--(BUSINESS WIRE)---eLease(TM), the developer of the capital equipment leasing industry's first standardized leasing platform for developing and delivering lease process automation (LPA) solutions, today introduced InOffice(TM), a configurable, end-to-end work flow solution for automating the lease underwriting process.

"In virtually every industry, paper-based, people-intensive processes have all given way to faster, more efficient automated solutions," said Ivan Wolkind, CEO of eLease. "Today, the capital equipment underwriting process joins the ranks. eLease InOffice allows companies taking a principal position in a lease to automate their underwriting processes, delivering better, faster service, at a lower cost."

InOffice is a configurable work flow solution that can mimic any company's business process.

It automates traditionally manual processes including lease initiation, lease management, document management, end of lease options, lease restructuring, early buy-outs, invoicing, collections and financial reporting. It features LeaseTrack(TM), which provides real-time tracking from lease initiation through end-of-lease. LeaseTrack allows managers to track active lease status, lease profiles, asset identity, total portfolio exposure and available lease lines.

InOffice has extensive reporting capabilities. Reports can be generated that detail lease status, lease balances, receivables, collections, delinquencies, property, sales and use tax and fixed-assets.

InOffice is provided as a hosted, out sourced solution. As such, it is cost-effective, can be quickly implemented, is scalable, and offers protection against future technology obsolescence. In addition, InOffice can be integrated with any existing systems, decreasing administrative costs and errors.

Built on the flexible eLease Platform(TM), InOffice works seamlessly with AccessPoint, a solution to add leasing functionality to any Web site, or SalesPoint, a leasing solution for companies with a sales force.

About eLease

eLease provides lease process automation solutions for every constituent in the leasing process including financial institutions, capital equipment vendors, and businesses that need to either offer or acquire leases. Using the eLease Platform(TM), eLease develops and delivers Web-based leasing solutions that add leasing functionality to any Web site, lease sales force automation solutions, configurable work flow solutions for back office lease processing and a business-to-business marketplace for acquiring capital equipment leases and lease lines. eLease is based in Sunnyvale, Calif. Additional information can be found at the company's Web site www.elease.com.

CONTACT:

neoBrands

Pamela Rupert,

415/273-5241

pamela@neobrands.com

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Safeguard Scientifics Acquires Interest in EqualFooting.com; Safeguard Strengthens Relationship with Textron, Inc. on New Acquisition

WAYNE, Pa.--(BUSINESS WIRE)--July 25, 2000--Safeguard Scientifics, Inc. (NYSE: SFE), a leader in developing and operating premier Internet infrastructure companies, announced this week that it funded an equity interest in EqualFooting.com, an online marketplace that provides purchasing, financing, and shipping services to small businesses in the manufacturing and construction industries.

Safeguard participated in this round with Textron Inc. (NYSE: TXT), one of America's largest and best-performing multi-industry companies and one of Safeguard's significant strategic investors.

"This deal exemplifies Safeguard's collaboration with its network of strategic investors, as well as partner companies. EqualFooting will be a component of Textron's e-business strategy and Safeguard is deeply committed to supporting the growth and development of its partners and their strategic alliances," said Warren V. "Pete" Musser, Chairman and CEO of Safeguard Scientifics. He added, "By enabling Textron to accomplish its goals, we are ultimately strengthening the quality and power of the Safeguard network."

"The Textron-Safeguard-EqualFooting relationship demonstrates the tangible benefits of Textron's alignment with Safeguard," said Lewis Campbell, Textron Chairman and Chief Executive Officer. "We relied on Safeguard's experience and depth of knowledge in the e-commerce arena to help us evaluate EqualFooting's business and its prospects. The fact that Safeguard subsequently invested in EqualFooting is the best testament to the excellent strategic fit of our relationships with both companies."

EqualFooting is currently providing services to more than 30,000 small businesses that have become members and are purchasing industrial and manufacturing supplies from the site. EqualFooting has distinguished itself in the B2B market by having the unique capability to offer services such as real-time, on-line financing for equipment leasing, lines of credit, term loans and SBA loans.

About Safeguard

(www.safeguard.com) Safeguard is a leader in developing and operating premier developing technology companies in the Internet infrastructure market with a focus on three sectors: software, communications, and eServices.

Safeguard provides value acceleration services including legal, financial, human resources and marketing services to its partner companies and leverages its vast network resources to their benefit as strategic partners, customers, test beds and sales channels.

The Safeguard network consists of more than 40 direct holdings and more than 200 indirect holdings in Internet-centric companies through its holding companies and private equity funds.

About EqualFooting.com

(www.equalfooting.com) EqualFooting.com is a B2B online marketplace that places small businesses on "equal footing" with large companies in the areas of purchasing, financing and shipping. The site's innovative business model allows members to buy, finance, and schedule delivery immediately-or save even more later, using the Request-For-Quote (RFQ) system. EqualFooting.com is a Safeguard Scientifics partner company.

About Textron

(www.textron.com) Textron Inc. (NYSE: TXT) is an $11.6 billion, global, multi-industry company with market-leading businesses in Aircraft, Automotive, Industrial and Finance. Textron has a workforce of over 68,000 employees and major manufacturing facilities in 30 countries. Textron is among Fortune magazine's "Global Most Admired Companies."

NOTE TO EDITORS: Safeguard is a service mark of Safeguard Scientifics, Inc.

--30--KMK/ph*

CONTACT: Safeguard